Trump’s announcement of an “External Revenue Service” raises eyebrows as critics question its necessity and effectiveness in collecting foreign revenue.
Washington: So, Trump’s at it again. With his second inauguration just around the corner, he’s stirring the pot about trade tariffs. He’s been all talk, but will he actually follow through? Some folks think he might backtrack on his plans, which could really mess with the economy.
Then, out of the blue, he drops a bombshell on social media. He’s saying we’ve relied too much on the IRS and that it’s time for a change. He’s announcing the creation of something called the “External Revenue Service” to collect tariffs and duties from foreign sources. He claims this will make those who profit from trade pay their fair share. He’s set the launch date for January 20, 2025.
But hold on a second. There’s a saying: “watch what they do, not what they say.” Reports are flying around that he’s planning to set up a new agency alongside the IRS. But who knows if he’ll actually go through with it or if this is just another one of his fleeting ideas?
Let’s say he’s serious, though. If he really does create this new bureaucracy to focus on collecting foreign money, there are some big issues. First off, it seems like a clumsy political move. Trump has never really grasped trade policy, and he seems to think tariffs will magically fill the government’s pockets.
But here’s the kicker: it’s American consumers who will end up paying more because of his policies, not the foreign sources he’s targeting.
And even if we ignore that, there’s a bigger problem. The U.S. already has an agency that handles foreign revenue collection: U.S. Customs and Border Protection. They’re already doing what this “External Revenue Service” would supposedly do.
The Washington Post pointed out that Trump’s announcement left a lot of people scratching their heads about how this new office would even function.
Customs and Border Protection manages tariff policy, which is set by the president and Congress. Importers declare the value of their goods, and CBP checks that paperwork before collecting any fees. In 2023, the government raked in about $80 billion from tariffs and duties, according to estimates.
So, does Trump even know this? Did he think about it before making his announcement? Maybe he could’ve asked someone who actually knows what’s going on.
Sadly, we probably already know the answer to that.
This article was originally published on MSNBC.com
