Newsom warns Trump his state could withhold federal taxes as president mulls reducing funding for CA

California Democratic Gov. Gavin Newsom on Friday suggested his state could retaliate against the Trump administration by not paying billions of dollars in federal taxes.

The warning comes after a CNN report indicated that President Donald Trump is considering canceling a large amount federal funding for the state, and has allegedly advised agencies to start identifying grants the administration can pull.

The White House has stated that no final decision on funding for California has been made so far.

"Californians pay the bills for the federal government," Newsom wrote in a post on X. "We pay over $80 BILLION more in taxes than we get back. Maybe it’s time to cut that off."

Newsom has largely been critical of Trump during his second administration, but has also asked the president for federal assistance as the state deals with wildfires. He has also spoken with Trump about Hollywood's film industry.

White House spokesperson Kush Desai blasted Newsom's threat in a comment to Politico, claiming California had “lunatic anti-energy, soft-on-crime, pro-child mutilation, and pro-sanctuary policies.”

“The Trump administration is committed to ending this nightmare and restoring the California Dream,” Desai said. “No final decisions, however, on any potential future action by the Administration have been made, and any discussion suggesting otherwise should be considered pure speculation.”

Misty Severi is a news reporter for Just The News. You can follow her on X for more coverage.