Donald Trump invoked the International Emergency Economic Powers Act (IEEPA) in 2025, resulting in $175 billion dollars collected in tariffs. American businesses importing goods from targeted countries bore the weight of covering these costs.
With the Supreme Court recently striking down the IEEPA, affected businesses may be able to recover some or all of those costs via a formal refund process administered by US Customs and Border Protection (CBP).
Learn whether you qualify, how to file, what to expect, and when deadlines fall to navigate this quickly evolving trade environment.
Just because a business imported goods while IEEPA was in place does not mean they qualify for a tariff refund. Eligibility relies on the type of goods imported, the tariff program they fall under, and whether the importer kept good records.
Because tariff and trading policies can change rapidly, it's important for businesses to carefully review their filings against CBP guidance.
The Importer of Record (IOR) is responsible for filing any tariff refund claims. Some small businesses act as their own IOR, while others use customs brokers or shipping companies that fulfill the IOR role. This is an important distinction as only the IOR can file a claim.
Many industries routinely import materials, products, supplies, and equipment that now qualify for refunds. Whether operating in the construction space or as a not-for-profit organization, countless businesses rely on imported goods to operate.
The Supreme Court's ruling specifically affected the reciprocal tariffs imposed by the Trump administration in 2025 under IEEPA. Because of this, eligibility depends on which tariff authority was used, when the goods reached the United States, and whether payment entries have been liquidated.
Some product categories may be covered under exclusion processes or retroactive tariff adjustments, while others remain ineligible. The Supreme Court's ruling did not impact tariffs imposed under Sections 122, 132, or 301, making these ineligible for refunds.
Businesses looking to better understand whether they qualify should review:
The regulatory landscape can shift as trade policy changes, especially if CBP and/or lower courts issue additional guidance.
Tariff refund claims are subject to strict filing deadlines; missing a deadline can result in being unable to recover duties already paid.
Being successful in receiving a tariff refund largely comes down to providing the required documentation on time. Some of the documents needed to file a refund claim include:
Meticulously managing these documents and providing them before the deadline can help affected businesses avoid delays and make the process run more smoothly.
Completing the tariff refund process involves confirming eligibility, preparing supporting documentation, filing through the correct customs channel, and addressing any follow-up requests from CBP.
This section walks through the ins and outs of each step to help IORs avoid costly mistakes.
Before searching for every scrap of paper related to a specific import, determine whether the import in question actually qualifies for a refund. This is accomplished by reviewing the import history, any tariff payments made, product classifications, and trade policy updates. Reviewing these documents may uncover tariffs that were overpaid or goods that later became eligible for relief.
Any entries on Form 7501 with an HTS Chapter 99 code fall under the IEEPA tariffs, meaning they are eligible. That said, under Phase I of this process, only entries that are currently unliquidated or were liquidated in the past 80 days are eligible.
After determining eligibility, make sure you have all the required documentation available and easily accessible. CBP will require detailed verification before any refund is issued, so having these in order will help the IOR avoid headaches along the way.
After confirming eligibility, IORs can submit their refund filing. CBP created the Consolidated Administration and Processing of Entries (CAPE) tool within the Automated Commercial Environment (ACE) portal. Before submitting a claim, IORs must create an account within ACE.
Refund requests are known as CAPE declarations and must be submitted using an approved template. Once the file is officially accepted, IORs receive a claim number.
Given the highly technical nature of tariff regulations and customs procedures, many businesses decide to work with customs brokers, trade advisors, or other types of tax professionals who can provide assistance. Some of the services they offer include:
Businesses pursuing significant tax refunds may need to consider the accounting and tax implications, as well as how those refunds affect compliance.
Once a claim is filed, businesses can monitor the status of their submission via their claim number. CBP may ask for additional information or records, which should be provided promptly.
Information they may ask for includes clarification on product classes or exclusion eligibility, liquidation status, or proof of payment. Delayed responses can slow the process, or even push it beyond the deadline.
Because this process only began in April 2026, the timeline for receiving IEEPA tariff refunds remains uncertain. CBP has broken the process down into phases to mitigate the number of submissions arriving, but businesses across myriad industries are working to meet deadlines and submit claims.
While no official timeline has been provided, factors affecting how long it takes to receive a refund include whether entries are liquidated or unliquidated, processing volume, updated court requirements, and the complexity of the individual claim.
As this process continues to evolve, businesses should expect more guidance and procedural requirements from CBP. Given that more litigation is likely, some refunds will take longer to process than others.
The IRS typically treats tariffs paid on imported goods as a cost of goods sold or business expense, depending on the type of product and the company's accounting methods. For businesses receiving a tariff refund at a later date, this can affect financial reporting considerations.
A company's specific situation can affect how tariffs and refunds are treated from a tax perspective, making it important to consult a qualified and experienced tax professional for guidance. Porte Brown's Chicago tax preparation services can help you understand how tariff refunds specifically affect your business.
Several issues can derail a business's goal of navigating the tariff refund claim process. Going into the process armed with this information can help companies avoid common mistakes.
Many businesses can benefit from professional review services before filing their CAPE declarations. Our tax accountants help businesses identify errors before they become larger problems.
Figuring out how to get a tariff refund can be challenging for small and large businesses alike.
This holds especially true as the federal government, CBP, and the courts continue shaping IEEPA refund processes. The complicated process for filing a claim, combined with strenuous requirements and looming deadlines, can feel overwhelming.
Porte Brown works with businesses of all sizes and in various industries to address trade compliance concerns, identify refund opportunities, and understand accounting and tax implications. Whether you only need help reviewing documents or desire more comprehensive compliance support, our tax professionals offer expert guidance to make the process less stressful.
Get in touch today and find out how we can help you meet your objectives.
