Bill · H.R. 7865· House(119-HR-7865)
American Consumer Tariff Rebate Act of 2026
- Introduced
- 3/9/2026
- Last activity
- 3/9/2026 — Referred to the House Committee on Ways and Means.
- Sponsored by
- Henry Cuellar
- Cosponsors
- None
- Introduced
- In Committee
What this bill would do
This bill is called the American Consumer Tariff Rebate Act of 2026. It directs the Secretary of the Treasury to provide one-time direct payments to taxpayers to offset increased consumer costs from certain tariffs. The total amount of these payments cannot exceed $231,350,000,000. Returns reporting an adjusted gross income of more than $400,000 are excluded from receiving a payment. Savings from excluding high-income taxpayers are used to fund a Child Bonus of $125 for each qualified child claimed on eligible returns. Payments are distributed automatically using information available to the Internal Revenue Service.
Yes· 3 of 16
Would households on low incomes be better off under this?+5
Low-income households and non-filers gain direct financial support through simplified filing and rebates.
Would middle-income households be better off under this?+5
Middle-class households receive direct payments to offset tariff-related costs.
Does this cut taxes for middle-income families?+5
The bill provides a one-time direct payment to middle-class taxpayers to offset increased consumer costs from tariffs.
The opposite· 3 of 4
Would people with substantial wealth be better off under this?-5
High-net-worth individuals over the $400,000 income cap are excluded from payments.
Would the very wealthiest people be better off under this?-5
Ultra-high-net-worth individuals are excluded from receiving the rebate.
Would billionaires be better off under this?-5
Billionaires are excluded from receiving the rebate due to the income limitation.
Who it would affect, and how
Potential Positive Impacts for People
-
Section 4(a) provides a one-time direct payment to eligible taxpayers to help offset increased consumer prices caused by certain tariffs.
-
Section 5(a) and Section 5(b) establish a Child Bonus of $125 for each qualified child claimed on eligible returns, which provides extra financial support to taxpayers raising children.
-
Section 6(a) and Section 6(b) ensure that payments are issued automatically using existing IRS information via direct deposit, paper check, or prepaid debit card, making it easier for people to receive their money without jumping through hoops.
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Section 6(c) requires the Secretary to create a simplified filing procedure for individuals who did not file a tax return for the most recent taxable year, helping non-filers access the rebate.
Potential Negative Impacts for People
- Section 4(b) and Section 5(a)(1) prohibit any payments or child bonuses from being made to any return reporting an adjusted gross income exceeding $400,000, which completely cuts out individuals above that income threshold from receiving relief for the tariff costs they also paid.
Groups and Interests Ranking
Every group the model scored this bill for, from -10 to +10. Hover a score for the reason it gave.
- Demographic And Interest Groups
- Good For Low Income Households+5Good For Middle Class Households+5Good For Children+4Good For Middle Aged+4Good For Retirees+3Good For Seniors+3Good For Young Adults+3Good For Men+2Good For Veterans+2Good For Women+2Good For Billionaires-5Good For High Net Worth Individuals-5Good For Ultra High Net Worth Individuals-5Good For High Income Households-4
- Economy And Finance
- Reduces Middle Class Taxes+5Improves Economic Growth+2
- Social Issues And Justice
- Improves Poverty Reduction+4Improves Childcare Affordability+3
- Governance And Ideology
- Improves Government Transparency+3Increases Federal Power+2
- 3/9/2026
- Referred to the House Committee on Ways and Means.
- Introduced in House