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What exact words did Donald Trump use regarding eliminating the IRS and using tariffs instead?
Executive Summary
Donald Trump has repeatedly promoted replacing broad-based U.S. income taxation with revenue drawn from tariffs, but direct, verbatim quotes from Trump explicitly saying “abolish the IRS and replace it with tariffs” are scarce in the record; much of the language comes from aides and summaries of his proposals. Reporting and public statements show Trump floated an “External Revenue Service” and discussed an “all tariff” approach in interviews and meetings, while Commerce Secretary Howard Lutnick and other officials have framed the administration’s goal as abolishing or replacing the IRS and shifting revenue collection to tariffs [1] [2] [3]. Economists and news analyses emphasize the practical and distributional problems of that shift, which critics say would raise consumer prices and fail to raise revenue equivalent to the current income tax system [4] [3].
1. Why the claim keeps circulating: aides versus the candidate
Media coverage and official statements often attribute an intention to “abolish the IRS” not directly to Trump’s verbatim words but to comments made by administration officials, notably Commerce Secretary Howard Lutnick, who described the aim as replacing the IRS and having “outsiders” pay through tariffs [5]. Trump has posted policy outlines on platforms like Truth Social and spoken informally in interviews — for example, telling Joe Rogan that tariffs could replace income taxes with a line suggesting “Yeah, sure, but why not?” — but reporters note the firm, repeatable phrasing “abolish the IRS and replace it with tariffs” is more often an interpretive summary from allies and surrogates than a single, attributable Trump quote [4] [2]. This distinction matters because messaging from aides can amplify intent without providing a clean, attributable presidential quotation.
2. What Trump has actually proposed: External Revenue Service and tariff plans
The proposals described in reporting include an “External Revenue Service” to collect tariffs, an across‑the‑board 20% tariff with higher rates for specific countries, and targeted eliminations or reductions of income taxes for many Americans contingent on the tariffs generating revenue [2] [4]. Administrations and advisors have framed this as a policy to shift tax burdens off U.S. wage earners and onto foreign exporters, though tariffs are legally levied on imports and are paid de facto by domestic firms and consumers, not by foreign exporters per se, which undermines the premise that “outsiders” simply bear the cost [1] [6]. These policy proposals have been presented in interviews, private GOP meetings, and official memos rather than through a single signed legislative text.
3. Independent fact-checks and economists highlight feasibility problems
Multiple analyses and experts calculate that tariffs at plausible levels would not yield revenue anywhere near the amounts raised by the current individual income tax system; one estimate cited placed 10‑year tariff receipts at roughly $3.8 trillion versus about $33 trillion from individual income taxes, implying a large deficit gap if income taxes were removed [4]. Economists also warn tariff-driven revenue would be regressive, raising prices on goods disproportionately consumed by low‑ and middle‑income households, and could prompt retaliation, damaging exports and supply chains [4] [3]. These critiques are repeated across news outlets and policy analyses and are central to evaluations of the administration’s viability claims.
4. Where direct attribution exists and where it doesn’t
Specific attributed statements include Lutnick’s public remarks framing the administration’s objective to “replace the Internal Revenue Service,” and a Truth Social post by Trump criticizing reliance on the IRS and directing Treasury to study an External Revenue Service [5] [2]. By contrast, the widely circulated wording “abolish the IRS and replace it with tariffs” often appears in headlines and summaries rather than as a direct Trump quote, with some reporting sourcing the idea to private meetings or paraphrases [5] [3]. The strongest direct evidence of Trump’s personal phrasing in public is the Rogan interview and social media posts where he endorses tariff use; the broad “abolish the IRS” framing tends to come from officials and commentators.
5. Political narratives and potential agendas shaping the coverage
Supporters frame the tariff‑replacement concept as populist tax relief and a way to pressure trading partners, while opponents emphasize economic impracticality and distributional harm, framing the same policy as a dodge to shift tax burdens and increase consumer prices [4] [6]. Officials like Lutnick promote the plan’s revenue promise; independent analysts and some news outlets challenge that promise with revenue estimates and economic logic [5] [4]. These competing frames reflect partisan objectives: proponents aim to present a bold alternative to income taxation, while critics aim to underscore fiscal realism and voter impact.