What to Know About Trump’s Proposed ‘External Revenue Service’
TimeJAN 18
Trump Says He'll Create 'External Revenue Service' for Tariff Income
Above: US Pres.-elect Donald Trump at the US Capitol in Washington, DC, US, on Wednesday, Jan. 8, 2025. Image copyright: Valerie Plesch/Contributor/Bloomberg via Getty Images
The Facts
US Pres.-elect Donald Trump said he plans to create a new government agency for collecting tariffs, duties, and other income from foreign sources on Tuesday.
In a post on his social media platform Truth Social, Trump said the proposed External Revenue Service will be created on the first day of his presidency — set to begin on Jan. 20.
"For far too long, we have relied on taxing our Great People using the Internal Revenue Service," Trump said. "Through soft and pathetically weak Trade agreements, the American Economy has delivered growth and prosperity to the World, while taxing ourselves. It is time for that to change."
The Spin
Republican narrative
Americans have long suffered as a result of the country's weak trade agreements with other countries, resulting in American wealth being shipped off abroad. The creation of this new agency, alongside the imposition of a new tariff regime, will set these problems straight and make America great again.
Democratic narrative
Trump has already been widely ridiculed for these half-baked plans. Not only does he not seem to know that another government agency is responsible for collecting tariff income, but that he doesn't have the power to create a new agency in the first place.
Metaculus Prediction
Public Figures
The Controversies
Political split
LEFT
RIGHT
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