Tariff Rebate Checks, a legislative proposal backed by Donald Trump and introduced by Republican Senator Josh Hawley, has emerged as a key issue in the US economic debate. This initiative, inspired by pandemic stimulus payments, seeks to return to citizens a portion of the revenue generated by tariffs.
Proponents have presented the idea as a way to alleviate the financial burden that higher tariffs have imposed on consumers, particularly in the context of an economic slowdown.
What is this bill proposal about?
The bill, known as the American Worker Rebate Act, proposes a direct payment mechanism to households, with specific amounts based on family composition and income level.
While the Congressional Budget Office estimates that tariffs could reduce the federal deficit by $4 trillion over a decade, critics say this policy could cost American families up to $2,500 more per year.
How much could a family of four receive if this new stimulus payment is approved?
These are the two most important points of the bill to know how money is distributed in a family:
Each working adult or child in a household receives a $600 payment, which would translate to $2,400 for a family of four.
Reduced payments for families earning more than $150,000, individuals earning more than $75,000 and heads of households earning $112,500.
What did Donald Trump say about this bill?
According to Newsweek, President Donald Trump said, “We have a lot of money coming in. It’s coming in large numbers. There is a concept of paying a dividend to the people of this country who have paid a lot of taxes but received nothing in return.”
“Primarily we want to pay off the debt, but there is a possibility that we will take some of it and turn it into a dividend for the people,” he stated.
