Trump compares new agency to the Internal Revenue Service

“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,” Trump wrote Tuesday in a post on Truth Social.

“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. 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.

Trump targets top trade partners for tariff imposition

According to The Associated Press, Trump’s proposed initiative for a streamlined government would require congressional approval, with Republicans holding the majority in both the House and Senate.

The outlet reported that Trump’s plans for the ERS and its functions closely resemble those of existing government entities, such as the Commerce Department and Customs and Border Protection, which handle duties and revenue collection from foreign nations.

Since his campaign victory, Trump has mentioned implementing tariffs on three of the United States’ most significant trading partners. According to Reuters, Trump announced in November that he would apply hefty tariffs on Canada, Mexico and China to control the taxes of these countries.