S4093119th CongressWALLET

Tariff Refunds for Working Families Act

Sponsored By: Senator Martin Heinrich

Introduced

Summary

Creates a refundable tax rebate for working families funded by tariff revenue. The bill establishes a "Working Families Refund" that pays rebates to eligible taxpayers and sets rules for eligibility, advance payments, and delivery.

Show full summary
  • Families and workers: The credit pays about $600 per person, $1,200 for joint filers, plus $600 per qualifying child for the first tax year beginning in 2026. Advance refunds are treated as payments for 2025 eligibility and must be issued as rapidly as possible but not after December 31, 2027.
  • U.S. possessions: Residents of territories like Puerto Rico and the Northern Mariana Islands get payments sized to match what a mirror-code system would deliver or through an approved distribution plan for non-mirror systems.
  • Administration and protections: The IRS must issue rules to prevent duplicate payments, run a public awareness campaign, and use Social Security Numbers for ID with a military-spouse exception. Refunds under the credit are protected from certain federal offsets and levies.

Your PRIA Score

Score Hidden

Personalized for You

How does this bill affect your finances?

Sign up for a PRIA Policy Scan to see your personalized alignment score for this bill and every other piece of legislation we track. We analyze your financial profile against policy provisions to show you exactly what matters to your wallet.

Free to start

Bill Overview

Analyzed Economic Effects

3 provisions identified: 3 benefits, 0 costs, 0 mixed.

Bigger refundable credit for families

If enacted, you would be able to claim a refundable "Working Families Refund" for the tax year beginning in 2026. The credit would be $600 per individual ($1,200 if you file jointly) plus $600 for each qualifying child. The credit would not be available to nonresident aliens, estates or trusts, or people claimed as dependents by someone else. Your allowable credit would be reduced by any advance refund you already received. You must provide valid Social Security numbers for you, your spouse on a joint return (with an Armed Forces exception), and each qualifying child.

Advance payments, delivery, and protections

If enacted, people who would have been eligible for the 2025 year would be treated as having received an advance refund equal to that credit. The Treasury would pay advances quickly and must finish sending them by December 31, 2027, and aim to refund overpayments within 40 days after enactment. The IRS could pay electronically or by check, use 2024 data (or SSA-1099/RRB-1099) if a 2025 return is missing, and must mail a notice within 15 days after payment. These payments would be protected from many federal offsets and levies. The Treasury Secretary would issue rules to prevent duplicate payments and treat missing required ID numbers as math or clerical errors. The Treasury and Social Security would run a public awareness campaign about the credit, but campaign and notice materials may not mention the Executive Office of the President or Donald J. Trump.

Payments and limits for U.S. possessions

If enacted, the Treasury would pay U.S. possessions for revenue lost or foregone because of this credit. For mirror-code possessions, Treasury would pay the loss amount based on the possession's data. For non-mirror possessions, Treasury would estimate aggregate benefits and pay only if the possession submits an approved plan to distribute the money to residents. People who get a possession credit or an approved possession payment could not also claim the federal credit under this bill.

Sponsors & CoSponsors

Sponsor

Martin Heinrich

NM • D

Cosponsors

  • Ruben Gallego

    AZ • D

    Sponsored 3/12/2026

  • Chris Van Hollen

    MD • D

    Sponsored 3/12/2026

  • Christopher Coons

    DE • D

    Sponsored 3/12/2026

  • Cory Booker

    NJ • D

    Sponsored 3/12/2026

  • Andy Kim

    NJ • D

    Sponsored 3/12/2026

  • Kirsten Gillibrand

    NY • D

    Sponsored 3/12/2026

  • Tammy Duckworth

    IL • D

    Sponsored 3/12/2026

  • John Reed

    RI • D

    Sponsored 3/12/2026

Roll Call Votes

No roll call votes available for this bill.

View on Congress.gov
Back to Legislation

Take It Personal

Get Your Personalized Policy View

Start a Free Government Policy Watch to see how policy affects your household, then upgrade to PRIA Full Coverage for year-round monitoring.

Already have an account? Sign in