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military spending
Trump Wants $6 Trillion Tax Hike to Fund $600 Billion in New War Spending
It’s good to see an old man suffering from dementia enjoying himself, but there are much cheaper and less deadly ways to entertain such a person.
Jan 09, 2026
President Donald Trump is now apparently planning to request a $600 billion increase in annual military spending starting in October, financed by another huge jump in import taxes, aka tariffs. I said “apparently” since it’s not clear that he thinks he has to request authority for this spending increase or massive tax hike from Congress.
Under the Constitution there is no ambiguity on these issues. Congress has the power to tax and authorize spending. However, Donald Trump and the Republican Congress have not shown much respect for the Constitution in Trump’s second term and it’s not clear the Supreme Court has any greater level of respect. So, who knows if there actually will be requests for Congress to vote on, or whether he will just do it with no legal authority.
Anyhow, apart from the mechanism employed, this would be a massive increase in spending, coming to just under 2% of GDP. It would also amount to a massive tax increase if Trump actually offsets the spending, as he claimed he would, rather than just increasing the deficit.
Taken over a decade, a $600 billion increase in annual taxes would come to $6 trillion, roughly $45,000 per household. It is real money. It would be difficult, but not impossible, to raise this much money through tariffs.
That doesn’t sound like much of an affordability agenda, but Trump was never really into that word anyhow.
Our imports currently come to just to over $3.2 trillion annually. A straight calculation would imply that an across-the-board tariff increase of 19 percentage points could cover the cost of Trump’s military buildup. But the increase in the tariff rate on most items would end up being considerably higher for two reasons.
First imports would fall sharply in response to a tariff of this size. Let’s say they fall by 15%, this would put imports at $2.7 trillion, which would mean a tariff increase of 22 percentage points would be needed to get to Trump’s $600 billion.
The other reason that the tariff on most items would likely be higher is that Trump will presumably exempt some items other for policy reasons or in response to payoffs at Mar-a-Lago. In the first category, much of what we import are intermediate goods used in manufacturing finished products like cars or planes. High tariffs on these inputs will hurt industries that Trump is ostensibly trying to foster.
The other part of the story is that we have seen many executives make the pilgrimage to Mar-a-Lago, most notably Apple CEO Tim Cook, and walk away tariff exemptions on items they import. This trek will be more widely traveled when CEOs are looking at tariffs two or three times their current levels.
That means the import tax on many products will have to increase in the neighborhood of 30 percentage points to hit Trump’s revenue targets. That will be a big hit to many households’ budgets, as we know that the bulk of tariff revenue gets passed on to consumers in the form of higher prices. That doesn’t sound like much of an affordability agenda, but Trump was never really into that word anyhow.
The other side of the story is that this massive increase in military spending will mean a huge diversion of resources from productive uses. Scientists who might have been developing better computers or software for civilian uses will instead be working for military contractors. The same is true for researchers developing new drugs or medical equipment.
This will also be the case with millions of less-highly educated or narrowly trained workers. Instead of working as teachers or in various areas of healthcare, such as physical therapists or home healthcare assistants, they will be employed in the sort of jobs needed by military contractors. That’s a huge drain for the economy and corresponds to the reduction in purchasing power as a result of Trump’s massive tax increase.
If there was some clear argument as to why we needed such a massive increase in taxes and diversion of resources, as when we confronted the Nazis in World War II, perhaps this hit to the economy could be justified. But no one made such claims, not even Trump in his 2024 campaign, until Trump invaded Venezuela and decided it was fun.
It’s good to see an old man suffering from dementia enjoying himself, but it would be much cheaper and less deadly if we just gave him a good video game.
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Majority of Democrats Join Senate GOP to Pass Trump's $900 Billion Pentagon Wish List
Sen. Ron Wyden said the bill "increases military spending by tens of billions of dollars and fails to include guardrails against Donald Trump and Hegseth’s authoritarian abuses."
Dec 17, 2025
A majority of Democratic senators joined Republicans on Wednesday to pass the largest military spending bill in US history, handing President Donald Trump the bulk of his demands, even as he enacts steep cuts across nearly every other sector of the federal budget.
The more than $900 billion National Defense Authorization Act (NDAA) passed by a vote of 77-20, with 27 Democrats, as well as the independent Sen. Angus King (Maine), in support. Just three members of the Republican majority voted against the bill, along with 16 Democrats and independent Sen. Bernie Sanders (Vt.).
Among many other items on Trump's wish list, the bill provides funds for weapons meant to counter China, full funding for Trump's National Guard deployments to support the US immigration agents, and more funds for what are described as "counternarcotics operations."
It also removes a measure that would have restored collective bargaining rights that Trump stripped earlier this year from Pentagon employees, permanently ends Defense Department initiatives to curb climate change, and excludes a measure that would mandate healthcare coverage for in vitro fertilization.
Combined with $156 billion in the GOP's One Big Beautiful Bill Act this July, the package passed by the Senate pushes military spending for fiscal year 2026 into the trillions—a new record in absolute terms and a relative level unseen since World War II.
The bill will head to Trump's desk just a day after he announced a “total and complete blockade" on Venezuelan oil tankers, a major escalation described by Rep. Joaquin Castro (D-Texas) as "unquestionably an act of war."
The bill contains a measure demanding that the Pentagon release the unedited video of a September 2 "double-tap" strike on a boat in the Caribbean that members of both parties have suggested may violate international law.
On Tuesday, Defense Secretary Pete Hegseth and Secretary of State Marco Rubio declined another congressional request to release the video. The defense bill ramps up the pressure for transparency, mandating a 25% cut to Hegseth's travel budget if the administration does not comply.
Senate Democrats have previously voted in support of war powers resolutions to require congressional approval for Trump's boat strikes and for further military action against Venezuela. These measures have repeatedly fallen just short in the Republican-controlled Senate.
But Stephen Semmler, a co-founder of the Security Policy Reform Institute, argued that "if the Senate truly cared about Trump seeking congressional approval before starting a war with Venezuela, it wouldn't have passed a bill authorizing $901 billion in military spending."
Sen. Ron Wyden (D-Ore.), who voted no on the defense spending bill, said, "I cannot support a bill that increases military spending by tens of billions of dollars and fails to include guardrails against Donald Trump and Hegseth’s authoritarian abuses."
“Donald Trump has repeatedly used the military to occupy major US cities, including Portland—endangering our service members, disrupting our economy, and eroding trust in our communities," Wyden continued. “He has also shown that he will use the Department of Defense to conduct deadly military operations without congressional authorization to intimidate political opponents and immigrants through the military, to purge senior military leaders without cause, to funnel billions of dollars in contracts to his personal supporters, and to waste billions of taxpayer dollars."
The defense spending bill passed the US House last week, with support from 115 Democrats. This was despite opposition from the Congressional Progressive Caucus, whose deputy chair, Rep. Ilhan Omar (D-Minn.), said it was "enabling unchecked executive war powers."
The House is expected to vote Wednesday evening on a pair of war powers resolutions. One, introduced by Rep. Gregory Meeks (D-NY), would block Trump's extrajudicial airstrikes on boats in the Caribbean. Another bipartisan resolution would require Trump to receive congressional approval before taking direct military action, including land strikes, against Venezuela.
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Military Budget Bill Would Ramp Up Israel Aid to Fill In 'Gaps' When Other Countries Impose Embargoes Over Genocide
The House Armed Services Committee said in September that the measure "combats antisemitism."
Dec 09, 2025
A little-reported provision of the latest military spending bill would direct the US to create a plan to fill the "gaps" for Israel whenever other nations cut off arms shipments in response to its acts of genocide in Gaza.
As Prem Thakker reported Monday for Zeteo, the measure is "buried" more than 1,000 pages into the more than 3,000-page National Defense Authorization Act (NDAA), which is considered by lawmakers to be “must-pass" legislation and contains a record $901 billion in total spending.
Republicans are shepherding the bill through the US House of Representatives, where—as is the case with most NDAAs—it is expected to pass on Wednesday with Democratic support, even as some conservative budget hardliners refuse to back it, primarily over its $400 million in military assistance to Ukraine.
Since the genocide began following Hamas' attack on October 7, 2023, the US has provided more than $21.7 billion to Israel, including hundreds of millions that have been supplied through NDAAs.
The new NDAA includes at least another $650 million to Israel, an increase of $45 million from the previous one, even though this is the first such bill to be introduced since the "ceasefire" that went into effect in October. This aid from the Pentagon comes on top of the $3.3 billion already provided through the State Department budget.
But this NDAA also contains an unprecedented measure. It calls for the “continual assessment of [the] impact of international state arms embargoes on Israel and actions to address defense capability gaps."
The NDAA directs Secretary of Defense Pete Hegseth, Secretary of State Marco Rubio, and Director of National Intelligence Tulsi Gabbard to assess “the scope, nature, and impact on Israel’s defense capabilities of current and emerging arms embargoes, sanctions, restrictions, or limitations imposed by foreign countries or by international organizations,” and “the resulting gaps or vulnerabilities in Israel’s security posture.”
As Drop Site News explains, "this means the US would explicitly use federal law to step in and supply weapons to Israel whenever other countries cut off arms to halt Israel’s ongoing violations across the region."
"The point of this assistance, to be clear, is to make up for any identified insufficiencies Israel may have due to other countries' embargoing it as a result of its ongoing genocide in Palestine," Thakker wrote.
A similar provision appeared in a September version of the NDAA, which the House Armed Services Committee praised because it supposedly “combats antisemitism"—explicitly conflating a bias against Jewish people with weapons embargoes that countries have imposed to stop Israel from continuing its routine, documented human rights violations in Gaza.
Among the nations that have cut off weapons sales to Israel are Japan, Canada, France, Italy, and Spain. Meanwhile, other major backers, such as the United Kingdom and Germany, have imposed partial freezes on certain weaponry.
While official estimates from the Gaza Ministry of Health place the number of dead from Israel's military campaign at over 70,000, with more than 170,000 wounded, an independent assessment last month from the Max Planck Institute for Demographic Research in Germany and the Center for Demographic Studies in Spain found that the death toll “likely exceeds 100,000." This finding mirrored several other studies that have projected the true death toll to be much higher than what official estimates show.
Embargoes against Israel have been called for by a group of experts mandated by the United Nations Human Rights Council, including Francesca Albanese, the UN Special Rapporteur on the occupied Palestinian territories. Meanwhile, numerous human rights organizations, including the leading Israeli group B’Tselem, have said Israel’s campaign in Gaza has amounted to genocide.
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