The recent Supreme Court ruling on tariffs under the International Emergency Economic Powers Act (IEEPA) has created a meaningful opportunity for importers. Many companies may be entitled to refunds.
We covered the ruling at a high level in a recent article. What is becoming clearer now is what comes next. Refunds are not expected to be automatic, and companies should be prepared to take action.
Where Things Stand
The mechanics are still being worked out, but early signals are fairly consistent:
- There will likely be a defined process to claim or receive refunds
- That process is expected to run through existing Customs systems
- Companies may need to confirm they are properly set up before anything moves
That last point is where most of the risk sits.
Why ACE Keeps Coming Up
The Automated Commercial Environment (ACE) is the system Customs uses to manage import activity. It is not new, and many companies already interact with it either directly or through a broker. Based on current direction, ACE is expected to play a central role in how any refund process works, including how payments are issued.
If you want a better sense of what ACE is and how it functions, Customs provides a helpful overview here.
Where Companies Tend to Get Tripped Up
This is usually not a technical issue. It is an ownership issue. A common assumption is that the customs broker has everything covered. Sometimes that is true. Often it is not. What happens frequently:
- No one internally knows who has ACE access
- Company details have not been reviewed in years
- Banking information is incomplete or not set up for electronic payments
- Different parties assume someone else is handling it
What to Do Now
This does not need to be complicated. A quick internal check can go a long way. Start with the following:
- Confirm whether your company has access to ACE
- Make sure the right people can log in and use it
- Review company and contact information
- Confirm how payments would be received if issued electronically
- Align with your broker or advisor on who is responsible for what
This is not about getting ahead of a final rule. It is about avoiding delays when the process is finalized.
Why It Is Worth Doing Now
There is still uncertainty around how the process will ultimately be handled. That is exactly why preparation for tariff refunds matters. The scale of potential refunds is also significant. Court filings indicate that more than $130 billion in IEEPA tariffs may be at issue, spanning roughly 54 million import entries across approximately 330,000 companies.
That level of volume will place real pressure on the refund process. Companies that take a few minutes to get organized now will face fewer issues later. Those that wait will likely be reacting under time pressure.
In Your Corner
If you have questions about tariff refunds, or about customs bonds and collateral, please reach out to your LGA advisor. As guidance continues to develop, we will keep you informed of relevant updates and considerations.
