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Newsom to impose 100% tax on California payees of Trump’s $1.8bn fund

Newsom to impose 100% tax on California payees of Trump’s $1.8bn fund

Summary

California Governor Gavin Newsom plans to tax 100% of any payments from Donald Trump’s $1.776 billion fund for alleged victims of political targeting. This fund was set up as part of a settlement between President Trump and the IRS after Trump sued over his leaked tax returns.

Key Facts

  • The fund, called the “anti-weaponization fund,” is worth $1.776 billion.
  • It aims to compensate people claiming to be victims of political or legal targeting, but it's unclear who qualifies.
  • The fund comes from a settlement between President Trump and the IRS.
  • Governor Newsom wants California to tax all money paid from this fund to state residents at 100%.
  • Some critics suggest the fund could help people arrested during the January 6, 2021 Capitol attack.
  • Five officials appointed by the US attorney general will manage the fund.
  • Claims for compensation must be filed by December 1, 2028, or remaining money goes back to the government.
  • Newsom and President Trump have a history of public disagreements on several political issues.
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