Supreme Court ruling triggers $81B tariff refunds and $1.367T deficit
Big news: The US just refunded $81 billion in tariffs so far this fiscal year (the fiscal year that began October 2025) after the Supreme Court struck down some taxes from Trump's trade strategy.
Most of these refunds happened in May and June, way more than the $5 billion during the same stretch last year (the comparable period in the previous fiscal year).
This move has pushed the federal deficit up to $1.367 trillion for the first nine months of the fiscal year.
Debt interest and military spending rise
On top of the tariff refunds, debt interest payments climbed 14% to hit over $1 trillion, and military spending rose 5% because of the war in the Middle East.
The government's temporary 10% global tariff ends July 24, and new tariffs focused on lax enforcement of anti-forced labor laws and excess industrial capacity might be coming soon.