On Tuesday, December 2nd, President Trump held a cabinet meeting at the White House, hinting at distributing tariff benefits during the 2026 tax return season. Trump also discussed issues related to American healthcare.
The President mentioned that the government has successfully lowered the prices of some prescription drugs, but at the same time hinted that he does not support extending Obamacare (Affordable Care Act, ACA).
Starting from 2027, there will be price reductions for 15 high-volume drugs, ranging from 38% to 85%.
“This will have a huge positive impact because Obamacare has been a disaster,” Trump said.
The President stated that they will make some changes to healthcare, but achieving it “may not be easy” without the support of the Democratic Party.
The deadline for extending healthcare subsidies is December 31, 2025. The two parties have been unable to pass a short-term spending bill due to their differences on healthcare, leading to the longest government shutdown in US history starting from October.
In November, the President proposed an idea urging the Senate to directly distribute health insurance funds to the public, bypassing health insurance companies.
On Tuesday, Trump also hinted at distributing tariff benefits during the 2026 tax return season and predicted that Americans may not have to pay income tax in the future.
“Next year is expected to be the biggest year ever for tax refunds; we will distribute refunds from tariff revenues because we have generated tens of billions of dollars in revenue. In addition to reducing debt, we will also give substantial bonuses to the public,” Trump said.
“Furthermore, we will be able to reduce debt over time, in the next two to three, or four years, I believe in the near future, you will not have to pay income tax. Our revenue is so huge, so astonishing, that you will not have to pay income tax,” he continued.
The President mentioned that the selection of the new Federal Reserve chairman may be announced early next year. He also joked that he had asked Treasury Secretary Scott Bessent if he was willing to take on the role, “but he did not fancy the idea.”
Bessent has been responsible for selecting the next Federal Reserve chairman candidate. The term of the current chairman, Jerome Powell, will end in May 2026.