WASHINGTON – President Donald Trump said he is considering distributing rebates to U.S. taxpayers because of billions of dollars from tariffs flowing in from foreign imports.
Trump roiled international markets earlier this year by imposing tariffs on specific countries and on specific goods, such as steel and aluminum. As he continues to phase them in, White House press secretary Karoline Leavitt said July 11 those in place have already raised $100 billion.
“We have so much money coming in, we’re thinking about a little rebate,” Trump told reporters July 25 before leaving for Scotland to refine details of a trade agreement with the United Kingdom.
Any rebate to taxpayers would likely require approval by Congress, which governs taxation and spending. But the House and Senate are controlled by Republicans aligned with Trump.
Trump didn’t specify the size of rebates he is considering or who would qualify. The tariffs are projected to raise trillions of dollars in the coming years, but economists have warned they could also spur inflation and slow economic growth.
Trump said his primary goal from tariffs is to pay down debt but there might be enough for rebates to individual taxpayers.
“The big thing we want to do is pay down debt,” Trump said. “But we’re thinking about rebates.”
Trump suggested the rebates could be restricted to taxpayers with certain incomes. But he didn’t elaborate on who would qualify.
“We’re thinking about a rebate because we have so much money coming in from tariffs that a little rebate for people of a certain income level might be very nice,” Trump said.
Trump announced worldwide tariffs April 2 but then paused them amid a worldwide outcry and spiraling stock market. But he has sent letters to 25 countries threatening tariffs that will go into effect Aug. 1 unless the countries strike individual trade deals with the United States.
Trump recently reached trade deals with Japan, South Korea and the Philippines. He earlier reached a deal with the United Kingdom and a framework for negotiations with China.
But the country’s largest trading partners in Canada and Mexico haven’t reached deals, and neither has the European Union.
This article originally appeared on USA TODAY: Trump considers ‘rebates’ to US taxpayers from tariff income
