The NBA took a historic step Wednesday, voting unanimously to explore expansion in Seattle and Las Vegas. After 18 years of waiting, there&#8217;s finally real hope that the SuperSonics are coming home. It&#8217;s genuinely good news for a city that desperately needs something to cheer about.
But leave it to Washington Democrats to find a way to pick the team&#8217;s pockets before it plays a single game.
Seattle has been gutted by years of soft-on-consequences governance. King County&#8217;s homelessness authority tallied a revised 16,868 homeless individuals in its most recent completed count, and the agency&#8217;s own leadership has already signaled the 2026 survey, completed just weeks ago, will push that number higher still. Open-air drug use has become a defining feature of Seattle&#8217;s public spaces, with encampments stretching across parks and neighborhood corridors that once drew shoppers and tourists. Businesses fled. Residents followed. From 2021 to 2022, Washington logged a <a href="https://www.thecentersquare.com/national/article_faf025f3-cf18-4cb7-aa19-907760238841.html">net migration loss</a> of nearly 19,000 people and a $1.66 billion net loss in adjusted gross income.
This is the economic wreckage that Democrat-run Olympia and Seattle City Hall built through years of consequence-free drug policies and hostility to accountability. So when the NBA Board of Governors voted to formally pursue expansion talks with One Roof Sports and Entertainment, the ice hockey team the Kraken&#8217;s umbrella ownership group, fans had every reason to celebrate.
Climate Pledge Arena, a little virtue signal for woke Seattle, is ready. The fanbase never actually left. And for a city that&#8217;s been told for years things are improving while watching them deteriorate, the return of the Sonics is a rare piece of unambiguously good news. A possible 2028-29 season start is now squarely on the table.
The unconstitutional income tax that crashed the party
Here&#8217;s the catch. Just weeks before the NBA made its move, Democrats <a href="https://seattlered.com/seattle-red/jason-rantz-opinion/ferguson-delays-signing-washington-income-tax-sb-6346/4117495">rammed through Senate Bill 6346</a>, a 9.9% income tax on households earning more than $1 million annually. It passed the House 51-46 after Republicans waged a historic 25-hour floor fight, then cleared the Senate 27-21. Gov. Bob Ferguson has pledged to sign it.
Republicans called it exactly what it is. A 1933 Washington Supreme Court ruling established that income is property under the state constitution, meaning it must be taxed at a uniform rate. Democrats are betting courts will reverse nearly a century of precedent. That is a bold gamble with other people&#8217;s money.
Visiting players are on the hook
Here is what most fans celebrating the expansion news haven&#8217;t fully absorbed: SB 6346 doesn&#8217;t just hit Seattle residents. The bill codifies duty-day apportionment rules for nonresident athletes, meaning every opposing NBA team that walks into Climate Pledge Arena will owe Washington state a cut of income earned during those games. Tax professionals call this a &#8220;jock tax,&#8221; and Washington has never had one until now.
The math is ugly. For an NBA player earning $35 million a season, a two-game road trip to Seattle could generate over $800,000 in Washington-sourced income subject to the 9.9% rate, after only a minimal prorated deduction. Add coaches and high-earning staff, and a visiting team&#8217;s aggregate tax exposure for a single Seattle road stop could run several hundred thousand dollars.
This also changes the Sonics&#8217; own competitive position in free agency. For years, playing in Washington meant zero state income tax, a genuine edge when players compared contract offers. That advantage evaporates above the million-dollar threshold. Democrats didn&#8217;t just tax the team. They taxed every opponent who came to watch them play.
Silver lining: the encampments will disappear (temporarily)
There is one unexpected upside to the NBA expansion push, and Seattle residents near the city&#8217;s worst encampments already know what it is. A homeless camp sat for five months in the shadow of the Space Needle, on a vacant private lot at 5th Avenue North and Harrison Street, right across the street from Seattle Center, where Climate Pledge Arena is located. Neighbors and nearby businesses reported open drug use, discarded needles, and assaults.
The city claimed for months that it couldn&#8217;t touch it because the land was privately owned. It took a court-appointed receiver, a negotiated agreement, and a police presence to finally clear it last week.
&#8220;This is a high-profile spot, a very high-profile corner,&#8221; the receiver told <a href="https://komonews.com/news/local/space-needle-area-encampment-cleared-after-five-months-on-private-lot-housing-crisis-shelter-resources-drugs-needles-pollution-assault-crime-police-statistics-sweeps-katie-wilson-seattle">KOMO News</a>. &#8220;There was an emphasis to get this taken care of.&#8221;
Seattleites have seen this movie before. When the city hosted MLB All-Star Week in 2023, Mayor Bruce Harrell&#8217;s administration suddenly found the <a href="https://seattlered.com/seattle-red/jason-rantz-opinion/rantz-seattle-cleans-up-the-city-for-mlb-all-star-week-not-for-us/3905798">urgency to clear SODO</a>, Pioneer Square, and downtown of the encampments that residents had begged them to address for years. The streets looked almost livable for about a week.
I covered it at the time and was clear about what was actually happening. The city cleaned up for baseball executives, not for the people who live and work there. The same performance is coming for the NBA&#8217;s ownership vetting process, when someone has to justify writing a check somewhere between $7 and $10 billion for an expansion franchise. I&#8217;ll be honest with you: as a Seattle resident, I&#8217;ll take it. Beggars can&#8217;t be choosers. Just don&#8217;t mistake a pressure-wash before a sales pitch for an actual policy change. And, by the way, it did little to end the stench of urine downtown that is so thick you can taste it.
Democrats broke it. Now they want the trophy.
Progressive leadership spent years presiding over open-air drug markets, soaring homelessness, and a documented business exodus. Now they are racing to be photographed standing next to the NBA expansion announcement.
Democrats didn&#8217;t fix Seattle. They just got lucky the NBA still sees enough value in a market they&#8217;ve been running into the ground. The Sonics may well be back by 2028. They&#8217;ll arrive right as Washington&#8217;s unconstitutional income tax kicks in, ready to collect from every player who pulls on the jersey and every opponent who comes to town.
Welcome home, Sonics. Watch your wallets.
***
Jason Rantz is a <a href="https://seattlered.com/podcast_results?i=1676&amp;n=The+Jason+Rantz+Show">Seattle-based talk show host</a> and author of <a href="https://www.amazon.com/Whats-Killing-America-Radical-Destruction/dp/1546006141/ref=tmm_hrd_swatch_0">“What’s Killing America: Inside the Radical Left’s Tragic Destruction of Our Cities.”</a>

Kentucky v Gonzaga

The Sonics Are Coming Back And Democrats Are Already Taxing Them

Blue States

Democratic Party

Seattle

Taxes

Washington state has never had an income tax. Every time voters were asked whether they wanted one, they said no. They have said no eleven times, in fact, with margins as steep as 77% against. In 2024, Washington’s citizens forced the Legislature to enact I-2111, a measure that explicitly banned a state income tax, after gathering over 446,000 signatures for the initiative.
Democrats looked at all of that, shrugged, and passed one anyway.
On March 10, the Washington House voted 51-46 to approve SB 6346, imposing a 9.9% tax on individual income above $1 million. Governor Bob Ferguson, who had publicly flirted with vetoing it before deciding not to, pledged to sign it. It was all a performance to pretend that he was getting taxpayer benefits out of targeting the millionaires to pay “their fair share.” Democrats dressed it up as a narrow &#8220;millionaire&#8217;s tax&#8221; and insisted you have nothing to worry about. That is exactly what they want you to believe. It is not true.
Why this income tax is unconstitutional by design
Here is the legal reality. Under the 1933 Washington Supreme Court ruling in Culliton v. Chase, income is classified as property under the state constitution. A graduated income tax violates the uniformity clause. That precedent has been confirmed and reconfirmed for nearly a century. Former Chief Justice Gerry Alexander, former Justice Phil Talmadge, and former Attorney General Rob McKenna have all stated unequivocally that income is intangible property under Washington&#8217;s constitution. The correct vehicle to change that has always been a constitutional amendment put to voters.
Democrats tried that route, too, and got crushed at the ballot box repeatedly. So they stopped asking.
Washington Democrats passed a law they know is unconstitutional because the real target was never the millionaires. The real target is the Washington State Supreme Court. When Democrats passed the capital gains tax a few years ago, the justices who upheld it practically begged someone to bring them a case that would let them torch Culliton entirely. SB 6346 is that case.
Once a legal challenge is filed, and it will be filed immediately, Democrats expect their sympathetic Supreme Court to use the vehicle to wipe out 90 years of precedent and legalize a permanent, broadened income tax for everyone, without a single voter ever getting a say.
The &#8216;millionaires only&#8217; promise is a lie
If you live outside Washington and think this has nothing to do with you, pay attention. This is the playbook.
Washington already has a capital gains tax that Democrats sold as a modest levy on investment gains. They also have an estate tax (a death tax) that activates at one of the lowest thresholds in the country. Every new layer of taxation arrives with the same promise that it targets only the wealthy and that everyone else is safe. The income tax is the next layer. The threshold today is $1 million. The moment the Supreme Court blesses the structure, the number is up for negotiation, and lawmakers will negotiate it down.
Democrats made their intentions concrete when they specifically amended SB 6346 to exempt it from I-2111, the voter-passed ban on a state income tax. Read that again. Voters banned an income tax. Democrats passed one and wrote language into the bill to neutralize voters&#8217; own protections. That is not an oversight. That is a statement of hostility toward the voters&#8217; will. And this law may not be subject to a referendum, since Democrats inserted a “necessity clause” that precludes the voter challenge. They pretended this was a necessary, emergency piece of legislation. That it doesn’t go into effect until 2028 undercuts that emergency message, but Democrats don’t seem to care how transparent their scam is.
The wealth exodus is already underway
The wealthy are not waiting for a court ruling. On the same night the income tax cleared the House, Starbucks founder Howard Schultz, who built his company from a single Pike Place coffee shop into one of the most recognized brands on earth, <a href="https://seattlered.com/seattle-red/jason-rantz-opinion/wa-income-tax-howard-schultz/4117148">announced he and his wife are leaving Seattle for Miami</a> after 44 years in Washington. He is taking his taxable income with him. Jeff Bezos made the same calculation after the capital gains tax passed.
Zach Abraham, principal and CIO of Bulwark Capital Management, which oversees roughly $1.1 billion in assets, <a href="https://seattlered.com/taxes/bulwark-leaving-wa-income-tax/4117239">told me on The Jason Rantz Show on Seattle Red 770 AM</a> that he is leaving Washington and relocating his business. He calculated that his effective rate would fall between 49% and 51% once all state taxes are factored in. At one recent board meeting in Woodinville, Washington, just outside of Seattle, he sat alongside a small group of investors who collectively manage around $4 billion. Every person in that room is getting out, he said.
&#8220;I don&#8217;t feel that I have a choice,&#8221; Abraham told me.
An Association of Washington Business survey found 17% of Washington businesses are now considering leaving the state entirely, up 9% from a year ago. The CEO of Moment, a Seattle-based mobile photography company, <a href="https://seattlered.com/taxes/moment-ceo-marc-barros-leaves-seattle-washington-digital-ad-tax/4117241">just announced he’s moving the business to Wyoming</a> after Washington&#8217;s separate new digital advertising tax added $200,000 in overnight annual costs.
Washington is following a blueprint that already failed
Washington Democrats do not have to guess how this ends.
California spent years dismissing warnings that its tax-and-regulate model was pushing out the businesses and high earners who funded the whole operation. Then Oracle left. Then Hewlett-Packard. Then Tesla. Then Charles Schwab. The departures were written off as isolated decisions until the state&#8217;s own budget office could no longer ignore the revenue gap left behind.
New York has watched the same pattern play out, with financial firms and high-net-worth residents flooding into Florida and Texas at a pace that has forced even Democratic lawmakers to acknowledge the damage. The Tax Foundation has consistently documented that high-income earners are among the most mobile taxpayers in the country and the most responsive to rate changes.
Washington is not pioneering a bold new model. It is copying a failure that two of the largest states in the country are still trying to reverse. The receipts already exist, and Democrats are simply choosing to ignore them.
What happens when the court rules
Washington Democrats have spent nine decades trying to create an income tax for everyone in the state. They are now five Supreme Court votes away from doing it without ever winning another election on the subject. They bypassed voters, neutralized a voter-approved ban, and handed a cooperative court the exact vehicle it has been waiting for.
The millionaire&#8217;s tax is the opening bid. Everyone else is the closing argument. You have been warned.
***
Jason Rantz is a <a href="https://seattlered.com/podcast_results?i=1676&amp;n=The+Jason+Rantz+Show">Seattle-based talk show host</a> and author of <a href="https://www.amazon.com/Whats-Killing-America-Radical-Destruction/dp/1546006141/ref=tmm_hrd_swatch_0">“What’s Killing America: Inside the Radical Left’s Tragic Destruction of Our Cities.”</a>
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EatTheRichWashington

Washington State’s Democrats Vote To Eat The Rich

Washington

Rep. Andy Ogles (R-TN) has introduced legislation that would impose a tax on income earned by American athletes who compete in international sporting events on behalf of foreign governments.
The proposal, titled the &#8220;Officially Limiting Yearly Money Procured by Individuals Concerning Sportsmanship Act,” or OLYMPICS Act, would apply to athletes who represent what the law defines as &#8220;foreign entities of concern.&#8221; Those countries include China, Russia, Iran, and North Korea.
Although the legislation would not apply retroactively, Ogles cited freestyle skier Eileen Gu as the inspiration for the proposal, <a href="https://www.outkick.com/sports/exclusive-rep-andy-ogles-bill-targets-eileen-gu-tax-olympics-china" target="_blank" rel="noopener">OutKick</a> reported. Gu, an American-born athlete, won a gold medal and two silver medals while competing for China at the recent Winter Olympics in Milan, Italy. Her decision to represent China drew criticism in the United States. She also represented the communist government at the 2022 Beijing Games. Gu was raised in the United States by her mother, who immigrated from China.
“Any American who works with a foreign adversary has not only betrayed our country, but must be stripped of all benefits from doing so. That is why I am ensuring that the IRS takes every dollar earned by athletes like Eileen Gu,” Ogles told the outlet.
He added that the bill would impose an excise tax on athletes who compete internationally for &#8220;a foreign country of concern.&#8221;
&#8220;Being American is a privilege, and anyone who openly mocks that privilege on the world stage must be punished,” the congressman continued.
China awards prize money to Olympic medalists, but it’s unclear how much they earn, according to <a href="https://www.cnbc.com/2026/02/16/2026-winter-olympics-medal-bonus-payouts-by-country-athletes-milano-cortina.html" target="_blank" rel="noopener">CNBC</a>.
Vice President JD Vance said last week on Fox News that “someone who grew up in the United States of America, who benefited from our education system, from the freedoms and liberties that makes this country a great place, I would hope they want to compete with the United States of America.”

Freestyle Skiing – Beijing 2022 Winter Olympics Day 14

GOP Rep Cites Eileen Gu In Push To Tax Athletes Competing For ‘Foreign Entities Of Concern’

GOP Rep Cites Eileen Gu In Push To Tax Athletes Competing For 'Foreign Entities Of Concern'

China

Congress

Olympics

Sports

New York City Mayor Zohran Mamdani warned that his preliminary budget would be a tax on working- and middle-class New Yorkers on Tuesday.
“Property taxes would be raised by 9.5%. This would effectively be a tax on working- and middle-class New Yorkers who have a median income of $122,000,” the mayor said.
Mamdani unveiled his preliminary budget proposal for 2027, outlining a plan to close a projected $5.4 billion deficit. Under state law, New York City must pass a balanced budget. To bridge the gap, Mamdani proposed a 9.5% increase in property taxes and “raiding” the city&#8217;s Rainy Day Fund and the Retiree Health Benefits Trust Fund. “The city would also take $980 million from its Rainy Day Fund and take $229 million from the Retiree Health Benefits Trust,&#8221; he said.
Mamdani&#8217;s proposal would increase the city&#8217;s overall spending from former Mayor Eric Adams&#8217; <a href="https://www.nyc.gov/mayors-office/news/2025/05/mayor-adams-releases-best-budget-ever-fiscal-year-2026-executive-budget-makes-significant">$115 billion</a> budget to $127 billion. Mamdani described the property tax hike and reserve raid as a last resort, preferring to instead raise taxes on high-income earners and corporations, which would require approval from New York Governor Kathy Hochul, who has promised New Yorkers she will not raise taxes in 2026. Without Hochul agreeing to raise taxes, Mamdani is left with raising property taxes as his administration&#8217;s primary lever.
“To rely on a property tax increase and a significant draw-down of reserves to close our gap would have dire consequences,&#8221; stated Mamdani&#8217;s Comptroller Mark Levine. &#8220;Our property tax system is profoundly unfair and inconsistent, and an across-the-board increase in this tax would be regressive. Drawing down reserves during a period of economic growth would leave us vulnerable to economic turbulence next year.&#8221;
Mamdani would not be the first mayor to draw from the reserves, as the city tapped the funds during the 2008 financial crisis and the COVID-19 pandemic. This year, however, the city would be tapping the funds &#8220;despite a strong economy and record revenues from Wall Street.&#8221;
Mamdani attributed the budget shortfalls to former Mayor Eric Adams&#8217; administration underfunding $7.54 billion in six key areas, including cash assistance, rental assistance, shelter, due process cases, judgement &amp; claims, and the city subsidy structural deficit.
Since the 1970s, New York has been legally required to balance its budget when the state legislature passed the Financial Emergency Act for the City of New York in September of 1975, mandating a balanced budget. The legislation was passed to prevent New York City from defaulting on its debt and going bankrupt after a decade of the city covering daily operations with <a href="https://www.city-journal.org/article/new-york-fiscal-crisis-1970s-migrants-welfare-costs#:~:text=Once%20Beame%20took%20office%2C%20the,to%20loan%20to%20New%20York.">short-term loans</a>.
Turning to reserves to meet Mamdani&#8217;s mandate could raise red flags with credit rating agencies. Using reserves to plug recurring deficits may signal structural imbalance, increasing the risk of a municipal bond downgrade. A downgrade would force the city to pay higher interest rates to borrow, ultimately driving up debt service costs and putting even more pressure on the budget the law requires to be balanced.
Costs may continue to rise for New York City. <a href="https://abc7ny.com/post/watchdog-questions-high-cost-sanctuary-new-york-city/16122940/#:~:text=NEW%20YORK%20(WABC)%20%2D%2D%20More%20than%20$7,people%20the%20city%20cares%20for%20is%20decreasing%2C">Watchdog</a> group Citizens Budget Commission reports more than $7 billion of taxpayer money has been spent to house and care for undocumented immigrants in New York City.
ABC New York (WABC) <a href="https://abc7ny.com/post/watchdog-questions-high-cost-sanctuary-new-york-city/16122940/#:~:text=NEW%20YORK%20(WABC)%20%2D%2D%20More%20than%20$7,people%20the%20city%20cares%20for%20is%20decreasing%2C">reports</a> the yearly budget for asylum seekers is larger than the budget for the city health department, the sanitation department, and the fire department.

NYC Mayor Zohran Mamdani Interview

Mamdani’s $127B Budget Plan Relies On Property Tax Increases And ‘Raiding’ Rainy Day Fund

Economy

New York

New York City

Politics

Zohran Mamdani

The Super Bowl champion Seattle Seahawks are in for a hefty California tax bill following their 29-13 drubbing of the New England Patriots on Sunday, with some players expected to pay more in taxes than their Super Bowl earnings.
Each Seahawks player receives an individual bonus of $178,000 as negotiated by the NFL Players Association, while Patriots players will each receive $108,000.
Both Super Bowl teams are subject to California’s notorious “Jock Tax” imposed on out-of-state professional athletes, which will tax both respective teams on income from the eight “duty days” spent practicing and playing in the Golden State.
Jeffrey Degner, a research fellow in economics at the American Institute for Economic Research, told FOX Business that this tax alone will cut the average player’s Super Bowl bonuses in half at a minimum — without even taking into account additional state and federal taxes.
&#8220;What that means here is that the winning team, their take-home pay will be approximately $86,000. If you&#8217;re on the losing side, the take-home would be about $49,800,&#8221; Degner <a href="https://www.foxbusiness.com/economy/super-bowl-lx-players-lose-thousands-californias-jock-tax-athlete-income">told</a> FOX Business.
Each “duty day” includes any day spent in California practicing, participating in team meetings, traveling, playing in a game, or doing media events. The state taxes each player by applying the ratio of their duty days in the state to their total duty days overall, then claiming that share of the player’s income.
&#8220;The players have a really complex tax situation where they can have 10 or more different states that they&#8217;re having to file taxes for,&#8221; Degner said. &#8220;This is why a lot of these young players, it&#8217;s really important for teams to settle them in with sharp financial advisors and tax advisors so that they don&#8217;t lose their shirts, so to speak.&#8221;
Sport business reporter Kurt Badenhausen <a href="https://www.sportico.com/law/analysis/2026/patriots-seahawks-super-bowl-2026-california-taxes-1234883101/">estimates</a> that Seahawks quarterback Sam Darnold, with 8+ duty days taxed out of his massive three-year, $105 million deal with Seattle and a $178,000 bonus, will pay $249,000 in California state taxes.
Stanford University Finance Professor and Hoover Institution Fellow Joshua Rauh commented on the numbers, sarcastically complimenting California&#8217;s tax system for ensuring the &#8220;incentive to win is preserved&#8221; by taxing the Super Bowl loser more than the winner.
&#8220;If his team wins, Darnold will receive $178k and pay $249k to California in taxes for his time here, losing $71k. If his team loses he gets $103k and still pays over $235k in taxes, losing $135k. I presume California is declaring victory, as his incentive to win is preserved,&#8221; Rauh <a href="https://x.com/joshrauh/status/2020208377515941905?s=20">quipped</a>.
California has the highest state income tax rate in the nation, while several states with NFL stadiums — including Tennessee, Texas, and Florida — impose no income tax on their residents or visitors, leading many to question whether future Super Bowls should be held in California.

Newsom/Lombardi

California Taxes Could Cost NFL Stars More Than Their Entire Super Bowl Paychecks

California Taxes May Cost NFL Stars More Than Their Entire Super Bowl Paychecks

California

Income tax

Super Bowl

Abigail Spanberger’s inauguration as the Old Dominion’s 75th governor on January 17 and the subsequent unveiling of her legislative agenda shared by her Democrat colleagues in the legislature have once again proven a very important point: You cannot take Democrats at their word when they claim to be moderate. Once they win, they will drop the mask.
During last year’s campaign for governor, Virginians were told again and again that Spanberger was a <a href="https://www.newyorker.com/news/the-political-scene/abigail-spanberger-thinks-that-democrats-need-to-listen-more?utm_source=chatgpt.com">moderate</a>, a <a href="https://www.thetimes.com/us/american-politics/article/the-new-democrat-divide-socialist-mamdani-v-security-moms-kn38qjgfk?utm_source=chatgpt.com">pragmatist</a>, a <a href="https://apnews.com/article/democrats-spanberger-sherrill-virginia-new-jersey-trump-5869ac164d05f00f4ca07d7919e3960b">bipartisan problem-solver</a> who would govern from the center and resist the ideological excesses of today’s Democrat Party.
The New Yorker ran <a href="https://www.newyorker.com/news/the-political-scene/abigail-spanberger-thinks-that-democrats-need-to-listen-more?utm_source=chatgpt.com">an article</a> just two days before election day titled: 
<blockquote>Abigail Spanberger Thinks That Democrats Need to Listen More: The front-runner for Virginia governor has long made the case for moderation.</blockquote>
In an interview with The Times of London, a liberal pundit <a href="https://www.thetimes.com/us/american-politics/article/the-new-democrat-divide-socialist-mamdani-v-security-moms-kn38qjgfk?utm_source=chatgpt.com">said this</a> about Spanberger:
<blockquote>“The last word you would use [about] Spanberger is populist,” says Colin Mortimer, founder and director of the Centre for New Liberalism. “She is a pragmatic, grounded, moderate Democrat who is hyper-focused on delivering results for Virginia.</blockquote>
Voters were assured that campaign slogans about “working across the aisle” and choosing “<a href="https://www.facebook.com/reel/791441170380360">pragmatism over partisanship</a>” meant something real, as Spanberger herself emphasized on the campaign trail and on election night.
Now that the election is over and governing has begun, Virginians can see the truth clearly: Spanberger’s promises of moderation should be thrown into the trash, where they belong.
The <a href="https://x.com/greg_price11/status/2013350008733487510">legislative agenda</a> now being advanced by <a href="https://vahousedems.org/2025/11/17/virginia-house-democratic-caucus-announce-first-bills-and-legislation-for-2026-session/">Democrats in the General Assembly</a> is not by any means a moderate agenda. It is not a centrist agenda. It is not a pragmatic agenda. It is a radical leftist agenda, clearly aligned with priorities laid out by Democrat leadership in Richmond.
<div id="attachment_1037217" style="width: 874px" class="wp-caption aligncenter"><img loading="lazy" decoding="async" aria-describedby="caption-attachment-1037217" class="size-large wp-image-1037217" src="https://dw-wp-production.imgix.net/2026/02/GettyImages-2256776000-864x576.jpg" alt="RICHMOND, VIRGINIA - JANUARY 17: Virginia Governor Abigail Spanberger speaks after being sworn into office at the Virginia State Capitol January 17, 2026 in Richmond, Virginia. Spanberger is the first woman elected to the Commonwealth of Virginia’s highest office. (Photo by Win McNamee/Getty Images)" width="864" height="576" srcset="https://dw-wp-production.imgix.net/2026/02/GettyImages-2256776000-864x576.jpg 864w, https://dw-wp-production.imgix.net/2026/02/GettyImages-2256776000-300x200.jpg 300w, https://dw-wp-production.imgix.net/2026/02/GettyImages-2256776000-768x512.jpg 768w, https://dw-wp-production.imgix.net/2026/02/GettyImages-2256776000.jpg 1024w" sizes=" (max-width: 864px) 100vw, 864px" />Win McNamee/Getty Images</div>
Even though outgoing governor, Republican Glenn Youngkin, left the new governor with a <a href="https://wydaily.com/latest/2025/07/31/virginia-closes-budget-year-with-a-nearly-2-7b-surplus/">$2.7 billion budget surplus</a>, Virginia’s Democrats want new and higher taxes on income, investments, landscaping equipment, food deliveries, and hotel stays.
Spanberger’s <a href="https://www.governor.virginia.gov/newsroom/news-releases/2026/january-releases/name-1111414-en.html">agenda</a> also includes new restrictions on free speech near abortion clinics, taxpayer-funded education for illegal aliens, eliminating mandatory minimum sentences, lowering the criminal penalties for robbery, and potentially eliminating Virginia’s right-to-work protections.
Spanberger also wants to change the way elections are administered in Virginia. She wants to <a href="https://lis.virginia.gov/session-details/20261/committee-information/S08/dockets/20933">extend</a> the time absentee ballots can be received and counted after Election Day, extend the deadline for ballot curing, ban the hand counting of machine-readable paper ballots, allow people to cast votes electronically, and <a href="https://lis.virginia.gov/bill-details/20261/HB965">add Virginia</a> to the National Popular Vote Compact, which destroys the Founders’ vision for the Electoral College.
This is not a bait-and-switch in theory; it is bait-and-switch in practice.
That should not surprise anyone who has been paying attention to how modern Democrats govern. It should matter to voters, however, who were explicitly told that this governor would be different.
The agenda now being pushed through the General Assembly reflects the same ideological commitments we have seen from Democrats nationwide: more government, more mandates, more power centralized in Richmond, and less deference to parents, taxpayers, and local communities. It reflects a belief that government knows best, and that, once the election is over, dissenting voices should be ignored.
This is the fundamental problem with the “moderate Democrat” brand. It exists entirely as a campaign tactic. Once power is secured, the mask comes off, the talking points fade, and the base demands results. And when the leftist base of today’s Democrat Party demands results, it demands policies that are anything but moderate – a reality <a href="https://thehill.com/opinion/campaign/5694763-progressive-populism-democratic-party/">even acknowledged by</a> some of the Democrat Party’s best strategic thinkers.
Virginia voters were told they were electing a governor who would check the excesses of her party. Instead, they are watching a governor who appears ready to sign off on those excesses.
To be clear, this is not about one bill or one issue. It is about an overall governing philosophy. Taken as a whole, the legislative package being rapidly advanced by Democrats in Richmond represents a sharp turn to the radical Left – on spending, on regulation, on social policy, and on the role of government in everyday life.
This is not what Virginians were promised.
Elections have consequences, and governors are entitled to advance their priorities. But voters are also entitled to honesty. If a candidate intends to govern as a reliable partner of radical leftist lawmakers, voters deserve to know that before Election Day, not the morning after the inaugural ball.
We should all take note and remember that when it comes to Democrat governance, moderation is just a campaign costume, discarded the moment the votes are counted.
* * *
Jenny Beth Martin is Honorary Chairman of Tea Party Patriots Action and host of <a href="https://jennybethshow.com/">The Jenny Beth Show</a>.
The views expressed in this piece are those of the author and do not necessarily represent those of The Daily Wire.

Abigail Spanberger Is Sworn In As First Female Virginia Governor

In Virginia, The Mask Comes Off The ‘Moderate’ Democrat

In Virginia, The Mask Comes Off The 'Moderate' Democrat

abigail spanberger

Democrats

Elections

Glenn Youngkin

governor

Leftists

Liberals

Opinion

Virginia

Voters

W-7 irs federal tax form closeup

The Solution To The Immigration Problem That No One Is Talking About 

illegal alien

Illegal Immigration

Immigration and Customs Enforcement (ICE)

Matt Walsh

Republicans

SNAP

Virginia Democrats have introduced legislation that would significantly raise income and investment taxes, putting the Commonwealth on track to become the highest-taxed state in the nation. These proposals, which include new top tax brackets and higher levies on investment income, would push Virginia’s effective income tax rate above California’s.
Democrats introduced the legislation shortly after consolidating power in Richmond, creating higher income tax brackets and expanding taxes on capital gains and other investment income. If lawmakers enact the bills, the changes would raise Virginia’s top effective income tax rate to roughly 13.8%, surpassing all other states.
Lawmakers backing the measures argue the tax hikes are necessary to fund public priorities and stabilize state finances. Virginia Delegate Kelly Convirs-Fowler (D-VA) said the proposals would require “millionaires [to] pay their fair share of taxes,” arguing the revenue would help “buffer” Virginians from broader economic pressures. Left-wing policy group The Commonwealth Institute, one of the many groups behind this proposed plan, said a “Fair Share tax” could raise more than $1 billion annually for education, housing, and other public services.
Democrats have positioned the tax proposals as part of a broader affordability agenda. Governor Abigail Spanberger (D-VA) has said her administration will prioritize lowering health care, housing, and energy costs. She campaigned on what she called an agenda to build a more “Affordable Virginia.”
Throughout her campaign, Spanberger emphasized cost relief as a central theme. Her campaign promised that an “Affordable Virginia Plan will lower costs, save Virginians money, and make it easier for people who work hard to get ahead.” She later pledged that her administration would “lower health care, energy, and housing costs in 2026.”
But critics argue the tax increases directly undermine those affordability promises.
Virginia Republicans remain skeptical of these promises, with State House Minority Leader Terry Kilgore (R-VA) pointing to the tax proposals as the leading edge of what he calls a slate of “bad bills.&#8221; The Republican Party of Virginia released an official statement saying, “Spanberger’s economic agenda would take Virginia down the same failed path as California and New York.&#8221;
The criticism quickly extended beyond Richmond. Conservative policy groups and Republican-aligned organizations warned the proposals would put Virginia at a competitive disadvantage nationally. “It’s always a bad time to raise taxes, but it would be particularly foolish for Governor Spanberger and the Democrats who now control Richmond to do so at this time of heightened state tax competition,” said Grover Norquist, president of Americans for Tax Reform.
Other conservative groups echoed that warning. The Congressional Leadership Fund (CLF), a major fundraising organization aligned with House Republicans, said the proposed tax increases would raise costs statewide, discourage investment, and drive jobs and capital out of Virginia. “It’s about to get very, very expensive to live, work, and raise a family in Virginia,” the organization said.
The CLF also accused Democrats of moving quickly to raise taxes after campaigning on affordability, noting that “within 48 hours of taking power in Richmond, Virginia Democrats have introduced legislation creating new sales and retail taxes.” The group added that “Democrats campaign on affordability, but the minute they’re given power they rob hardworking families of their paycheck in the form of higher and new taxes.”
Although lawmakers have not officially adopted the plan, Democrats’ 64-36 control of the House of Delegates and 21-19 majority in the Senate make passage likely.
Still, as Democrats defend the tax hikes as a “fair share” contribution to fund affordability initiatives, the measures risk turning Virginia into a tax-hiking outlier and a liability for Democrats in the 2026 midterms, as voters increasingly see higher taxes as the party’s solution to affordability concerns.

After Running On Affordability, Virginia Dems Push For Nation’s Highest Income Tax

Everyone&#8217;s favorite season gets an earlier kickoff this year. Grab a calculator or an accountant — the first day to file taxes is January 26.
This season will look different for tax filers after the Trump administration passed the One Big Beautiful Bill, which was signed into law July 4, 2025.
Treasury Secretary Scott Bessent announced Thursday that millions of Americans may see bigger tax refunds this year thanks to the new legislation.
&#8220;The president wants to get this money into the hands of the American people as soon as possible,&#8221; Bessent said. &#8220;As withholdings are adjusted, millions will take home bigger paychecks every month this year.&#8221;
<blockquote class="twitter-tweet">
Thanks to President Trump’s One Big Beautiful Bill, millions of Americans may see the largest tax refunds of their lives in 2026. And as withholdings are adjusted, millions will take home bigger paychecks every month this year.
The President wants to get this money into the…
— Treasury Secretary Scott Bessent (@SecScottBessent) <a href="https://twitter.com/SecScottBessent/status/2009343095029059676?ref_src=twsrc%5Etfw">January 8, 2026</a></blockquote>
The IRS expects to receive about 164 million individual income tax returns this year, with most people filing electronically.
“President Trump is committed to the taxpayers of this country and improving upon the successful tax filing season in 2025,” Bessent said. “Prior to the passage of the One, Big, Beautiful Bill, which delivered working families tax cuts, Treasury and IRS were diligently preparing to update forms and processes for the benefit of hardworking Americans, and I am confident in our ability to deliver results and drive growth for businesses and consumers alike.”
For individuals, part of the tax cuts included in the One Big Beautiful Bill for 2026 include new tax breaks for seniors and no tax on tips, overtime, or car loan interest.
&#8220;The Internal Revenue Service is ready to help taxpayers meet their tax filing and payment obligations during the 2026 filing season,” said IRS Chief Executive Officer Frank Bisignano. “As always, the IRS workforce remains vigilant and dedicated to their mission to serve the American taxpaying public. At the same time, IRS information systems have been updated to incorporate the new tax laws and are ready to efficiently and effectively process taxpayer returns during the filing season.”
Secretary Bessent said the earlier start of the season means a quicker boost to the economy: &#8220;After this date, most of the benefits of the president’s bill will begin to materialize, presenting a major tailwind for our economy in 2026.&#8221;
The deadline for filing is April 15. The provisions of the One Big Beautiful Bill are listed <a href="https://www.irs.gov/newsroom/one-big-beautiful-bill-provisions">here</a>.

Credit: Kevin Carter vis Getty Images

2026 Marks One Of The Earliest Tax Season Starts In A Decade

Scott Bessent

Tax Cuts

Trump Administration

U.S.

Editor’s note: This week, we’re reprinting some of our best stories from the past year. In this piece, originally published in June, former college president Greg Salsbury recounts the cost of California’s failed leadership.
* * *
Perhaps it is fitting that legendary Beach Boy and California native son Brian Wilson would pass away in the same year that a New York Times headline would ask, <a href="https://www.nytimes.com/2025/05/11/us/california-turmoil-resilience.html">“Is the California Dream a Mirage?”</a>
The social, environmental and economic disaster that is California has been mushrooming for decades now, with any improvements in the near term looking about as likely as a working bullet train from the north to the south in that state. The litany of negative facts emerging for the state is accompanied by descriptors such as “worst,” “first,” “record,” “ballooning,” “unsustainable,” “disaster,” and “mismanagement.” These ills are detailed in the <a href="https://www.dailywire.com/news/california-assemblyman-explains-how-state-has-mismanaged-fire-prevention-policies-as-wildfires-rage">myriad</a> <a href="https://www.wsj.com/opinion/bad-policy-served-as-kindling-for-californias-wildfires-forest-water-management-social-justice-c5b94a4f?gaa_at=eafs&amp;gaa_n=ASWzDAif-IufnKaxHOP49zFGTHPZhQuqrXUEi-2TLq3CTiNpkYvlSDqNxFWNzK60iAw%3D&amp;gaa_ts=685d8562&amp;gaa_sig=3-LfR_GHU3tLPG-o-YsVjgoRNU1-opiK9zrnQzURPOZIBNcm7OIKeIV5kTdTHBKbOeKnRJ-BbcIcuJq-0ipu3Q%3D%3D">articles</a> <a href="https://nypost.com/2025/01/11/opinion/catastrophic-wildfires-left-la-in-ashes-due-to-californias-failing-liberal-leadership/">pointing</a> to California’s failed leadership.
Consider the overall economic situation. California went from a state budget surplus of <a href="https://www.hoover.org/research/after-100-billion-surplus-california-now-faces-73-billion-budget-deficit">$100b to a deficit of $73b</a> in just three years. This was driven in part from its decision in February of 2020 to escalate spending significantly while it was <a href="https://www.ppic.org/publication/whats-behind-californias-recent-population-decline-and-why-it-matters/">losing jobs</a>, and for the first time since receiving statehood in 1850, population. Between 2010 and 2023, the state saw 9.3 million people leave while only 6.7 million arrived — with a disproportionate number of the “leavers” in the high-income, high-tax-paying category.
California had the distinction of being rated as the very worst state in which to do business by <a href="https://chiefexecutive.net/california-is-the-worst-state-for-business-2014/">Chief Executive</a> magazine — for ten years in a row. Others were more positive with The <a href="https://sbecouncil.org/2019/05/06/new-report-sbe-council-ranks-50-states-according-to-public-policy-and-tax-climates-for-small-business/">Small Business and Entrepreneurship Council</a> seeing them as only the second worst state, and the <a href="https://www.cato.org/blog/best-worse-states-entrepreneurs">Cato Institute</a> placing them at 48th out of 50 for entrepreneurs.
<a href="https://californiapolicycenter.org/reports/worsttobest/">The California Policy Center</a> concludes:
<blockquote>“For anyone operating a business in California – small, medium or large – the experiences of the last twenty years have been challenging, and it gets worse every year. California’s regulatory environment, its high taxes and exorbitant fees, and the overall cost of doing business are the toughest in the nation. Many businesses have voted with their feet, moving their operations to more welcoming business environments.” </blockquote>
According to WalletHub.com’s report “<a href="https://wallethub.com/edu/best-places-to-retire/6165">Best &amp; Worst Places to Retire (2025)</a>,” which examined 182 cities across the U.S., four out five of the worst cities in which to retire are in California.
The story is equally daunting in a host of other arenas for the state — education, illegal immigration, water, violent crime, theft, housing, insurance, energy, environment, assorted taxes and fees, cost of living, state employee pensions, healthcare, and more. <a href="https://www.consumeraffairs.com/movers/%23editorial">ConsumerAffairs</a>, a consumer news and advocacy organization, compared all 50 U.S. states and Washington, D.C. across five categories: affordability, economy, education and health, quality of life, and safety. California ranked as the single least desirable state to move to. Their conclusion might have been influenced by seeing that, compared to all other 49 states in the nation, California has the:
<ul>
<li>Highest <a href="https://www.census.gov/library/publications/2023/demo/p60-280.html">poverty rate</a></li>
<li>Highest top marginal <a href="https://taxfoundation.org/data/all/state/state-income-tax-rates/">state income tax rate</a></li>
<li>Highest <a href="https://www.redfin.com/blog/most-expensive-states-to-buy-a-house/">median home price</a></li>
<li>Highest <a href="https://taxfoundation.org/data/all/state/state-gas-tax-rates-2024/">gasoline tax</a></li>
<li>Highest number of federal <a href="https://www.datapandas.org/ranking/welfare-recipients-by-state">welfare recipients</a></li>
<li>Highest amount of <a href="https://www.foxnews.com/politics/dem-states-blame-most-nearly-400-million-unemployment-fraud">unemployment benefit fraud</a></li>
<li>Highest number of <a href="https://www.pewresearch.org/short-reads/2024/07/22/what-we-know-about-unauthorized-immigrants-living-in-the-us/">illegal immigrants</a></li>
<li>Highest percentage of <a href="https://www.newsweek.com/map-states-most-high-school-dropouts-1872310">high school dropouts</a></li>
<li>Highest rates of <a href="https://worldpopulationreview.com/state-rankings/human-trafficking-statistics-by-state">human trafficking</a></li>
<li>Highest <a href="https://247wallst.com/special-report/2024/02/13/this-is-the-state-with-the-most-homeless-people-every-state-ranked/">homeless population</a></li>
<li>Highest level of <a href="https://www.federalreserve.gov/releases/z1/dataviz/pension/comparative_view/table/">state pension shortfall</a></li>
<li>Highest level of <a href="https://www.consumeraffairs.com/movers/states-people-are-moving-to-and-from.html">net exodus</a> from the state</li>
<li>Highest <a href="https://www.statista.com/statistics/630090/states-with-the-average-electricity-price-for-the-residential-sector-in-the-us/">cost for kilowatt hours</a> in the continental U.S.</li>
</ul>
While many folks have wryly referred to California as, “the most expensive weather in the world,” an increasing number of people are rethinking that cost — especially when the weather itself is now regularly accompanied by wildfires, mudslides, and earthquakes.
The <a href="https://hgbr.org/californias-economic-challenges-a-growing-exodus-and-policy-concerns/">Hampton Global Business Review</a> concludes, “The allure of California’s beaches and innovation hubs might not be enough to counteract the growing disenchantment among its residents and business leaders.”
While all of this is more than sobering, contrary to the popular narrative, the untenable situation in which the state now finds itself cannot be blamed solely or even largely on the handful of people who have occupied the top leadership roles or even the few thousand in mid-tier management/political roles for the state. To be sure, many of those people have largely been far worse than feckless; they have been actively counterproductive — perhaps even maleficent. But blaming leadership is like blaming guns for shooting homicides. They could not have performed this disservice without the active support of the California voters.
Time and time again, California voters continue to check the box for more of the same people who continue to inflict damage on them for decades now. But more importantly, they knowingly do so. No objective observer can credibly argue that Californians have been fooled or misled by their leaders or the outrageous decisions they have made, or failed to make.
The great scholar, author, and life-long California resident Dr. Victor Davis Hanson has for years <a href="https://goodreads.com/book/show/28121811-the-decline-and-fall-of-california">detailed</a> the disastrous results of many of these decisions — from eliminating fire-preventing forest management, to not only failing to build appropriate dams but blowing up existing dams and eliminating reservoirs, to promoting unchecked and mass illegal immigration.
There was likely no more clarifying moment of truth on this point than when Governor Gavin Newsom faced a recall. His record was damning. There was the bungled and hypocritical mismanagement of the COVID virus response — complete with vaccine shortages, maskless French Laundry dinners with friends, and arbitrary business closure guidelines, a budget deficit that was more than double his own projection, and most importantly, the ignoring or exacerbation of most of the long list of the aforementioned maladies destroying the state.
Not only did the recall effort fail miserably, with Newsom receiving a convincing approval mandate of 62% of the vote, but he was then solidly re-elected in 2022 with nearly that same margin. California voters, no doubt painfully aware of all of these issues essentially said, “Yes, yes, yes! Give us more of this!”
But suppose for just a moment that Newsom had been recalled, that perhaps he had skewered one of the sacred cows big enough to motivate his ouster. Perhaps he drove a diesel car, or contended that there is something wrong about allowing a 250lb biological male athlete to compete with women, or suggested that maybe the unpunished shoplifting limit should be reduced from $950 to say $500, or publicly stated that illegal immigrants are not entitled to the same rights as U.S. citizens. Who would voters have suggested take his place? It almost certainly would have been another entity not dissimilar to Newsom in any significant way.
All of this is exacerbated by the fact that so many logically thinking, hard-working, patriotic Americans are leaving California if they can. With each passing year, the state is left with an increasingly left-leaning voter base — and they like it that way.  Thus, it is folly to believe that California’s ills can be solved as simply as replacing a few, key incompetent leaders. California’s failed leadership is not nearly as problematic as its failed follower-ship. And that is a far harder nut to crack.
Brian Wilson made a career writing songs about the abundant fun, fun, fun available in the Golden State. Were he with us today, begrudgingly or not, he would have to admit that clearly, daddy took the T-Bird away.
* * *
Greg Salsbury, Ph.D. is former president of Western Colorado University and Board of Advisor member for <a href="https://starrs.us/" target="_blank" rel="noopener">STARRS.US</a>.
The views expressed in this piece are those of the author and do not necessarily represent those of The Daily Wire.

Newsom best of

Best Of 2025: California Had Fun, Fun, Fun — Until Voters Took The T-Bird Away

Business

Gavin Newsom

Immigration

Jobs

Small Businesses

The White House believes Americans will soon start seeing President Trump’s economic policies pad their wallets thanks to the tax cuts passed in the Big Beautiful Bill.
The rules changed mid-year when Trump’s Big Beautiful Bill was signed, making many of its tax cuts retroactive to January 1 &#8212; but because the IRS did not update payroll forms or withholding tables during 2025, employers kept taking out taxes based on the old rules. When Americans file their 2025 taxes next year, the government will make calculations using the new rules, meaning many people will receive larger refund checks than usual. 
“We didn’t pass the Big Beautiful Bill until the middle of the summer, so a lot of the tax changes which affected last year were not in any tax forms filled out in the beginning of the year,” <a href="https://www.foxbusiness.com/video/6386652620112">said</a> White House National Economic Council Director Kevin Hassett.
Those delayed changes, the White House argues, will result in what it calls the “largest tax refunds in American history,” which officials say will help improve affordability for Americans.
&#8220;I think we&#8217;re going to see $100 billion to $200 billion of refunds, which could be between $1,000 and $2,000 per household,&#8221; stated Treasury Secretary Scott Bessent.
Financial analysts have also weighed in on the expected impact. JPMorgan <a href="https://am.jpmorgan.com/us/en/asset-management/adv/insights/market-insights/market-updates/notes-on-the-week-ahead/the-investment-implications-of-the-refund-surge/">expects</a> over 100 million Americans will receive a tax refund with an average amount of $3,743.
Several specific provisions of the Big Beautiful Bill will contribute to these record refunds. The bill increased the standard deduction by $750 for single filers and by $1,500 for joint filers, allowing people to subtract a large amount from their income before taxes are calculated. The bill also temporarily increases the State and Local Taxes deduction cap from $10,000 to $40,000. While these adjustments affect all taxpayers, workers who receive tips or overtime pay are expected to see even greater relief. Tip earners can deduct up to $25,000 in tip income, while workers who earn overtime can deduct up to $12,500.
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Other key provisions of the Big Beautiful Bill further expand financial relief. The legislation increased the child tax credit for tens of millions of families, made the paid leave tax credit permanent, raised the death tax exemption, shielded family farms from excessive taxation, and enhanced 529 savings accounts. Trump also helped the country’s youngest Americans by creating Trump Accounts, which are investment accounts for kids where earnings grow tax-free. As it does with children, the bill also helps seniors, who will receive an additional $6,000 standard deduction bonus if over 65 years old.
President Trump said under these cuts, “many families will be saving between $11,000 and $20,000 a year.”
The White House estimates the tax refunds will lead to a strong 2026.
&#8220;They&#8217;ll get a real increase in their wages. So I think 2026 can be a very good year,&#8221; Bessent <a href="https://www.foxbusiness.com/economy/bessent-expects-taxpayers-see-very-large-tax-refunds-early-next-year">said</a>.
JPMorgan says that the tax refunds could even translate into a strong 2025 Holiday season as well.
&#8220;Moreover, it could even reach back to impact the holiday season this year. If consumers are confident that they will be getting bigger refund checks early in the new year, they may be willing to rack up more credit card debt in December, providing further near-term support to the economy.&#8221;

US-POLITICS-TRUMP

White House Says 2026 Will Bring The Largest Tax Refunds In History

2026 Midterms

Donald Trump

White House

When President Trump took to Truth Social to <a href="https://truthsocial.com/@realDonaldTrump/posts/115370746210555899">promote</a> Italian Prime Minister Giorgia Meloni’s new book, “I Am Giorgia,” many may have viewed it as a natural alliance between two champions of national pride, family values, and strong leadership. Trump praised Meloni as an inspiration, highlighting her dedication to faith, family, and country — qualities he has always deeply valued.
However, the public display of friendship and affection stands in stark contrast to recent moves by the Italian government to harm American businesses. In fact, its recent policy decisions are quietly undermining a vital element of Trump’s economic strategy with Europe — particularly the principle against unfair, targeted fees on America’s innovators in the tech and telecom sectors.
The Italian bureaucracy, through Italy’s telecom authority AGCOM, has recently taken <a href="https://ccianet.org/news/2025/09/italys-move-towards-network-fees-sets-blueprint-for-eu-under-digital-networks-act-study-finds/">steps</a> that classify Content Delivery Networks as part of Italy’s national telecom infrastructure. This may seem like a technical regulatory shift, but it sets a dangerous precedent for forcing U.S.-based streaming giants like Netflix and YouTube to shoulder <a href="https://www.euractiv.com/news/italys-telecoms-regulator-walks-fine-line-between-meloni-trump-and-brussels-over-network-fees/">new costs</a>.
The idea that such platforms should pay what Europe calls “network fees” was repeatedly rejected by Brussels to avoid sparking a trade war with the United States. Yet Italy’s move appears to be a sneaky attempt to backdoor these fees through regulation rather than overt legislation.
That makes this latest maneuver particularly troubling in light of the U.S.–EU trade deal framework, which explicitly commits Europe to refraining from imposing network fees or equivalent measures that target American digital services. That commitment was celebrated as a breakthrough for fair and open digital trade — and a win for both sides of the Atlantic. Italy’s proposal represents a direct and duplicitous workaround of that agreement and should not be tolerated by either Meloni or President Trump.
The problem runs deeper than just economic policy. President Trump has always insisted that America should be treated fairly and that U.S. companies should not be subjected to unfair financial penalties while European companies enjoy protection. The essence of Trump’s “America First” trade approach is not just about tariffs but standing up to Europe’s habit of disguising predatory actions as “fairness” or “sovereignty.” Time and again, European bureaucrats have tried to charm American leadership with lofty rhetoric while quietly pursuing policies that simultaneously penalize U.S. tech innovators in favor of incumbent European firms and <a href="https://strandconsult.dk/is-there-a-correlation-between-european-nations-level-of-chinese-telecom-equipment-the-consumption-of-russian-energy-and-military-aid-to-ukraine/">hand over</a> their purportedly sacred sovereignty to Chinese companies.
In fact, in Italy’s case, more than a third of its 5G infrastructure is supplied by China. And the country’s largest telecom provider, Telecom Italia (TIM), has <a href="https://www.linkedin.com/posts/pietro-labriola_digitale-innovazione-sostenibilitaeq-activity-7383556923331162112-xRkN/?utm_source=share&amp;utm_medium=member_desktop&amp;rcm=ACoAAACcXXMBcipZDNsVQ3AlxVNbqOAKXKgu_r0">deep ties</a> with other countries at the center of <a href="https://dailycaller.com/2025/10/13/john-czwartacki-brazil-is-waging-war-on-american-technology-with-chinas-help/">China’s scheme</a> to drive a wedge between the United States and our allies across the Atlantic and in our own backyard. 
The regulatory maneuvers of Meloni’s government are out of step with her public embrace of Trump’s values. She claims to stand for independence and patriotism, yet by empowering AGCOM to impose regulatory costs on American tech, she works within the same globalist, big government EU framework that Trump himself has warned against. This contradiction should raise alarms on both sides of the Atlantic. Supporting a populist vision in politics means little if the policies implemented to bring it to fruition end up stifling competition and reducing consumer welfare.
Italy’s approach to network fees could also spark retaliatory measures that hurt Italian and European interests in the process. Real partnership demands more than symbolic displays of loyalty. It requires shared commitment to open markets, fair competition, and the removal of hidden barriers.
Europe’s temptation to manipulate U.S. leaders through false promises while it advances onerous regulatory measures designed to impose new costs must be understood for what it is. President Trump’s success has come from hard-nosed deals and a refusal to be played. Europeans seem to believe they can deflect this approach by offering words of friendship and then quietly imposing rules that undermine longstanding agreements and harm the U.S. tech sector.
Meloni’s memoir captures the spirit many admire — strong roots, fierce pride, and clear principles — but her government’s recent actions surrounding network fees show that principles alone are not enough. The mutually beneficial alliance Trump seeks with leaders like Meloni must rest on policies that truly defend fairness and reciprocity and reject regulatory overreach that unfairly burdens U.S. businesses.
In the end, Trump recognizes that true partnership is built on shared interests and respect, not on central planning that distorts the market and seeks to extract money under the guise of fairness. Meloni’s Italy may talk the language of sovereignty, but on this issue, it echoes the very European playbook Trump has fought against: using regulation to impose hidden taxes on American innovation.
If President Trump’s affection for Meloni is to be returned in kind, it must coincide with a call for policies aligned with his economic principles. Otherwise, public displays of friendship are mere symbolic gestures that hypocritically mask Europe’s continued attempts to challenge American leadership. Such contradictions weaken transatlantic unity and threaten the very foundation of the deal Trump fought to secure.
* * *
Ashley Baker is Executive Director of The Committee for Justice, a nonprofit organization that advocates for the rule of law and constitutionally limited government.
The views expressed in this piece are those of the author and do not necessarily represent those of The Daily Wire.

President Trump Meets With Visiting Italian Prime Minister Giorgia Meloni At The White House

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