Recent court decisions have opened the door for U.S. importers to recover tariffs paid in 2025 and early 2026 under the International Emergency Economic Powers Act (IEEPA). For many companies, this may represent a meaningful cash‑flow opportunity. However, refunds are not automatic, and eligibility depends on the facts and timing of each individual import entry.
Because the refund process is governed by customs law and court‑ordered procedures, companies should work closely with their legal or international trade advisors to evaluate eligibility and take timely action.
What Happened?
In February 2026, the U.S. Supreme Court ruled that tariffs imposed under IEEPA exceeded presidential authority. The U.S. Court of International Trade subsequently directed U.S. Customs and Border Protection (CBP) to establish a process to refund those duties.
As a result, CBP has implemented a new electronic refund mechanism that allows importers of record to seek recovery of qualifying tariffs. These refunds apply only to IEEPA‑related tariffs and do not affect ongoing Section 301 or Section 232 duties.
Why Dates Are Critical
Unlike tax filings, tariff refunds do not follow a single universal deadline. Each shipment has its own timeline, driven by the date the entry liquidated with CBP. Missing a deadline for a single entry can permanently eliminate refund eligibility for that shipment.
Key Dates to Be Aware Of
IEEPA tariff period
- February 4, 2025 – IEEPA tariffs first imposed
- February 24, 2026 – IEEPA tariffs discontinued following the Supreme Court ruling
Refund process milestones
- March 4, 2026 – Court of International Trade ordered CBP to process refunds
- April 20, 2026 – CBP launched Phase 1 of its new refund system, known as CAPE
Phase 1 eligibility window
- Entries that are:
- Still unliquidated, or
- Liquidated within approximately 80 days prior to filing
Entries that liquidated earlier may still be refundable, but typically require a formal customs protest, which generally must be filed within 180 days of liquidation.
What Importers Need to Do
Refunds will not be issued automatically. Importers of record must take affirmative steps, which may include:
- Confirming access to CBP’s ACE Secure Data Portal
- Enrolling in ACH electronic refunds (CBP no longer issues paper checks)
- Submitting refund requests through CAPE or pursuing other legally permitted remedies, depending on entry status
CBP has indicated that once a valid request is accepted, refunds are expected to be issued electronically—often within 60–90 days.
Why Legal Guidance Is Essential
Determining whether and how to pursue a refund requires careful analysis, including:
- Identifying whether tariffs were assessed under qualifying Chapter 99 (9903) codes
- Reviewing liquidation status on an entry‑by‑entry basis
- Determining the appropriate filing pathway
- Preserving rights before applicable deadlines expire
Given the technical nature of customs law and the irrevocable impact of missed deadlines, this work is best addressed with experienced legal or trade professionals.
How Sensiba Can Support You
While Sensiba does not provide customs or legal filing services, we can help you understand the financial and accounting implications of potential tariff refunds, including:
- Cash‑flow impacts
- Financial statement considerations
- Tax and reporting implications of refunded duties and interest
To determine eligibility and next steps, we encourage affected businesses to consult their legal or international trade advisors promptly.
If you would like to discuss the financial considerations related to tariff refunds or how they may affect your organization, please reach out to your Sensiba advisor.
