Bessent decries Newsom's alleged threat of withholding $80B in federal taxes due to the dispute over trans athletes, labeling it as hazardous.
Title: The Escalating Standoff: Steve Hilton Threatens to Reverse California's Transgender Athlete Policies
Steve Hilton, gubernatorial candidate of California,,Secures Spotlight as He Vows To Overturn Transgender Competitor Protections on 'The Bottom Line.'
In a not-so-friendly tweet exchange, Treasury Secretary Scott Bessent has accused California's current Governor, Gavin Newsom, of playing a dangerous game of tax evasion. Newsom is threatening to cease paying the whopping $80+ billion in taxes the state sends to the federal government.
Newsom's bold move is in response to President Donald J. Trump's threat to impose heavy penalties on California for maintaining a policy that allows transgender individuals to compete in female sports, resulting in victory and multiple titles.
Trump took to his social media platform to express his disappointment, alleging that a biologically male competitor, a state champion no less, had violated his warnings and slipped through the ranks in the California Girls State Finals.
"A Biological Male took home the Cali Girls State Finals, trampling on the ladies and making me extremly unhappy," Trump exclaimed. "Gavin Newscum, as always, understands that massive fines will follow!"
Feeling cornered, Newsom shot back with a veiled threat of his own.
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Bessent, on the other hand, has warned that Newsom's proposed actions could be seen as federal tax evasion. Such a move would defraud the American public, leaving California residents on the hook for any outstanding federal debts.
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Bessent expressed confidence that most California businesses would not consider tax evasion, as doing so is considered a violation of federal law. He strongly advised state officials, including payroll managers, to steer clear of any attempts to dodge taxes.
"Instead of resorting to such dangerous measures, Governor Newsom should consider introducing a tax policy that adheres to the Trump Tax Cuts model and reduces the heavy burden on Cali families," Bessent advocated, labelling Newsom's proposed strategy "extremely reckless."
Newsom's office has yet to respond to FOX Business' request for comment.
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Trump's fiery words came shortly after a 16-year-old transgender athlete from California took the gold in the girls' high jump and triple jump, and the silver in the long jump. This stunning victory fell under the California Interscholastic Federation's (CIF) revised rules, which allow more athletes to participate in state championships, addressing concerns about fairness while still accommodating trans athletes[1][3][4].
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The Department of Justice has launched an investigation into California based on allegations of Title IX violations regarding its policy on transgender athletes competing in female sports. The state had already been under the watchful eye of the Department of Education since February due to similar concerns[3].
Meanwhile, the brave transgender athlete has shown resilience in the face of Trump's criticism, insisting that such bullying tactics would not deter her from her achievements[2]. The drama surrounding transgender athletes' participation in school sports continues to unfold with increased tensions between state and federal authorities.
Special thanks to Fox News' Jackson Thompson for his contributions to this report.
[1] NPR. (2021). California Schools Allow Transgender Athletes To Compete In Women's Sports. https://www.npr.org/sections/ed/2021/04/16/987973837/california-schools-allow-transgender-athletes-to-compete-in-womens-sports
[2] CNN. (2021). 16-year-old transgender athlete responds to Trump's attack. https://www.cnn.com/2021/05/26/us/ab-hernandez-trump-attack-transgender-athlete/index.html
[3] TIME. (2021). Trump Wants To Fine California If Transgender Girls Compete In Sports. https://time.com/6074174/trump-california-fines-trans-athletes/
[4] ABC News. (2021). Trump Calls Out California Over Transgender Swimmer's Victory. https://abcnews.go.com/Sports/wireStory/trump-calls-california-transgender-swimmers-victory-77520044
- The escalating standoff between California's Governor, Gavin Newsom, and President Donald J. Trump over transgender athlete policies in California has also drawn the attention of Treasury Secretary Scott Bessent, who has accused Newsom of playing a dangerous game of tax evasion.
- The ongoing controversy surrounding transgender athletes participating in female sports has led to an investigation by the Department of Justice, focusing on Title IX violations in California's policy. Additionally, the economy is affected as Bessent has warned that Newsom's proposed actions could be seen as federal tax evasion, potentially leaving California residents on the hook for any outstanding federal debts.
- In the midst of discussions about policy-and-legislation and politics, general news, crime-and-justice, and the economy, the drama surrounding transgender athletes' participation in school sports continues to unfold with increased tensions between state and federal authorities. Moreover, this issue has sparked debate on whether a more accommodating policy towards transgender athletes, such as the California Interscholastic Federation's revised rules, ensures fairness or violates the rights of other competitors.