The measure, which Republicans said they crafted as a back-up plan in case broader "fiscal cliff" negotiations with President Barack Obama fail, will die in the Senate, according to Senate Majority Leader Harry Reid, a Democrat.
The bill passed 215 to 209.
The bill was one of two bills the House was set to vote on, which are being referred to as "Plan B" to averting the fiscal cliff.
Later on Thursday, the House is scheduled to vote on the second Republican "fiscal cliff" bill that would raise taxes on families with net incomes over $1 million annually while extending other tax breaks. The White House has said Obama would veto that bill.
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