U.S. tariff refund plan

The United States will open a tariff-refund system on April 20 for importers seeking money back from duties the Supreme Court ruled unlawful in February. (reuters.com) U.S. Customs and Border Protection said the first phase of the system, called Consolidated Administration and Processing of Entries, or CAPE, is ready, and the government expects refunds tied to about $166 billion in struck-down tariffs. As of April 9, 56,497 importers had completed steps needed to receive electronic refunds covering $127 billion. (reuters.com) The refunds stem from the Supreme Court’s February 20 ruling in *Learning Resources v. Trump*, a 6-3 decision holding that the International Emergency Economic Powers Act does not let a president impose tariffs. The decision wiped out Trump tariffs that had been applied under that emergency-powers law. (scotusblog.com) The administration did not leave imports untaxed after that ruling. On February 20, Trump invoked Section 122 of the Trade Act of 1974, a separate law that allows a temporary import surcharge of as much as 15% for no more than 150 days unless Congress extends it. (federalregister.gov) Customs first told importers that the Section 122 surcharge would start at 10% on goods from every country, effective February 24, and run through July 24 unless extended. Treasury Secretary Scott Bessent said in March that the administration expected that global tariff to rise to 15%. (content.govdelivery.com) (cnbc.com) That leaves companies dealing with two moving numbers at once: cash coming back from old tariffs and new duties being charged at the border. Reuters reported the refund system will roll out in phases, with straightforward recent entries first and more complex claims later. (reuters.com) (bloomberg.com) Business leaders are increasingly planning as if tariffs will not disappear with one court ruling or one election. Fortune reported that 86% of United States chief executives in a PwC survey now expect tariffs to remain in place beyond the Trump administration. (fortune.com) (morningstar.com) Bessent said on April 14 that tariff rates could return to their pre-ruling levels by early July through Section 301 investigations, a more established trade-law route than the emergency statute the Supreme Court rejected. He made the comment at a Wall Street Journal event in Washington. (bloomberg.com) Section 301 is the law Washington has used for country-specific trade penalties after an investigation, while Section 122 is a short-term surcharge tool with a 150-day clock. A Congressional Research Service report published April 9 said the administration has signaled it will use that Section 122 window to prepare tariffs under other authorities, including Section 301 and Section 232. (everycrsreport.com) For importers, the calendar is now tight. April 20 is the start of refund filings, July 24 is the scheduled end of the temporary Section 122 tariff, and the administration says higher duties could be back by early July. (reuters.com) (content.govdelivery.com) (bloomberg.com)