WATCH: White House exploring options for $2,000 tariff rebate checks

Spread the love

The White House is exploring all of its options for sending Americans $2,000 tariff rebate checks, even as the U.S. Supreme Court considers a legal challenge to the president’s use of tariffs.

“The White House is committed to making that happen,” press secretary Karoline Leavitt said Wednesday. “We are currently exploring all legal options to get that done.”

However, Leavitt said she didn’t have a timeline for mailing the checks, something that would likely require congressional approval.

“The president made it clear that he wants to make it happen, so his team of economic advisers is looking into it,” Leavitt said. “When we have an update, we’ll provide one.”

Earlier on Wednesday, Treasury Secretary Scott Bessent told “Fox & Friends” the checks could be subject to an income cap.

“Well, there are a lot of options here that the president’s talking about a $2,000 rebate and those – that would be for families making less than, say, $100,000,” Bessent said.

During the same interview, Bessent said that no decision has been made regarding income caps.

This comes after Bessent told ABC’s “This Week” that the tariff rebate “could come in lots of forms.”

“You know, it could be just the tax decreases that we are seeing on the president’s agenda,” he said. “You know, no tax on tips, no tax on overtime, no tax on Social Security, deductibility of auto loans. So, you know, those are substantial deductions.”

Trump brought up the tariff rebate idea over the weekend and again on Monday.

“All money left over from the $2,000 payments made to low and middle income USA Citizens, from the massive Tariff Income pouring into our Country from foreign countries, which will be substantial, will be used to SUBSTANTIALLY PAY DOWN NATIONAL DEBT,” Trump wrote in a social media post.

Trump provided no details, but at least one group has already worked up an estimate.

The Committee for a Responsible Federal Budget said the math doesn’t work for Trump’s proposal, according to its analysis. The group said that if the payments were structured like the COVID-19 stimulus payments, the $2,000 dividend would cost about $600 billion, which is about twice as much as tariffs are expected to generate this year.

“Current tariffs have raised about $100 billion so far, and will raise about $300 billion per year in the steady state,” CRFB noted. “If paid annually, dividends would be twice as expensive as tariffs.”

CRFB also said the nation’s $38 trillion in debt must be addressed.

“Under no circumstances is the government doing enough to pay down debt, despite the claims to the contrary,” it noted.

Erica York, vice president of Federal Tax Policy at the Tax Foundation, said the proposed rebate checks would add to the nation’s debt.

“The U.S. has not actually taken care of its deficit problem, and sending out $2,000 checks to millions of Americans would make the deficit problem worse,” she wrote on X.

She also noted that Trump’s estimates of how much money tariffs will generate have varied wildly.

“Someone asked me today where the President is getting his various ‘tariff income’ numbers: $2 trillion, $3 trillion, $8 trillion, $17 trillion, and $19 trillion have all been used recently,” she wrote on X. “I honestly have no earthly idea.”

Trump’s rebate idea comes as he seeks to convince voters that he has made things more affordable for working Americans.

Trump’s Liberation Day tariffs have been challenged in federal courts as unconstitutional by some business groups and Blue states, who argue that only Congress has the authority to enact tariffs. Last Wednesday, Supreme Court justices questioned attorneys on both sides of a case challenging Trump’s tariff authority.

Twelve states, five small businesses and two Illinois-based toymakers have challenged Trump’s authority to impose tariffs under a 1977 law without Congressional approval. That law, the International Emergency Economic Powers Act, doesn’t mention the word “tariff” and has never been used to impose tariffs. Trump’s legal team argues that the law is a clear delegation of emergency power, granting the president broad authority to act in times of crisis.

The Supreme Court is expected to decide the case before the end of June, if not sooner.

Trump has said he wants to use tariffs to restore manufacturing jobs lost to lower-wage countries in decades past, shift the tax burden away from U.S. families and pay down the national debt. Economists, businesses and some public companies have warned that tariffs will raise prices on a wide range of consumer products.

A Congressional Budget Office report from August estimated tariffs could bring in $4 trillion over the next decade. That CBO report came with caveats and noted that tariffs will raise consumer prices and reduce the purchasing power of U.S. families.

Earlier in his second administration, Trump and former adviser Elon Musk floated the idea of returning money to taxpayers through the Department of Government Efficiency. Musk’s DOGE initially expected to find $2 trillion in savings by cutting waste fraud and abuse. However, Musk has since left the White House and DOGE was on track to save about $150 billion as of an April cabinet meeting. Those checks never materialized.

Events

No events

Leave a Comment





Latest News Stories

Chip Roy calls for full pause on all U.S. immigration

Chip Roy calls for full pause on all U.S. immigration

By Andrew RiceThe Center Square U.S. Rep. Chip Roy, R-Texas, is proposing a freeze to legal immigration admissions and visa issuances until the federal government addresses changes to the immigration...
Prosecutors defend indictment in Comey case after defense questions

Prosecutors defend indictment in Comey case after defense questions

By Brett RowlandThe Center Square Prosecutors defended how they presented the criminal case against former FBI boss James Comey to a grand jury after defense attorneys said the indictment failed...
IL Rep on congressmen trading: 'We're not going to take a pile of money to hell'

IL Rep on congressmen trading: ‘We’re not going to take a pile of money to hell’

By Jim TalamontiThe Center Square An Illinois congresswoman says the public is right to be alarmed about elected officials enriching themselves through insider trading. The U.S. House Administration Committee held...
House axes provision letting senators sue over data surveillance

House axes provision letting senators sue over data surveillance

By Thérèse BoudreauxThe Center Square The U.S. House has repealed a section in the recently-passed government funding bill that would have allowed individual senators to sue the federal government for...
DoEd’s six new agency partnerships will give parents freedom, break up bureaucracy

DoEd’s six new agency partnerships will give parents freedom, break up bureaucracy

By Tate MillerThe Center Square An education organization is applauding the U.S. Department of Education’s six new agency partnerships announced this week, stating that parents will have more control over...
Illinois quick hits: Officer shot report numbers down; Thanksgiving meal costs down

Illinois quick hits: Officer shot report numbers down; Thanksgiving meal costs down

By Jim Talamonti | The Center SquareThe Center Square Officer shot report numbers down The National Fraternal Order of Police reports, through Oct. 31, 285 police officers have been shot...
WATCH: Chicago activist testifies; Quinn’s millionaire surcharge; High SNAP error rate

WATCH: Chicago activist testifies; Quinn’s millionaire surcharge; High SNAP error rate

By Greg Bishop | The Center SquareThe Center Square (The Center Square) – In today's edition of Illinois in Focus Daily, The Center Square Editor Greg Bishop shares highlights from...
Farm Bureau says Thanksgiving prices down, but not enough

Farm Bureau says Thanksgiving prices down, but not enough

By Brett RowlandThe Center Square The cost of a Thanksgiving meal is down 5% this year, but Americans still feel strained by high food prices, according to the American Farm...
GE Appliances announces $150 million partnerships

GE Appliances announces $150 million partnerships

By Andrew RiceThe Center Square GE Appliances announced Thursday it is investing more than $150 million into contracts for suppliers in the United States, contributing toward a new laundry manufacturing...
Screenshot 2025-11-19 at 9.30.06 AM

Frankfort, Will County Partner on Wildlife Rabies Control

Will County Board Executive Committee Meeting | November 13, 2025 Article Summary: The Will County Board Executive Committee recommended approval of an intergovernmental agreement on Thursday, November 13, 2025, that allows...
Screenshot 2025-11-19 at 9.30.44 AM

Executive Committee Approves Appointments for Washington Township, Emergency Telephone Boards

Will County Board Executive Committee Meeting | November 13, 2025 Article Summary: The Will County Board Executive Committee on Thursday, November 13, 2025, recommended the approval of two key appointments, filling...
Trump signs bill to release Epstein files

Trump signs bill to release Epstein files

By Brett RowlandThe Center Square President Donald Trump signed a bill late Wednesday to release federal files related to former financier and convicted sex offender Jeffrey Epstein. After fighting the...
WATCH: Dysolve AI offers approach to dyslexia in schools

WATCH: Dysolve AI offers approach to dyslexia in schools

By Esther WickhamThe Center Square While education leaders search for breakthroughs in special education, one AI platform, Dysolve, claims it has found part of the answer. Dysolve AI, created by...
Pregnancy centers ‘crucial’ to national safety net, provide over $452M to families in 2024

Pregnancy centers ‘crucial’ to national safety net, provide over $452M to families in 2024

By Tate MillerThe Center Square Pregnancy centers in 2024 provided over $452 million in goods and services to women and families across the nation, while its client satisfaction rate rose...

WATCH: Dems leave hearing before minority group’s testimony on Biden border policies

By Jim Talamonti | The Center SquareThe Center Square (The Center Square) – A member of a minority grassroots Chicago organization testified before the U.S. Senate Committee on the Judiciary...