Donald Trump details plan to eliminate income tax for US citizens

President Donald Trump has announced a plan to replace individual income taxes with revenue generated from tariffs on imported goods, promising that Americans may eventually have “no income tax to pay.”

During his 2024 campaign, Trump repeatedly promoted the idea of abolishing federal income taxes, a proposal that sparked both support and disbelief among voters.

He argued that the U.S. should return to an older system where foreign nations, not American workers, bore the financial burden through tariffs, saying this approach would strengthen the country.

When asked by podcaster Joe Rogan whether he seriously intended to eliminate personal income taxes, Trump responded affirmatively, insisting tariffs could sustain the government instead of taxing wages.

Since taking office, he has revived that pledge, stating at a Cabinet meeting that Americans might soon face minimal—or no—income taxes because rising tariff revenue could offset the loss.

However, financial data contradicts the plan. Income taxes currently provide over half of all federal revenue, while tariffs contribute only a small fraction, making it mathematically impossible for tariffs to replace income taxes, according to multiple tax experts.

Economists also warn that heavy tariffs could reduce imports, spark retaliation, burden lower-income households, and face legal challenges regarding presidential authority—casting serious doubt on whether Trump’s promise is achievable or merely another ambitious claim.