U.S. Rep. Jasmine Crockett has introduced new legislation aimed at refunding American consumers for higher prices she says were caused by tariffs unlawfully imposed during President Donald Trump’s administration.
The proposal, known as The Payback Act, was formally unveiled on February 23, 2026. It directs the Treasury Department to calculate and distribute refunds to consumers who paid increased costs tied to the disputed trade measures.
The bill follows a recent ruling by the Supreme Court of the United States, which reaffirmed that the Constitution gives Congress — not the president — the authority to impose tariffs.
In announcing the measure, Crockett said the legislation is designed to address what she described as the financial burden placed on households.
“These illegal tariffs drove up costs for American families,” Crockett said. “If Americans were forced to pay higher prices because of executive overreach, then Americans deserve to be paid back. It’s that simple.”
How the bill would work
According to the proposal, the Treasury Department would be required to:
- Develop a transparent formula to calculate consumer refunds
- Distribute payments using existing federal systems
- Provide implementation reports to Congress
Supporters say the measure seeks to establish accountability for economic policies that courts later determine exceeded presidential authority.
Legal backdrop
The legislation stems from a Supreme Court decision in Learning Resources, Inc. v. Trump, which reinforced longstanding constitutional limits on tariff powers.
The ruling clarified that only Congress can authorize such trade duties, underscoring a separation-of-powers dispute that has shaped recent legal challenges.
Broader political context
The introduction of the bill also comes amid ongoing political debates over trade policy, executive authority, and the economic impact of tariffs on U.S. consumers and businesses.
If passed, The Payback Act would mark an unprecedented effort to directly reimburse Americans for price increases tied to federal trade actions later deemed unlawful.
