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Federal Judge Strikes Down Ban on State Tax Cuts, Says Tax Mandate exceeds Congress’s power under the Constitution

the staff of the Ridgewood blog

Ridgewood NJ, the Biden “stimulus plan” ban on states’ cutting taxes to revive their economies, has been over turned by a Federal judge.

The Ohio attorney general Dave Yost won a victory in federal court late last week, when U.S. District Court Judge Douglas Cole granted an injunction against any Treasury Department enforcement of the provision of the $1.9 T American Rescue Plan Act that prohibits states from using funds under the act “directly or indirectly” to cut taxes.

Judge Cole wrote: “The Court finds that the Tax Mandate exceeds Congress’s power under the Constitution. The Court further finds that Ohio has met the conditions for injunctive relief to prevent the ongoing harm that this violation is causing. Thus, the Court PERMANENTLY ENJOINS the Secretary from enforcing the Tax Mandate against Ohio.”

Read the full decision: https://www.ohioattorneygeneral.gov/Files/Briefing-Room/News-Releases/Tax-Mandate.aspx

 

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