Sec. Bessent defends Trump dividends before Congress

WASHINGTON (Gray DC) - Treasury Secretary Scott Bessent appeared before lawmakers on Capitol Hill Tuesday and defended the Trump administration’s economic policies while also facing questions about the president’s $5,000 dividend proposal.

Bessent addressed congressional members during a House Financial Services Committee hearing that was scheduled to focus on the state of the international financial system. However, members ended up grilling Bessent about inflation and the economy.

Democrats spent some of their time questioning the secretary on the dividend proposal. He said that the plan would be enacted if the GOP maintains control of the House and Senate after the midterm elections.

“Does that increase the deficit or does it increase the debt?” asked Rep. Juan Vargas, D-Calif.

“I believe that there are ways to do it without increasing the debt or deficit,” Bessent said.

“Why don’t you go ahead and tell us then because it doesn’t seem like that’s been the case so far?” Vargas asked.

“That is in process right now,” the secretary replied.

“So it’s somehow mysteriously or magically going to occur. You can’t tell us, you can’t give us a name,” Vargas said.

“I’m not ready to discuss at present, but at Treasury we’ve been working on it for quite a while,” Bessent said.

Previously, President Trump has also promised tariff rebates for Americans. But those payouts have not been sent.

Both of the payout initiatives would likely have to be passed by the House. It has the sole authority to spend tax dollars under the U.S. Constitution.