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Americans are eagerly waiting See if President Donald Trump will fulfill its promise to send $2,000 tariff rebate check Next year – an idea he has repeatedly introduced in press conferences, social media and meetings.
over the past 12 months, Trump has taken the US economy on a rollercoaster – Starting off high, causing the stock market to decline due to worldwide tariffs, putting pressure on the Federal Reserve to cut interest rates, seeing unemployment rise and It is always claimed that the country is more affordable More than ever.
Trump, who is expected to address the nation on Wednesday evening, has made it clear that he wants to give Americans cash, especially as he attempts to Democrats reclaim affordability message Managed to win in November.
“Those who are against tariffs are idiots! … Everyone will be paid a dividend of at least $2000 (not including high income people!),” Trump said on Truth Social in November.
But it is not clear whether this reality is possible.
The White House has not released any concrete plans and when asked about it, administration members and Trump aides had varying levels of confidence.
“We’ll see. We need legislation for this,” Treasury Secretary Scott Besant told Fox News. sunday morning promise Last month. Besant later told ABC News Tariff revenue could come in many forms — indicating that it may not necessarily be a pay check, similar to the first Trump administration stimulus check.
Kevin Hassett, Director of the National Economic Council, told reporters in November, There was enough tariff revenue “to cover those checks and not go into the rest of the budget.”
A major factor is whether checking tariff exemptions is possible How the Supreme Court rules in Trump’s tariff case. If the court upholds Trump’s efforts to impose sweeping tariffs through the International Emergency Economic Powers Act of 1977, the president could move forward with his one-time checks.
But if the court finds the tariffs unconstitutional, it would likely cause major economic disruption and certainly eliminate the possibility of exemption checks.
The president has previously suggested that next year could see the “biggest tax rejection season ever” after a series of tax cuts in July.
Commerce Secretary Howard Lutnick, who has consistently praised the president’s unpopular tariff policy, is confident the Supreme Court will side with the administration.
Lutnik told Fox Business Giving Americans a one-time $2,000 check would also “prove to the American people how great the tariffs are.”
The administration has been working overtime to try to sell the president’s key economic policy, tariffs, which many predicted would raise consumer prices, increase inflation and reduce GDP.
But giving Americans rebate checks is an expensive policy that requires signature from Republicans in Congress.
By now, Senate Majority Leader John Thune indicated he would like to see the money Go from tariffs to paying down the national debt.
Senator Josh Hawley, a staunch Trump ally, introduced legislation this summer that would give Americans $600 million worth of tariff breaks.
Some economists have raised concerns that the one-time tariff payment checks could increase inflation in the country.
Alex Durante, a senior economist at the Tax Foundation, told new York Times “Pumping money” into the economy without underlying changes risks generating higher prices.
But U.S. Trade Representative Jameson Greer dismissed those concerns. last monthClaiming that this is “not some kind of ongoing new welfare program or something that will drive inflation.”