The Biden administration has already been on a spending spree with less than six months in office at the time of this writing, and it looks like they intend to keep spending without any thought of the repercussions and fallout.
And one of the strange things about some of the legislation that they’ve passed is the insistence that the money go toward more spending instead of allowing states to reduce taxes with those funds to provide some real relief to the people there.
But one state didn’t take that sitting down and filed suit against that portion of Biden’s spending spree, and the results of that case are in. Allen Zhong writes,
A federal judge issued a permanent injunction on Thursday to block the ambiguous tax mandate in President Joe Biden’s $1.9 trillion COVID-19 relief package.
U.S. District Judge Douglas R. Cole from the District Court for the Southern District of Ohio ruled that the tax mandate in the America Rescue Plan Act (ARPA)—which seems to tie the relief fund to the states’ authority to reduce tax—exceeds the Congress’s authority under the Spending Clause due to its ambiguity.
The Interim Final Rule (IFR) issued by the Treasury Department intended to clarify the tax mandate “does not cure that constitutional violation,” the judge stated.
“Accordingly, this Court GRANTS Ohio’s Motion for a Permanent Injunction (Doc. 38), and enjoins the [Treasury] Secretary from seeking to enforce the Tax Mandate, 42 U.S.C. § 802(c)(2)(A), against Ohio,” reads the ruling […].
The judge also expressed concerns that the tax mandate has breached the separation-of-powers principles laid down by the framers.
Good for the State of Ohio. Hopefully, many more states will take up this idea of actually giving relief to their citizens from the tax burden placed on them by bureaucrats with our money burning a hole in their pocket.
If we’re unable to stop the Federal government from throwing money at everything, the least that state governments can do is to make sure that some of that tax money gets to stay in people’s pockets.