The External Revenue Service Proposal Trump’s proposal includes the creation
of a new agency, the External Revenue Service (ERS), to oversee tariffs and
foreign trade revenues. However, establishing such an agency would require
congressional approval. With Republicans controlling both the House and Senate,
the plan could gain legislative traction.
The initiative has raised questions about government expansion, as Trump—who
has pledged to reduce federal bureaucracy—would be forming an agency to handle
duties already managed by existing entities like the Commerce Department and U.S. Customs and Border Protection.
The proposed External Revenue Service would focus on collecting revenue from foreign
sources, distinguishing it from the current Internal Revenue Service, which handles domestic taxes.
Major Tariffs at the Core of Trump’s Economic Plan As part of his broader economic
strategy, Trump has proposed steep tariffs, including a potential 25% levy on
imports from allies like Canada and Mexico and a 60% tariff on Chinese goods.
