Bessent says Trump’s $2,000 tariff ‘dividend’ could come through tax cuts

Treasury Secretary Scott Bessent said Sunday that President Donald Trump’s proposed $2,000 “tariff dividend” for most Americans might take the form of new or expanded tax cuts rather than direct payments.

Speaking on ABC’s “This Week,” Bessent addressed Trump’s Truth Social post earlier [https://seekingalpha.com/news/4519068-trump-revives-proposal-for-2000-tariff-dividend-to-most-americans] in the day, in which the president said a “dividend of at least $2000 a person (not including high income people!) will be paid to everyone” and criticized those who oppose tariffs as “FOOLS.”

Bessent said he hadn’t yet discussed the idea with Trump but noted that the dividend “could come in lots of forms, in lots of ways.” He pointed to the administration’s ongoing efforts to reduce taxes, saying it could involve “no tax on tips, no tax on overtime, no tax on Social Security – deductibility on auto loans.”

Trump’s remarks came as he continues to defend his sweeping trade policies, which face legal challenges. Earlier this month, the Supreme Court heard arguments in a case seeking to overturn his global tariffs. Several justices voiced doubts about the administration’s authority to impose them, raising the possibility of billions in refunds if the levies are struck down.

The president has warned that such a ruling would be a “disaster” for the U.S. economy.

At the center of the case are Trump’s April 2 “Liberation Day” tariffs, which impose duties of 10% to 50% on most imports depending on their country of origin. Trump has defended the tariffs as necessary to reduce America’s trade deficit and strengthen domestic industry.

In his Sunday post, the president also said the U.S. is “taking in Trillions of Dollars and will soon begin paying down our ENORMOUS DEBT, $37 Trillion.”

Bessent echoed that sentiment, telling ABC that tariff revenue could reach the trillions in coming years, but emphasized that the ultimate goal is “to rebalance trade and make it more fair.”

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