Rescue Plan should boost Ohio, not tax cuts
Posted March 17, 2021 in Press Releases
Attorney General Yost is off-base in suing to block the law
Attorney General Dave Yost today asked the U.S. District Court of Southern Ohio to block the portion of the American Rescue Plan that prohibits states from using money from the plan for tax cuts. Policy Matters Ohio Research Director Zach Schiller issued the following statement in response:
“Congress approved billions of dollars in aid for a purpose: to aid states in their recovery from COVID-19. It’s called the ‘rescue plan’ for a reason. Ohio badly needs these funds to fight the virus and make the investments to allow Ohioans to get back on their feet. As bold as it is, the rescue plan won’t make up for all the resources certain Ohio politicians drained from our communities to hand out tax cuts and tax breaks to the wealthy few and corporations. Ohio lawmakers shouldn’t waste rescue funds pursuing that same failed policy. Yost is off-base in seeking to block the law.
“Congress included language to ensure that the money isn’t given away through state tax breaks by requiring that any tax cuts be paid for by the states or they would have to return an equal amount of the Rescue Plan funds. That’s entirely appropriate. Indeed, Yost didn’t even wait to see how the U.S. Treasury sets the rules for the new law, which will help determine how it’s enforced. He should end his attempt to allow the redirection of funds that are best used to help Ohio recover.”