1. Short title
This Act may be cited as the “Tariff Rebate Act”.
Tariff Rebate Act
A BILL
To establish the Tariff Rebate Program to disburse revenues from tariffs back to the American people.
2. Findings
Congress finds the following:
The Chinese Communist Party has exploited its trading relationship with the United States at the expense of American workers and industries, including industries critical to our national security such as steel and aluminum.
Tariffs serve various strategic purposes for the United States, but they also impose costs on Americans by raising the price of consumer goods and other imports.
American families share the burden of tariffs, so they should share in the revenue raised from tariffs as well.
Distributing tariff revenues as a rebate to taxpayers will help Americans stand united as we use trade barriers to accomplish important national objectives.
3. Tariff Rebate Program
In general— Subject to subsection (e), the Secretary of the Treasury or the Secretary's delegate (referred to in this section as the Secretary) shall establish and implement the Tariff Rebate Program to—
determine the total amount collected pursuant to duties imposed under sections 201 and 301 of the Trade Act of 1974 (19 U.S.C. 2251 and 2411) and section 232 of the Trade Expansion Act of 1962 (19 U.S.C. 1862) during 2019 and each calendar year thereafter;
determine the number of eligible individuals that have filed a Federal income tax return for the taxable year ending with or within the applicable calendar year under paragraph (1); and
disburse a payment equal to the applicable amount to each such eligible individual.
Eligible individual—
In general— Except as provided under subsection (e), for purposes of this section, the term eligible individual means an individual who, with respect to any taxable year ending with or within a calendar year, has—
filed a Federal income tax return not later than October 15 of the succeeding calendar year; and
taxable income of not greater than—
in the case of any taxpayer filing a joint return for such taxable year, $168,400; or
in the case of any taxpayer not filing a joint return for such taxable year, $84,200.
Exception— The term eligible individual shall not include, with respect to any taxable year ending with or within a calendar year—
any estate or trust;
any nonresident alien individual or any alien who is not authorized for employment in the United States; or
any individual who is a dependent for whom a deduction is allowable under section 151 to another taxpayer for such taxable year.
Inflation adjustment— In the case of any taxable year beginning after 2019, each dollar amount referred to in paragraph (1)(B) shall be increased by an amount equal to—
such dollar amount; multiplied by
the cost-of-living adjustment determined under section (1)(f)(3) of the Internal Revenue Code of 1986 for the calendar year in which the taxable year begins, by substituting “2018” for “2016” in subparagraph (A)(ii) thereof.
Applicable amount—
In general— Except as provided under subsection (e), for purposes of this section, the applicable amount shall be an amount equal to the quotient obtained by dividing—
the amount described in subsection (a)(1) for the applicable calendar year; by
an amount equal to the number of eligible individuals that have filed a Federal income tax return for the taxable year ending with or within such applicable calendar year.
Rounding— Any amount determined under paragraph (1) shall be rounded down to the next whole dollar amount.
Timing of payment— For purposes of subsection (a)(3), the Secretary shall disburse such payment as rapidly as possible following the determination of the applicable amount for the calendar year.
Special rebate for tax year 2018—
In general— Not later than 90 days after the date of enactment of this Act, the Secretary shall—
determine the total amount collected pursuant to duties imposed under sections 201 and 301 of the Trade Act of 1974 and section 232 of the Trade Expansion Act of 1962 during calendar years 2017 and 2018;
determine the number of eligible individuals that have filed a Federal income tax return for the taxable year ending with or within calendar year 2018; and
disburse a payment equal to the applicable amount to each such eligible individual.
Eligible individual— For purposes of this subsection, the term eligible individual has the same meaning given such term under subsection (b), except that paragraph (1)(B) of such subsection shall be applied—
in clause (i) of such paragraph, by substituting “$165,000” for “$168,400”; and
in clause (ii) of such paragraph, by substituting “$82,500” for “$84,200”.
Applicable amount—
In general— For purposes of this subsection, the applicable amount shall be an amount equal to the quotient obtained by dividing—
the amount described in paragraph (1)(A); by
an amount equal to the number of eligible individuals that have filed a Federal income tax return for the taxable year ending with or within calendar year 2018.
Rounding— Any amount determined under subparagraph (A) shall be rounded down to the next whole dollar amount.
Tariff Rebate Fund—
Establishment of Fund— There is established in the Treasury a fund to be known as the “Tariff Rebate Fund”, consisting of such amounts as may be transferred to the fund pursuant to paragraph (2), to remain available until expended.
Transfers to Fund— The Secretary shall transfer to the Tariff Rebate Fund from the general fund of the Treasury an amount equivalent to the amount of duties collected after December 31, 2016, and imposed pursuant to sections 201 and 301 of the Trade Act of 1974 and section 232 of the Trade Expansion Act of 1962.
Availability of funds— Amounts in the Tariff Rebate Fund shall be available to the Secretary, without further appropriation, to carry out the Tariff Rebate Program (including any provisions under subsection (e)).