Part 4/11:
An intriguing component of the new strategy involves shifting focus from traditional income tax to tariff revenue. In 2025, tariff collections hit a record high of approximately $300 billion, a significant increase from previous years. However, even with this record, tariffs still fall short of replacing the classic income tax revenue, which totals around $5 trillion annually.
The federal government's total revenue comprises several sources:
Income Tax: Paid by workers on wages.
Payroll Taxes: For Social Security, Medicare, and FICA.
Sales Taxes: Collected at points of purchase.
Capital Gains Taxes: On profits from asset sales.
Property Taxes: On real estate holdings.
Estate Taxes: For ultra-wealthy asset transfers.