Bill · S. 2475· Senate(119-S-2475)
American Worker Rebate Act of 2025
- Introduced
- 7/28/2025
- Last activity
- 7/28/2025 — Read twice and referred to the Committee on Finance.
- Sponsored by
- Josh Hawley
- Cosponsors
- None
- Introduced
- In Committee
What this bill would do
The American Worker Rebate Act of 2025 aims to amend the Internal Revenue Code to provide tax credits to eligible individuals using revenue from tariffs. The policy intends to use funds from duties imposed on foreign imports after January 20, 2025, to provide relief to working people. These rebates are calculated based on a set amount or a portion of qualifying tariff proceeds, with additional amounts for qualifying children. The act includes provisions for advance refunds and specific eligibility requirements regarding identification numbers. It also addresses how residents of U.S. possessions receive these benefits.
Yes· 3 of 7
Would households on low incomes be better off under this?+6
The bill provides direct financial relief through tax credits.
Would children be better off under this?+5
The rebate amount increases based on the number of qualifying children a taxpayer has.
Does this cut taxes for middle-income families?+5
The bill provides a tax credit based on tariff proceeds to individuals.
The opposite
Does this give people more protection from unfair business practices?-2
The bill is funded by tariffs, which can increase the cost of imported goods for consumers.
Who it would affect, and how
Potential Positive Impacts for People
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Financial Relief for Working People: The bill's policy is to use revenue from tariffs on foreign imports to provide immediate tax rebates to working people (Section 1(b)).
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Increased Rebate Amounts for Families: Eligible individuals can receive a credit that includes an amount based on the number of their qualifying children (Section 2(a)(1)).
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Support for U.S. Possessions: The bill provides for payments to residents of U.S. possessions, such as Puerto Rico and the Northern Mariana Islands, to ensure they receive benefits similar to those provided to other individuals (Section 2(c)).
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Rapid Delivery of Funds: The Secretary is directed to refund or credit overpayments as rapidly as possible (Section 2(f)(3)(A)).
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Electronic Payment Options: The Secretary may disburse refunds electronically to authorized accounts to facilitate delivery (Section 2(f)(3)(B)).
Potential Negative Impacts for People
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Income-Based Reductions: The amount of the credit is reduced by 5 percent for portions of adjusted gross income that exceed specific thresholds: $150,000 for joint returns, $112,500 for head of household, and $75,000 for others (Section 2(c)).
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Strict Identification Requirements: To receive the credit, individuals must include a valid identification number, such as a social security number, for themselves, their spouse, and any qualifying children (Section 2(g)(1)).
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Exclusion of Certain Groups: Nonresident alien individuals, certain estates or trusts, and individuals for whom a deduction is allowed to another taxpayer are not considered eligible individuals (Section 2(d)).
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Lack of Interest on Overpayments: No interest shall be allowed on any overpayment related to this section (Section 2(f)(4)).
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+6Good For Children+5Good For Middle Class Households+4
- Economy And Finance
- Reduces Middle Class Taxes+5Improves Economic Growth+2Improves Consumer Protection-2
- Social Issues And Justice
- Improves Poverty Reduction+4
- Governance And Ideology
- Improves Government Transparency+2
- 7/28/2025
- Read twice and referred to the Committee on Finance.
- Introduced in Senate
One bill Congress.gov lists as related to this one — companions in the other chamber, earlier versions, and bills this one absorbed or was folded into.