NEW YORK (AP) — A refund system for businesses that paid tariffs imposed by President Donald Trump without constitutional authority is scheduled to launch Monday. The Supreme Court recently ruled that these tariffs were not legally valid, prompting the U.S. Customs and Border Protection (CBP) to set up a mechanism for affected businesses to reclaim their expenses.
Starting at 8 a.m., importers and their brokers will be able to claim refunds through a new online portal. This refund initiative represents a vital step for businesses that collectively paid billions in tariffs.
To initiate the refund, companies must submit declarations listing the goods for which they incurred these once-active tariffs, which the court has since overturned. If a claim is approved by CBP, it is expected to take between 60-90 days for the refund to be processed.
While the initial phase of the refund process will focus primarily on recent tariff payments, the CBP acknowledges that various technical and procedural factors could delay claims, resulting in a slower reimbursement process for businesses and their consumers.
Previously, the Supreme Court decision on Feb. 20 determined that Trump had overstepped his authority in imposing such tariffs and cited national emergency claims to justify the 1977 emergency powers law he invoked.
Post-decision, the CBP had reported that over 330,000 importers incurred around $166 billion in additional costs across more than 53 million shipments.
While this new system aims primarily at aiding businesses, consumers could also see some benefit in the longer term, as these businesses may eventually adjust prices if refunds begin to flow. However, no obligation currently exists for firms to pass along any savings.
Interested businesses are encouraged to meticulously prepare their submissions, as inaccuracies could delay or void claims entirely. Small business owners, in particular, are keenly aware of the cash flow implications associated with months-long wait periods for refunds.
Observers believe that while the refund system will ultimately ease some economic burdens, the logistics involved suggest patience will be necessary as the system goes live.
