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Sen. Josh Hawley, R-Mo., introduced legislation Monday to distribute $600 rebate checks to every American adult and child, using revenue generated by President Donald Trump’s expanded tariffs. The proposal mirrors pandemic-era stimulus checks and follows Trump’s recent endorsement of a similar idea.
The bill, which sets up a system of refundable tax credits, would distribute at least $600 per person—and potentially more, depending on revenue levels—to U.S. households in 2025. Hawley’s move positions him as a key Senate backer of Trump’s economic messaging and taps into growing Republican populism ahead of the 2026 midterm elections.
Background: Trump’s Tariff Legacy and Stimulus Echoes
Hawley announced his proposal days after Trump told reporters he supports the idea of “tariff rebate” checks—direct payments to help offset rising consumer costs stemming from his sweeping tariffs on imported goods.
“Like President Trump proposed, my legislation would allow hard-working Americans to benefit from the wealth that Trump’s tariffs are returning to this country,” Hawley said in a statement Monday.
Hawley previously supported similar relief efforts in 2020, co-sponsoring pandemic stimulus checks with Sen. Bernie Sanders, I-Vt. His new bill revives that framework by creating a direct payment mechanism administered through the IRS.
Details of the Legislation
The bill would guarantee each adult and dependent child a minimum of $600, distributed as a refundable tax credit, regardless of tax liability. Payments would phase out gradually for higher earners:
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Individuals: Phaseout begins at $75,000 in adjusted gross income
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Heads of Household: Phaseout begins at $112,500
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Married Joint Filers: Phaseout begins at $150,000
The amount could increase if tariff revenues exceed expectations. According to the Treasury Department, customs duties reached $27 billion in June, up $4 billion from May.
Government Response and Legislative Hurdles
Despite Trump’s support, the legislation faces long odds in Congress. House Speaker Mike Johnson, R-La., has expressed skepticism about sending direct government checks. Earlier this year, he criticized a failed proposal for a “DOGE dividend” linked to savings from a now-defunct efficiency plan led by Elon Musk.
That plan, which aimed to return up to $2 trillion in savings to taxpayers, collapsed after Musk resigned from the administration in May and publicly distanced himself from Trump.
Public and Expert Reactions
The proposed rebate comes amid mixed public opinion about tariffs. A July Gallup poll found that while many Republicans support tariffs as a tool for protecting U.S. manufacturing, most Americans worry about rising prices.
The Washington-based Tax Foundation estimates Trump’s tariffs will raise $2.5 trillion over the next decade—but projects they will functionally increase taxes on the average U.S. household by nearly $1,300 in 2025 and $1,700 by 2026.
Still, economic populists like Hawley argue the rebates will soften that blow and redirect foreign import payments back to American pockets.
Broader Context: Tariffs, Inflation, and Election Politics
June inflation ticked upward as new tariffs began to ripple through the economy. Economists warn of price pressures but acknowledge tariffs have also contributed to a revenue spike for the U.S. government.
Republicans are increasingly split on how to harness that revenue. Traditional fiscal conservatives remain wary of government payouts, while populists, led by Trump and Hawley, see direct transfers as a way to maintain voter support and reframe the tariff debate as pro-worker.
Next Steps
Hawley’s bill will be referred to the Senate Finance Committee, but without strong backing from Republican leadership or bipartisan support, its legislative path is uncertain.
Trump has not commented specifically on Hawley’s draft but praised the concept last Friday as a way to “share the wealth from America First trade policy.”
With Trump as the likely GOP nominee in 2026, proposals like Hawley’s could set the stage for broader Republican debates over the future of economic nationalism, stimulus politics, and the use of tariff funds.
