Trump announces a $2000 "tariff dividend" for all citizens, excluding high-income groups.

Author: Jin10 Data

U.S. President Trump declared last Sunday that he will distribute a “minimum of $2,000 dividend per person” to all Americans except “high-income individuals,” and stated that the United States has become a wealthy nation due to its tariff policies.

“Opponents of tariffs are fools! We are now the wealthiest and most respected country in the world, with nearly zero inflation, stock markets hitting record highs, and 401k pension accounts reaching all-time highs,” Trump wrote on Twitter.

He added, “We are collecting trillions of dollars and will soon start repaying the enormous debt of $37 trillion. The U.S. is attracting record investments, factories are blooming everywhere. Every person will receive at least $2,000 in dividends (excluding high-income groups!).”

Treasury Secretary Yellen told ABC’s “This Week” last Sunday that she has not discussed this proposed dividend plan with Trump.

“This $2,000 dividend could be implemented in various forms and through multiple channels,” Yellen told the host. “It could be through tax cuts we are pushing on the presidential agenda—for example, tips tax exemption, overtime pay tax exemption, Social Security tax exemption, car loan tax credits, etc.”

Trump issued a statement on his Truth Social platform, coinciding with the White House’s recent defense of its broad use of tariff powers before the Supreme Court. The justices expressed skepticism about Trump’s overuse of the International Emergency Economic Powers Act.

Trump’s public proposal for Americans to receive $2,000 from tariff revenues also came after Democrats nationwide won elections last week. From moderates to progressives, Democratic campaigns focused on affordability and living costs as core issues.

Yellen emphasized that the primary purpose of tariffs is not revenue generation (which is within Congress’s authority), but to address perceived unfair trade imbalances.

“The focus is not on generating revenue but on rebalancing,” Yellen said. “Revenue is generated initially. As rebalancing and job re-shoring occur, it will translate into domestic tax revenue.”

However, tariffs have already generated billions of dollars in revenue. As of September, the U.S. government collected $195 billion from tariffs, which are taxes paid by companies on imported goods.

Compared to the previous fiscal year’s tariff revenue, this represents a 250% increase, adding an extra $118 billion.

According to Treasury Department data, tariffs are expected to generate approximately $3 trillion in revenue over the next decade.