Washington | Republican authorities in Ohio filed a complaint Thursday against the massive stimulus package of the government of Joe Biden, accused of infringing on the fiscal sovereignty of the state.
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Their appeal does not relate to the entirety of this colossal plan estimated at 1.9 billion dollars, but on a component which provides for the release of 195.3 million to help States cope with the consequences of the pandemic.
The law stipulates that these sums cannot be used to lower “directly or indirectly” local taxes.
“In effect, this will prohibit any tax cut,” said Ohio Justice Minister Dave Yost in his complaint.
However, according to him, “Congress does not have the authority” to choose the tax system of the states. He therefore asks the courts to invalidate this provision.
This lawsuit recalls the salvo of appeals filed by Republican states against Barack Obama’s emblematic law on health insurance, which threatened, on several occasions, to bring down the whole edifice.
Despite amendments, it remains in force eleven years after its adoption, but some legal actions remain pending.