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The Guardian - US
The Guardian - US
World
Edward Helmore

Newsom is warned of ‘criminal tax evasion’ if he withholds federal taxes

California governor Gavin Newsom
California’s governor, Gavin Newsom, threatened to cut tax payments to government after reports that Donald Trump was preparing federal funding cuts. Photograph: Daniel Cole/Reuters

The US treasury secretary, Scott Bessent, has warned California’s Governor Gavin Newsom that he would be guilty of “criminal tax evasion” if he withholds his state’s tax payments to the federal government amid threats of a funding cut by Donald Trump.

Newsom had threatened to cut tax payments to the federal government two days ago after reports that Trump was preparing huge federal funding cuts targeting Democrat-dominated California, including its state university system.

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