President-elect Donald Trump announced the creation of a new government entity on Tuesday designed to collect the tariffs and duties coming in from "foreign sources."
"For far too long, we have relied on taxing our Great People using the Internal Revenue Service (IRS). Through soft and pathetically weak Trade agreements, the American Economy has delivered growth and prosperity to the World, while taxing ourselves. It is time for that to change. I am today announcing that I will create the EXTERNAL REVENUE SERVICE to collect our Tariffs, Duties, and all Revenue that come from Foreign sources," Trump posted on his Truth Social platform.
During the presidential campaign, Trump promised to implement large tariffs on foreign goods entering the U.S. starting with a 60% tariff on items from China and up to 20% tariff on other nation's products.
Trump has even threatened a 100% tariff on Mexico until it can stem the tide of illegal immigration. While critics say the move will initiate a tariff war, Trump contends such fees are necessary to create more factory jobs, shrink the federal deficit, lower food prices and allow the government to subsidize childcare.
"We will begin charging those that make money off of us with Trade, and they will start paying, FINALLY, their fair share. January 20, 2025, will be the birth date of the External Revenue Service. MAKE AMERICA GREAT AGAIN!" he added.