CALIFORNIA (FOX26) — California Gov. Gavin Newsom says the state is preparing to tax payments that could come from a controversial $1.776 billion fund planned by President Donald Trump.
“Anyone from California that receives any of those funds — we want to tax 100% of those proceeds,” Newsom said. “That’s an action the State of California can take. It’s an action we look forward to taking.”
The U.S. Department of Justice announced it would create the fund in exchange for the president dropping a $10 billion lawsuit against the IRS for leaking his tax returns.
The Trump administration calls it an “anti-weaponization” fund.
Supporters say the money is meant to compensate people who say they were wrongly targeted by federal agencies during the January 6 protests at the Capitol.
On Thursday, Secretary of the Treasury Scott Bessent was asked about Newsom’s proposal.
“Governor Gavin Newsom has floated this idea of a 100% state tax on Californians who receive money from President Trump’s anti-weaponization fund,” the reporter said. “Your response?”
Comment with Bubbles
BE THE FIRST TO COMMENT
“There’s no cure for stupid,” Bessent said.