Inside Trade

February 13, 2025

White House: Replacing income tax with tariffs would fuel inflation, inequality

By Oliver Ward  / July 15, 2024 at 6:30 AM
Relying on broad tariffs for U.S. government revenue instead of income taxes, as former President Trump floated last month, would worsen economic inequality, fuel inflation and hurt domestic production, the White House Council of Economic Advisers said on Friday. In a private meeting with GOP lawmakers on Capitol Hill last month, Trump reportedly discussed scrapping federal income tax and using tariffs to fund the government instead. The CEA, in an analysis published by the White House on Friday, warned that...

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