Kevin O’Leary blasts Trump’s $2,000 tariff dividend as a ‘silent tax’ on Americans. What to do with it if you get it

Author's Summary

Kevin O'Leary criticizes President Trump's proposed $2,000 tariff dividend checks as a short-term fix that fuels inflation, labeling it a "silent tax," and urges using tariff funds to cut national debt for lasting economic strength instead.

Trump's Tariff Dividend Proposal

President Donald Trump posted on Truth Social about delivering at least $2,000 "tariff dividend" payments to American households, drawn from tariffs on imported goods.

This aims to share trade revenue directly with families rather than keeping it solely with the government.

O'Leary's Criticism

Investor Kevin O'Leary slammed the plan on X as a "quick band-aid" in a challenging economy.

Everyone loves the idea of a free check, especially in a tough economy. But here's the truth, and it's not always popular. Sending out $2000 checks funded by tariffs might feel good in the moment, but it does nothing to fix the core problem.

He warns these payouts could worsen inflation, which acts as a hidden tax hitting lower-income Americans hardest.

Tariffs raise import prices for consumers, and redistributing the cash may chase scarcer goods, driving costs higher.

Better Use for Tariff Revenue

O'Leary recommends directing tariff proceeds to reduce national debt, bolstering economic foundations.

That's how you lower mortgage rates, stabilize the bond market, and protect the long-term strength of the U.S. dollar.

This approach prioritizes sustained stability over one-off handouts.

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Yahoo Finance Yahoo Finance — 2025-11-29

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