The US government is set to kick off a long-awaited process to refund billions of dollars in tariffs after the Supreme Court struck down duties imposed by President Donald Trump earlier this year.
An online portal, launched by US Customs and Border Protection (CBP), allows importers to begin filing claims from Monday morning, marking the first phase of what could become the largest tariff refund exercise in US history.
Who can claim refunds
Importers and authorised customs brokers who paid tariffs under emergency powers can now submit claims through the CBP system.
But eligibility is limited in the first phase. Only certain “unliquidated” entries or those within 80 days of final accounting qualify initially, according to a report in Axios.
According to CBP filings, over 330,000 importers paid about $166 billion in duties across more than 53 million shipments. However, only around 56,500 had completed the mandatory registration for electronic payments as of mid-April.
How the process works
Companies must file detailed declarations listing shipments and tariff payments through the new CAPE (Consolidated Administration and Processing of Entries) system.
If approved, refunds — including interest — are expected within 60–90 days, an AP report said.
Accuracy is critical. Even minor errors could delay or reject claims.
“If there is an entry on that file that does not qualify, it may cause the entire entry to be rejected or that line item might be rejected by Customs,” Meghann Supino of Ice Miller was quoted as saying by AP.
Why refunds are being issued
In a 6–3 ruling on February 20, the Supreme Court found that Trump exceeded his authority by using a 1977 emergency law to impose sweeping tariffs, effectively bypassing Congress’ power to set taxes.
While the top court did not directly address refunds, the US Court of International Trade later ruled that affected companies are entitled to reimbursement.
Will consumers get any money back?
Not necessarily. Tariffs are paid by importers, who often pass costs on to consumers through higher prices.
The current system refunds businesses — and they are not obligated to share the money, AP reported.
That said, some firms have indicated they may pass refunds along. Delivery giants like FedEx have said they will return tariff refunds to customers once received.
Meanwhile, lawsuits against companies including Costco and EssilorLuxottica are seeking to force reimbursements to consumers. (AP, Axios)
What could delay payouts
The rollout is expected to be gradual. CBP will prioritise more recent payments, and technical glitches or documentation issues could slow processing.
“Like any electronic online program that goes live with a lot of interest, I would expect that there might be some hiccups with the program on Monday,” Supino said.
Businesses also warn of cash flow concerns if refunds take months.
“My main concern is the turnaround time,” Brad Jackson, co-founder of After Action Cigars, told AP. “A refund process that takes several months to complete doesn’t solve the cash flow problem that it is supposed to fix.”