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If the federal government isn't going to give California back the federal taxes paid by its citizens then it should stop paying federal taxes.
I'm going to be fucking shook if Gavin actually does it. So far, the only people I've seen him meaningfully stand up to are bay area NIMBYs and homeless people.
I don't see how he could since individuals pay income tax directly to the federal government during tax season. It would take all of them working in unison to do it. Unless there's some other tax payment directly from CA state that I don't know about.
Taco Don doesn't understand how anything works.
Is that functionally just seceeding?
I have NO clue what the legal ramifications are here. If it's not, that would seem like a next step.
Please do, California. I want to visit again and I'm not looking to get sent to El Salvador on arrival lol
I wonder how one could do this.
The state of California could implement say, an 80% state income tax. This would be deductable from federal tax per IRS tax code. The state could then create an instant tax credit to credit back a gross 69% income, leaving 11% to the state to match their current tax rate.
The Feds would only get tax on 20% of wages, unlike the 89% they do now
Then you get something like the current SALT cap that cancels that out
It would only delay things. When you get a state tax refund, the next year it's counted as federal wages.
Taxes are collected through the private for-profit banking system in a manner that's completely disjointed from the state of residency. Payroll taxes are incredibly efficient, with north of a 98% collections rate, for this reason. The private banks need the Federal Reserve and the Federal Reserve needs the US Treasury. So when the US Treasury says it's taking a vig on your employer's deposit at Bank of America or Citigroup or even your local Credit Union, compliance is instant and unquestioning.
Going Unbanked is one way to get around this. But without an employer who is operating on the same wavelength and willing to play ball, unbanking yourself is difficult and expensive and fraught with criminal liabilities.
So, the short answer is that there's no (practical) way for a State Government to intervene on Federal income tax collection. Not when all the transactions are taking place in a server farm hosted in a NYC boiler room, anyway.
There are other comments that already give practical ways to accomplish what you say is impossible.
Link?
Simply don't do the thing.
Individuals don’t typically pay taxes themselves. They get deducted from paychecks. Employers do this before we even get paid. So companies would need to support this. But then you have some like my employer who has hundreds of people in California but is based in another state. How is that going to work? This just isn’t as easy as residents just deciding not to.
Okay. I didnt know this. I've never actually paid taxes myself.
But it's also possible other states get on board, and i know domestic industries like cannabis that dont do business with the maij body of the empire play it pretty fast abd loose with taxes.
its a good thing i stopped paying federal taxes.
You will lose against the IRS. The only way this works is if everyone acts together. You cannot beat Uncle Sam alone.
Good though they cut finding to that, too, then.
First pretty dumb to say this publicly if true... But second: you do realize that the rules about paying taxes literally, only apply to people like you and I? They 100% will continue to go after low hanging fruit, and that means people who can't afford a team of attorneys on retainer.