(The Center Square) – The Trump administration began refunding portions of the $166 billion in tariff revenue to U.S. importers on Monday, after a February Supreme Court ruling that struck down the import taxes.
U.S. Customs and Border Protection launched the first phase of a refund portal that went live on Monday, called the Consolidated Administration and Processing of Entries, or CAPE. It works within the existing Automated Commercial Environment to streamline refund requests under the International Emergency Economic Powers Act.
The system was designed to consolidate refunds of IEEPA duties, including interest, rather than processing refunds on an entry-by-entry basis. CBP plans to continue developing subsequent phases of the system to ensure it complies with court orders to return the money collected under Trump's first tariff plan, which was underpinned by the 1977 International Emergency Economic Powers Act.
Brandon Lord, CBP’s executive director of trade programs, told a Court of International Trade judge the first phase will cover about two-thirds of refunds. The judge has requested regular updates.
As of March 26, more than 26,000 importers, representing 78% of tariff payments, had registered with CBP for electronic refunds. Lord estimated the first phase could process about $120 billion.
The Liberty Justice Center, the Texas-based nonprofit that helped win the IEEPA Supreme Court case, is urging small businesses to use its free Tariff Equity Refund Resource for America, or TERRA system.
"Our only goal is to help businesses recover every dollar they are owed, not to take a percentage of it," said Sara Albrecht, chairman of the Liberty Justice Center. "At a time when others are looking to profit off confusion, we are making this process clear, accessible and free."
Albrecht noted that some companies charge high fees or buy tariff refund claims from businesses seeking refunds. LJC's TERRA provides free guidance on eligibility, timelines, requirements and working with brokers and shipping carriers.
"Our mission is straightforward," Albrecht said. "We fought to stop unlawful tariffs, and now we're making sure small businesses actually see that money returned."
In April 2025, Trump imposed the highest tariffs in nearly a century. The Supreme Court ruled in February that he overstepped by using the International Emergency Economic Powers Act for global tariffs. Hours later, Trump enacted a 10% global tariff under Section 122 of the Trade Act of 1974, which allows tariffs of up to 15% for 150 days. The Liberty Justice Center, representing small businesses, and several Democrat-led states are challenging this new tariff in court.
Trump has defended the tariffs, saying the revenue could fund military spending and other goals, including refund checks for some Americans. However, experts question whether tariffs will generate enough to cover these plans.
As the midterms approach, Trump's tariffs remain unpopular. Research shows U.S. consumers and businesses bear most of these import tax costs.
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