How Businesses Can Apply for Tariff Refunds Using the New Portal

(SeaPRwire) –   A new online portal launching next week will soon allow businesses to request refunds for certain tariffs they have paid.

U.S. Customs and Border Protection confirmed in a Tuesday filing that the portal, named Consolidated Administration and Processing of Entries (CAPE), will begin accepting refund applications on Monday, April 20.

These refunds pertain to approximately $130 billion in tariffs that the Supreme Court ruled illegal in February. The government’s potential liability to businesses amounts to hundreds of billions of dollars. To secure refunds, importers nationwide have initiated thousands of lawsuits with the Court of International Trade.

According to CBP, the new portal aims to streamline the refund procedure, enabling importers to obtain their refund plus interest via a single electronic payment instead of on an entry-by-entry basis.

However, some businesses and customs brokers report that uncertainties about the refund process persist.

“CAPE is clearly designed to make intake easy. Almost deceptively easy,” stated Pete Mento, a licensed customs broker and director of global trade advisory services at Baker Tilly, in a LinkedIn post. “But nothing in this update suggests CBP is relaxing scrutiny on the back end. If anything, this feels like ‘get it in the door quickly, we’ll decide what happens after.’”

Here is a guide to applying for a refund via the new portal.

Which tariffs are being refunded?

The refunds cover tariffs illegally levied under the International Emergency Economic Powers Act (IEEPA). This includes the “reciprocal” tariffs implemented last April by the Trump administration, as well as duties on China, Mexico, and Canada related to fentanyl trafficking into the U.S.

CBP announced the refunds will be handled in stages. Initially, CAPE will accept applications for unliquidated tariffs—those assessed but not yet finalized by CBP—and for tariffs finalized within the last 80 days. CBP typically provides an initial tariff estimate upon import processing and finalizes the amount later. A liquidated tariff has a final amount set by CBP, complicating the refund process.

Sanne Manders, president of Flexport, informed CBS that this initial phase is expected to cover about 63% of IEEPA tariffs. CBP stated the remaining 37% of liquidated tariffs—which the Court of International Trade’s refund directive now includes—will be addressed in subsequent phases.

For tariffs liquidated within the past 180 days, importers retain the option to file a protest, a formal challenge to CBP contesting a duty assessment error, like an incorrect tariff rate. Advisors recommend importers still file protests for goods liquidated over 80 days ago but within the 180-day limit.

“Because it preserves your rights. You can always withdraw later. You can’t go back and file one after the window closes,” Mento advised.

How do the refunds work?

Businesses that paid IEEPA tariffs on imported goods, known as “importers of record,” are eligible to apply for a refund through the portal. Customs brokers who paid duties on an importer’s behalf may also submit refund claims.

Refunds are not issued automatically. Importers and brokers must actively submit a request via the portal to have their claim processed.

To request a refund, applicants should provide their bank account details and declarations for the entries where IEEPA tariffs were paid through the Automated Commercial Environment (ACE) portal.

A court filing from April 14 indicates that over 56,000 U.S. importers have registered to obtain refunds.

CBP expects to issue refunds within 60 to 90 days, though delays may occur due to application or processing complications.

Refunds will be distributed electronically, a CBP policy in effect since early February. The court filing notes that roughly 82% of duty entries are registered for electronic payment, which CBP estimates represents about $127 billion in refunds.

Some hedge funds are proposing to purchase businesses’ tariff refund claims. This offers importers immediate payment, bypassing the potentially burdensome refund application process, though it often involves selling the refunds for less than their full value.

Will consumers benefit?

Although consumers have faced higher prices over the past year because of the tariffs, they are not entitled to apply for refunds directly. Nevertheless, with the IEEPA tariffs invalidated, consumers might benefit from lower prices on imported goods in the future.

Some Democratic lawmakers have advocated for direct refunds to households, but this proposal is expected to encounter obstacles. Concurrently, the Trump Administration is attempting to reinstate most of the tariffs using other legal avenues, such as invoking Section 122 of the 1974 Trade Act to temporarily impose a 15% tariff on most countries. Treasury Secretary Scott Bessent indicated these tariffs could be reinstated by July. Sector-specific tariffs established under Section 232 of the 1962 Trade Expansion Act remain active.