Preserve Your Rights to Potential Tariff Refunds
Importers who have paid tariffs imposed under the International Emergency Economic Powers Act should take the necessary steps to preserve their right to potential refunds. Multiple lawsuits are challenging the legality of Trump’s IEEPA-based tariffs. If the courts ultimately invalidate these tariffs importers may be eligible for refunds of tariffs paid —but potentially only if they preserve their rights through timely protests. Even if the tariffs are ruled valid, you may still be eligible for other refunds to mitigate their impacts.
It is important to note that once an entry is liquidated and the liquidation becomes final, if no protest is filed, CBP will likely contend that regardless of the ultimate outcome of the IEEPA litigation no refund of duties paid is required.
Steps to Take Now
- Review customs data (obtainable through the Automated Commercial Environment) to identify affected entries. Consider periodic downloads of these reports to maintain your historical entry data.
- Track liquidation dates for all entries, especially those from early 2025.
- Request extensions of liquidation (which may be granted for up to three years at CBP’s discretion) and verify with CBP if granted.
- File protests within 180 days of liquidation.
- Request that any protests filed be stayed pending the outcome of the IEEPA tariff litigation.
- File suit in the Court of International Trade for any protests that are denied.
- Document all claims thoroughly, including exemption eligibility.
- If your goods were entered into an FTZ in privileged foreign status, you may need to take additional steps to secure a refund.
ST&R has substantial experience helping companies with all of these measures. Contact us at tariffs@strtrade.com for more information.