Yellen Says State Tax Cut Limits Under Stimulus Are Reasonable

March 23, 2021, 11:27 PM

Treasury Secretary Janet Yellen calls restrictions in the enacted stimulus “reasonable conditions” on how states may use federal funding for tax cuts.

  • “Nothing in the Act prevents States from enacting a broad variety of tax cuts,” Yellen says in letter to Arizona Attorney General Mark Brnovich and twenty other Republican state attorneys general
  • Treasury will provide additional guidance on how to implement section 9901 of the stimulus, which affects how federal funds may be used to offset revenue reductions: Yellen
  • NOTE: Uncertainty about the restrictions on stimulus funds for state aid prompted the Republican states attorneys general to send a ...

To read the full article log in.

Learn more about a Bloomberg Tax subscription.