Tariff Refund Portal Launches Monday & Universal Cargo Can Help
It’s estimated the government owes shippers somewhere between $166 billion and $182 billion in tariff refunds due to the Supreme Court ruling against the Trump Administration’s use of the International Emergency Economic Powers Act (IEEPA).
The government is also liable for interest on these tariff payments that the Cato Institute estimates is accruing at $650 million to $700 million per month.
If you paid IEEPA-related tariffs on one or more of the approximately 53 million shipments of imported goods that qualify for a refund, Monday, April 20th (just a few days away) should be circled on your calendar.
U.S. Customs and Border Protection officially confirmed Phase 1 of its CAPE refund portal for the IEEPA duties will launch on Monday within the existing ACE Portal.
The system will let importers and authorized brokers submit consolidated refund claims for IEEPA tariffs, including interest. There’s a 45-day review period for claims. Refunds of validated IEEPA payments should usually be issued in 60 to 90 days, which includes the 45-day review period.
The most common types of tariffs shippers paid under IEEPA authority were reciprocal and fentanyl-related ones.
The top priority refunds to be issued by the federal government is on “liquidated” entries, which are categorically considered “PROTEST.” These are refunds on IEEPA tariffs where entry was 315 days ago or more.
IEEPA tariffs paid on entry of goods under 315 days ago fall under what is considered categorically as “REFUND.” That Monday date of the 20th is when the government starts accepting and processing these latter types. “REFUND” payments are expected to take longer, as U.S. customs wants to process all of the “liquidated” entries first.
Much of the CAPE system is completed and will be ready to go on Monday, but more functionality will be added in later phases.
Proper electronic enrollment is required for shippers to get refunded. Thus, shippers and authorized brokers need to make sure they have active ACE Portal access, updated Form 5106 information, and valid and up-to-date U.S. banking information enrolled in ACE for ACH refunds.
Universal Cargo previously shared information about this in a blog post titled How To Get Your Tariff Refunds.
Universal Cargo can also help shippers through this process. Contact us today.
