COVID Spending Bill Should Allow for Tax Relief

Apr 7, 2021 by AFP

NASHVILLE, TN – Americans for Prosperity-Tennessee (AFP-TN) today praised Attorney General Herbert H. Slatery III for seeking judicial review of a provision in the latest spending package that prohibits any state funds being used by state governments for tax relief. Tennessee will receive an estimated $3.7 billion in federal funds from the so-called Americans Rescue Plan Act, but the state would have to repay the federal government any money deemed to be used for reducing the tax burden on Tennesseans.

AFP-TN State Director Tori Venable released the following statement:

“Tennesseans don’t care for the federal government telling us how to run our state’s fiscal policy. If anything, the federal government should look to Tennessee on how to run its finances considering the growing $26 trillion national debt. Our state is a national leader in managing tax dollars and spending responsibly, but the latest spending bill would tie legislators’ hands from enacting tax relief until the provisions sunset in 2025. This is wrong, and we support Attorney General Slatery in ensuring Tennessee can continue to lower taxes and increase growth.”