GOP Asks Treasury If States That Take Relief Aid Can Cut Taxes

House GOP leaders are asking Treasury Secretary Janet Yellen to clarify if there are any permissible ways for states to cut taxes if they accept money from a more than $360 billion relief fund for state and local governments.

• The lawmakers in the letter say they are “especially concerned” about a provision that could impose restrictions on states if they accept the money and then reduce state tax revenue through 2024
  • The lawmakers, which include Representative Steve Scalise and Kevin Brady, ask if state stimulus payments, tax relief for unemployment, or delays to gasoline tax increases would cause states ...