Trump Proposes 'External Revenue Service' to Oversee Tariffs

President-elect Trump announces plans for a new federal agency to collect revenue from tariffs, raising questions about its necessity and economic impact.

President-elect Donald Trump announced the creation of the 'External Revenue Service' to collect tariffs and foreign revenue, with a planned launch on January 20, 2025, his inauguration day.
The proposed agency aims to shift the tax burden from Americans to foreign entities by centralizing tariff collection, currently handled by U.S. Customs and Border Protection.
Trump has pledged to impose broad tariffs, including a 25% levy on goods from Canada and Mexico and a 10% universal tariff on all imports, raising concerns about inflation and economic retaliation.
Critics argue the agency is redundant, as existing federal bodies already manage tariff collection, and warn that consumers may bear the brunt of higher import taxes.
Economists and political analysts highlight potential legal and logistical challenges in creating a new federal agency, as Congress holds the authority to establish such entities.