Valladares calls on Congress to protect California businesses from tax hikes 

Valladares calls on Congress to protect California businesses from tax hikes 
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Source: The Signal
Date: 05/20/2026 1:48pm

Article Summary:
Valladares Urges Congress to Block Federal Payroll Tax Hike on California Businesses Over Unemployment Debt
State Sen. Suzette Martinez Valladares is urging Congress to prevent federal payroll tax increases on California businesses tied to the state’s unpaid COVID-era unemployment insurance debt. She argues that state leaders failed to address billions lost to fraudulent claims and neglected to use past budget surpluses to reduce the debt, leaving employers facing significantly higher taxes. All 10 Senate Republicans have voiced support for the resolution.

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