Trump defends $5,000 dividend as officials debate funding and eligibility

  • Sen. Ted Cruz backed $5,000 payments structured as tax refunds for working taxpayers.
  • Paying nearly 270 million U.S. adults $5,000 each would cost more than $1 trillion.
  • Sen. John Thune has not committed to a Senate vote on Trump's proposal.

President Donald Trump has proposed $5,000 dividend payments to U.S. adults, drawing differing views among Senate Republicans over eligibility, funding and the plan's potential cost. Sen. Ted Cruz said he would support the payments if they were structured as tax refunds for people who work and pay taxes, aligning with Vice President JD Vance's earlier suggestion that eligibility could be limited to working Americans. Trump unveiled the proposal at a GOP midterm convention in Dallas, while Senate Appropriations Committee Chair Susan Collins warned that payments without an income cap would be extraordinarily costly. Paying nearly 270 million U.S. adults $5,000 each would cost more than $1 trillion and add to national debt that recently exceeded $40 trillion. Commerce Secretary Howard Lutnick has cited prospective Trump Platinum Card fees and the government's unrealized Intel gain as funding sources, while Vance pointed to tariff revenue and National Economic Council Director Kevin Hassett mentioned congressional reconciliation. Senate Majority Leader John Thune defended putting money back in Americans' pockets but has not committed to bringing the proposal to a Senate vote.

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