Trump Needs Legislation for Tariff Dividend Payments to Americans
The promised $2000 dividends from tariffs by USA President Donald Trump require Congress approval, stated Treasury Secretary Scott Bessent.
Donald Trump, promoting the idea of tariff revenue dividends, did this amid growing public dissatisfaction with the cost of living. During an interaction with journalists on November 14, he stated that checks would be issued over the next year “to everyone except the rich.” Trump emphasizes that tariff revenues allow the government to pay the promised amounts and also reduce the national debt.
However, financial analysis raises concerns. According to the US Budget Committee estimates, if these dividends are paid similarly to the federal stimulus during the pandemic, it would cost the government $600 billion, twice the expected tariff revenue for 2025. The net US tariff revenue for the previous fiscal year was $195 billion, with a projection of around $300 billion for 2025.
| Year | Expected Tariff Revenue (billion $) | Estimated Dividend Costs (billion $) |
|---|---|---|
| 2025 | 300 | 600 |
Thus, despite Trump’s ambitious plans, significant legislative and financial solutions are necessary for their implementation. Bessent emphasizes that dividends can be paid in various forms, and their implementation will require agreement on all details with Congress.
