(THE CENTER SQUARE) – Despite the U.S. Supreme Court’s refusal to hear an Ohio case challenging the Biden administration’s American Rescue Plan Act tax break restriction, an Ohio policy group vowed to continue legal challenges.
The court denied cert in Ohio v. Yellen. This suit challenged the U.S. Treasury Department’s federal tax mandate in the American Rescue Plan Act that prohibits states from using the money to offset tax reductions.
The Buckeye Institute supported the lawsuit, calling the restrictions a way for the federal government to steal power from the states.
“The federal mandate unlawfully usurps power from the states over their taxing authority," David Tryon, director of litigation at The Buckeye Institute, said. "Despite the U.S. Supreme Court’s decision not to hear Ohio v. Yellen, there are other opportunities for the high court to reign in this sweeping usurpation of state policymaking power."
Justice Brett Kavanaugh said he would have heard the case.
“Justice Kavanaugh signaling that he would have heard the case is important," Tryon said. "Justice Kavanaugh and his colleagues will have other opportunities to address the tax mandate, and The Buckeye Institute will be there advocating tirelessly for the proper respect of state taxing authority."
Similar cases involving West Virginia, Texas and Kentucky are pending in federal court.
The 6th U.S. Circuit Court of Appeals ruled in favor of Kentucky in November and denied a motion for a rehearing in early May. The Biden administration has 90 days from May 3 to appeal to the U.S. Supreme Court.
The West Virginia case is pending appeal before the 11th Circuit, while oral arguments were held in the Texas case before the 5th Circuit in April.
In March 2021, as previously reported by The Center Square, Ohio Attorney General Dave Yost sued the Biden administration over the tax break restriction, and The Buckeye Institute filed briefs in support of the state.
A U.S. District Court ruled in favor of the state, but the 6th U.S. Circuit Court of Appeals reversed that ruling in November.
