As tensions escalate between California and the Trump administration over immigration, another potential battlefront is emerging over taxes.
The spat began with reports that the Trump administration is considering cutting funding for California’s university system, the largest higher education system in the nation with about 12% of all U.S. enrolled students.
In response, Gov. Gavin Newsom wrote Friday afternoon in a social media post that California provides about $80 billion more in taxes to the federal government than it receives in return.
“Maybe it’s time to cut that off, @realDonaldTrump,” Newsom said.
How much does the state government of California actually pay to the federal government? When we hear these things about states that pay more in federal taxes than they receive aren’t we normally talking about the individuals and businesses filing their federal taxes and then some of that getting back to the state? Most of this isn’t State money going to the feds. It’s the state money of the individuals within the state sending in money.
What taxes is the state collecting and then sending to the feds? At the state stops paying but the individuals keep paying then doesn’t really make any difference? Are individuals going to risk going to prison for federal tax evasion?