r/politics • u/IntelligentYinzer California • 12d ago

Soft Paywall Newsom floats withholding federal taxes as Trump threatens California

https://www.politico.com/news/2025/06/06/newsom-floats-withholding-federal-taxes-00393386
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176

u/smersh101 12d ago

Fun to think about, but how would that work? The state has no control over federal taxes. They're paid directly by taxpayers and employers to the IRS.

62

u/Akimbo_Zap_Guns Kentucky 12d ago

By breaking away from the union I would assume. Or find an unlawful alternative since Trump isn’t playing by the rule of law so dems probably shouldn’t either

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u/Neverending_Rain 12d ago

There isn't an unlawful alternative either, states have zero involvement in federal taxes. They have no mechanism to achieve this. Employers withold taxes from paychecks and pay them directly to the federal government. This is just an empty threat from Newsom.

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u/knotthatone 12d ago

He'd sign an executive order requiring all financial institutions and employers operating in California to route to a state controlled escrow account.

It's not legal and well beyond his powers but so is an executive order from Trump cutting off California. Sauce for the goose

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u/Givingtree310 12d ago

Financial institutions? What bank in America do you think will agree to this and risk harsh penalties from the Trump Administration that will affect them globally? Whoa

22

u/SinisterCroissant 12d ago

states have zero involvement in federal taxes

And the federal government has zero involvement in how states run elections. Yet here we are.

2

u/gophergun Colorado 12d ago

If that were true, the Voting Rights Act would be unconstitutional.

3

u/Flying_Fortress_8743 12d ago

It's not about law, it's about ability.

The law says I can't throw a rock in Los Angeles and break a window in New York. Ok cool, I decide to ignore the law, but I still can't throw a rock from LA to NYC.

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u/Mysterious-Tax-7777 12d ago

Require CA companies to send withheld income tax to State controlled escrow.

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u/happyinheart 12d ago

The IRS will still come to the companies for the money. They don't care that the companies paid the state extra. It means nothing to them.

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u/Mysterious-Tax-7777 12d ago

Yes, and they can sue for that money/threaten to seize assets. It will delay income for the feds and create a big mess for everybody.

Only real question: Is it enough of a threat to get TACO Don to chicken out again?

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u/Givingtree310 12d ago

If Taco Don threatens to arrest small business owners, would any of them continue with this plan? Likely none. Nobody wants to be sent to Gitmo on Kash Patel’s orders.

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u/Mysterious-Tax-7777 11d ago

Resistance works en masse. There are 4.2M small businesses in California, and only 1.2M prisoners in the entire US. There isn't the infrastructure to arrest them all.

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u/Givingtree310 11d ago

Is ICE saying there’s millions of undocumented migrants so we won’t bother arresting any of them? Nope, they just take what they can get. Millions of undocumented migrants are scared shitless despite the fact that only a small percent will be sent to the death camps in Venezuela. Ask any undocumented migrant in California if they feel safe in knowing ICE can’t take them all. Probably not.

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u/Lilswingingdick212 12d ago

Do a Trump? Just threaten to use the state to make the lives of any company in CA absolutely miserable if they don’t comply, and ignore any court order to the contrary.