President Donald Trump has once again shaken the political and economic landscape, this time with his bold proposal to eliminate the federal income tax and replace it with a tariff-based system. While the Washington establishment and left-wing economists clutch their pearls, everyday Americans are seeing a vision of an economy where they keep more of their hard-earned money while foreign nations foot the bill.
On day one, Trump wasted no time, issuing a hiring freeze on government agencies, hinting at the possibility of either dismantling or drastically reshaping the IRS. He even floated the idea of relocating Biden-approved IRS hires “to the border.” If there’s one thing that terrifies career bureaucrats, it’s a president who doesn’t just talk about cutting government—he actually does it.
Trump has been dropping hints about this revolutionary plan since his campaign, making it clear that he wants to put America’s economic power back in the hands of its citizens, not D.C. swamp creatures. In an interview with Fox News last October, Trump recalled how America flourished under a tariff-based system in the late 19th century before the income tax was even a thing. When asked if he would abolish the tax altogether, he replied, “There is a way… if what I’m planning comes out.” Days later, on Joe Rogan’s podcast, he was even more direct: “Yeah, sure, why not?”
At his inaugural address, Trump sealed the deal. “Instead of taxing our citizens to enrich other countries, we will tariff and tax foreign countries to enrich our citizens.” He then announced the creation of the External Revenue Service, designed to collect all tariffs, duties, and revenues—essentially replacing the bloated IRS with an agency that ensures foreign competitors, not hardworking Americans, cover the costs of running this country.
Naturally, left-wing economists and globalist think tanks are foaming at the mouth. Kimberly Clausing, a former Biden Treasury official, rushed to Newsweek to call the idea “deeply impractical” and predict that tariffs wouldn’t come close to replacing income tax revenue. She conveniently ignores the fact that eliminating income taxes would unleash American economic growth unlike anything we’ve seen in modern history, creating a tax base that wouldn’t need endless government interference to function.
Alan Wolff, a senior fellow at the Peterson Institute for International Economics (which, by the way, has a long history of supporting globalist trade deals), outright dismissed the plan, saying, “No, it can’t happen.” Well, that’s funny—because Trump has a habit of making things happen, despite the elites saying otherwise.
Then there’s Daniel Shaviro, a tax professor at NYU, who sneered at the idea and said, “What the IRS mainly needs is more money and good leadership.” Right, because giving the IRS more power has worked out so well for Americans who are tired of audits, overreach, and a bloated agency that exists to drain their paychecks.
Of course, not everyone is lining up to cry about it. Business consultant and publisher Gerald Celente summed up the populist sentiment best: “Trump says he will abolish U.S. income tax… I totally agree. Bravo!” That’s the energy America needs.
Will Trump’s plan to abolish the IRS happen overnight? Probably not. But does he mean business? Absolutely. Even as he appoints former Rep. Billy Long to head the agency, it’s clear the long-term goal is to phase out income taxes and shift America’s revenue model to a system that works for its citizens, not against them.
The real question is: why is the establishment so desperate to keep a system that robs Americans of their income? Because the bloated bureaucratic machine depends on it. That’s why they’re panicking. But if Trump succeeds, the days of D.C. running on taxpayer sweat are numbered.
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