New stimulus checks seem unlikely, but Trump proposes rebates from tariff revenue
While a proposed stimulus check coming from DOGE savings is looking unlikely, a new plan has been introduced to give money from President Donald Trump’s tariffs back to taxpayers.
On July 25, responding to a reporter that asked about all of the “tariff revenue coming in” and the “possibility of a rebate to the American public,” Trump said: “We’re thinking about that actually.”
“We have so much money coming in, we’re thinking about a little rebate. But the big thing we want to do is pay down debt. But we’re thinking about a rebate,” Trump said. “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.”
A few days later, on July 28, U.S. Sen. Josh Hawley, R-Mo., introduced the American Worker Rebate Act, which would send rebate checks to Americans from tariff revenues.
Here’s what to know about a possible stimulus or rebate check, how much and who would qualify.
Hawley’s bill, called the American Worker Rebate Act of 2025, would provide a minimum of $600 per tax-paying adult and dependent child, or $2,400 for a family of four, according to the bill text.
The benefit would be reduced by 5% for joint filers with an adjusted gross income above $150,000 or single filers earning more than $75,000 individually.
According to an analysis from The Budget Lab at Yale released July 28, Trump’s tariffs could cost U.S. households an average of $2,400 in 2025 through higher prices passed on from companies paying higher tariff taxes.
In July, the Treasury Department reported a June $27 billion surplus due to tariff revenues, the first June surplus since 2017. U.S. Treasury Secretary Scott Bessent has said that U.S. tariff revenues could top $300 billion a year, but economists have warned they could also spur inflation and slow economic growth.
The bill would allow for a larger rebate if the tariff revenue exceeds projections.
Trump floated the idea of using part of the government revenue being generated by the new tariffs and returning it to taxpayers of a certain income level in the form of a rebate check.
Hawley’s press release said that the rebates would follow “similar parameters” to the stimulus checks sent during the pandemic.
Hawley’s bill, and likely any rebate to taxpayers, requires approval by Congress, which governs taxation and spending. But the House and Senate are controlled by Republicans aligned with Trump.