Collecting billions of dollars each month from new tariffs, what does the US intend to do with it?

(Dan Tri) - US Treasury Secretary Scott Bessent said that revenue from import taxes is currently prioritized for debt repayment, instead of being "divided" directly to the people.

Recently, some US congressmen proposed using the money collected from import taxes to "share" among the people, with a minimum of 600 USD/adult and child. Accordingly, a family of 4 could receive 2,400 USD from the US government .

However, in an interview with CNBC on August 19, US Treasury Secretary Scott Bessent dismissed this idea. "I think at some point we could do that. But right now, President Donald Trump and I are focused on paying down the debt," he said.

The US collected about $100 billion in import duties between April and July, according to US Treasury Department data. Mr. Bessent said in an interview on August 19 that this year's tax collection could exceed forecasts.

"I've said it could be $300 billion. But I'll probably have to raise that forecast. We'll reduce the deficit to GDP ratio, start paying down the debt, and at some point we'll make it up to the American people," Mr. Bessent said.

President Trump has also touted the potential revenue gains from import tariffs, saying the money could be used for multiple purposes, including paying down the massive national debt and distributing money to Americans.

US Treasury Secretary Scott Bessent (Photo: Reuters).

"My primary goal is to use this money to pay down debt, and that's going to be on a very large scale," Trump said on August 5. "But I also think we're taking in so much money that it could be of direct benefit to the American people."

In fact, all government revenue—from ordinary taxes to tariffs—goes into a general fund managed by the Treasury Department, known as “America’s checkbook.” This fund is used to pay for things like Social Security, welfare, and other government expenses.

When revenues are not enough to cover expenditures, the government must borrow to cover the deficit. As of now, the total US public debt has exceeded 36,000 billion USD. The number is increasing steadily and has many economists worried because of the heavy burden of interest payments, at the same time reducing resources for investment in infrastructure and essential sectors.

Although the revenue from tariffs is not enough to erase the $1.4 trillion budget deficit in the current fiscal year, it will help reduce the need for new borrowing, thereby somewhat limiting the rate of increase in public debt.

Source: https://dantri.com.vn/kinh-doanh/thu-hang-ty-usd-moi-thang-tu-muc-thue-quan-moi-my-dinh-dung-lam-gi-20250820183320273.htm