Gov. Gavin Newsom on Friday suggested California consider withholding tens of billions in annual federal tax dollars amid reports Donald Trump is preparing funding cuts targeting the state.

Newsom’s suggestion came after CNN reported the president was considering a “full termination” of federal grant funding for California’s universities.

“Californians pay the bills for the federal government. We pay over $80 BILLION more in taxes than we get back,” the Democratic governor said in an X post Friday afternoon, referencing a recent analysis from the Rockefeller Institute that California contributed about $83 billion more in federal taxes in 2022 than it received back from Washington.

“Maybe it’s time to cut that off,” he added.

  • h4x0r@lemmy.dbzer0.com
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    4 hours ago

    For private businesses sure, but Newsom has the authority to set up an escrow account and direct all state government entities to send their federal payroll taxes to the new account rather than to the IRS.