June 4, 2026

Update on IEEPA Tariff Refunds and Appeal

The U.S. government is challenging the scope of the refund order, arguing that only named plaintiffs should receive refunds rather than all importers. The outcome and length of that challenge could significantly affect importers deciding how best to optimize their refund amount. Current Status CAPE declarations are being processed and refunds are being issued. Some entries are being rejected for technical issues; CBP is actively working to resolve these. Refunds for older entries appear to be prioritized, resulting in smaller initial refund amounts Phase 1 of CAPE is limited to entries in a certain liquidation window; entries that were beyond this window were expected to be refunded in phase 2 of CAPE later this year The Appeal A CIT show-cause hearing on June 9 may signal whether a “stay” could pause all refunds currently being processed in CAPE, including entries eligible for Phase 1. If no stay is granted, Phase 1 refunds are expected to continue as planned. A decision could take many months, over which time entries slated for refund in Phase 2 (notably those beyond the liquidation window) could become ineligible for a refund without further action If the appeal fails, refunds are expected to continue flowing to all importers through the nationwide order via CAPE. If the appeal succeeds, recovery on the affected entries would depend on a CIT judgment, meaning importers may need to join the CIT suit with help from an attorney It is now recommend to file a protest for entries not eligible for Phase 1 if the importer wishes to preserve their right to a refund regardless of the outcome If you are uncertain how this decision would affect you, or what the status of your refund claims is, please reach out to Carson for assistance. Reminder: Current Refunds Are Not Automatic We encourage importers anticipating a Phase 1 IEEPA refund to check the status of their current CAPE submission. Even for eligible entries that have passed CAPE’s validation, the refund process may require action on your part. Please reach out to Carson if you are uncertain of the status of your request.