United States President Donald Trump declared on Sunday that most Americans will receive a payment of at least $2,000 generated from tariff revenues, excluding high income earners from the proposed distribution.
Writing on his Truth Social platform, Trump stated that people opposed to tariffs are fools and praised what he described as America’s economic transformation under his policies. The president claimed the country is now the richest and most respected nation globally, citing record stock market prices, minimal inflation, and the highest retirement account values in history.
Trump wrote that the United States is taking in trillions of dollars and will soon begin paying down the enormous national debt of $37 trillion. He added that record investment is flowing into the country, with plants and factories being constructed across the nation. The president announced that a dividend of at least $2,000 per person, excluding high income individuals, will be paid to everyone.
Treasury Secretary Scott Bessent stated in an interview on ABC News’ This Week that he had not spoken with Trump about the proposed dividend. Bessent explained the $2,000 dividend could come in various forms, potentially through tax decreases on the president’s agenda including eliminations of taxes on tips, overtime, and Social Security, along with deductibility of auto loans.
Trump has repeatedly floated the tariff dividend concept throughout the year but has never taken steps to execute it. The president previously discussed the idea of distributing $1,000 to $2,000 to citizens in an interview with One America News Network in October.
Since Trump announced his Liberation Day tariffs in April, tariff revenues have climbed sharply from $23.9 billion in May to $28 billion in June and $29 billion in July. Total duty revenue reached $215.2 billion in fiscal year 2025, which ended September 30, according to the Treasury Department’s Customs and Certain Excise Taxes report. So far in fiscal year 2026, which began on October 1, the United States has collected $35.9 billion.
Tax policy expert Erica York from the Tax Foundation attempted calculations assuming the cutoff for high income Americans is $100,000, which would make approximately 150 million adults eligible for the dividend at a cost of nearly $300 billion. York noted the cost increases if children are also eligible, and pointed out that accounting for the full budgetary impact shows a dollar of tariff revenue offsets only about 24 cents of income and payroll tax revenue.
Administration officials expressed caution around the ideas, stating there were no formal proposals being sent to Congress and that the president was brainstorming. Any such scheme would likely need congressional approval. The proposal resembles legislation introduced this summer by Republican Senator Josh Hawley of Missouri to give $600 tariff rebates to nearly all Americans and their dependent children.
Trump’s announcement comes as the Supreme Court is reviewing the legality of his sweeping tariffs, which he has justified under the International Emergency Economic Powers Act. Lower courts previously determined that many of the levies were unlawful. The Supreme Court began hearing arguments on the case on November 5.
Following his initial post about the dividend, Trump created additional posts stating without tariffs, none of the claimed economic achievements would exist. He questioned why other countries can impose tariffs on the United States but America cannot respond in kind, arguing businesses are entering the country only because of tariffs.
Trump’s economic claims face scrutiny from available data. The annual inflation rate for the United States was 3.0 percent for the 12 months ending September, compared to 2.9 percent previously, according to United States Labor Department data published on October 24, 2025. While inflation has decreased from pandemic era highs, it remains above the Federal Reserve’s 2 percent target.
The timing of Trump’s announcement follows recent election results where Democrats won races across the country after running campaigns focused on affordability and cost of living concerns. From more moderate to more progressive candidates, Democrats ran disciplined campaigns addressing economic pressures facing voters.
During the pandemic, Congress passed three rounds of stimulus checks, two of which were signed into law by Trump during his first administration. The first round in March 2020 gave $1,200 to each tax filer and $500 per child, while the second round in December 2020 gave $600 to each tax filer and $600 per child.
The White House and Treasury Department have not responded to questions about what income levels would be excluded from receiving the dividends, whether children would be entitled to payments, or how much the program would cost.
Source: newsghana.com.gh
