Will NC residents get $2K ‘tariff dividend’ checks? We asked an economist
AI-generated summary reviewed by our newsroom.
- President proposes $2,000 tariff dividend funded by import duties; Congress must approve.
- Economic analysis finds tariffs may yield about $300B in 2025, short of $500B payout cost.
- Experts warn mass payments risk reigniting inflation; Treasury and IRS will outline rules.
After the COVID-19 pandemic, we’re all familiar with the concept of stimulus checks. Now, another round could be coming, according to President Trump.
On Sunday, the President announced via Truth Social that most Americans (excluding high-income individuals) would receive a “tariff dividend” of at least $2,000 per person to be funded by the revenue collected from import tariffs, The Guardian Reported.
He claimed tariffs have brought in “trillions of dollars” and said the surplus would not only fund the payouts but also help reduce the national debt.
The Charlotte Observer spoke to an economist to find out whether sending $2,000 checks to most Americans would be feasible, when it could happen and whether it would benefit the economy.
Here’s what you need to know.
Could NC residents get $2,000 tariff dividend checks?
Possibly, UNC Charlotte Economics Professor John Connaughton told The Charlotte Observer.
“We’ve done this before,” Connaughton said, referencing the COVID-19 pandemic, when economic impact payments were sent to eligible Americans three times from March 2020-March 2021.
The U.S. could collect nearly $300 billion in tariff revenue by the end of this year, but Connaughton noted that giving eligible taxpayers $2,000 checks would cost roughly $500 billion.
“Where would the other $200 billion come from?” asked Connaughton.
Even if tariff revenue were allocated to fund the checks, Congress would still need to approve legislation specifying the payments, define eligibility and appropriate funds, The Guardian reported.
When would the tariff dividend checks come?
That’s uncertain. According to US Treasury Secretary Scott Bessent, the payment could come in “lots of forms, lots of ways” (including a 2026 tax credit) and the administration has not confirmed a firm distribution date, The Guardian reported.
The “checks” could also come in the form of no federal tax on tips on overtime income, tax exemptions for Social Security benefits and increased deductibility for car loans and mortgage interest, The Economic Times reported.
Would tariff dividend checks help the economy?
It’s unlikely. According to Connaughton, that’s due to a lingering problem from the pandemic.
“This is not the time for stimulus checks,” Connaughton said. “We still haven’t gotten inflation down to where we want it.”
As of September 2025, the U.S. inflation rate was roughly 3% — an improvement from the past few years, but still far off from the Federal Reserve’s target rate of 2%.
If people suddenly had more money to spend, they would buy more goods and services, but if businesses can’t keep up with higher demand, they often raise prices, Connaughton explained.
“That money will last for six months, but the higher prices will be there for longer,” Connaughton said.
Treasury and IRS officials say they’ll share more details soon about who qualifies and when people could actually get the money, The Economic Times reported.
This story was originally published November 10, 2025 at 3:35 PM with the headline "Will NC residents get $2K ‘tariff dividend’ checks? We asked an economist."
