Protect Your Right to Request Tariff Refunds

Importers could be at risk of missing the opportunity to receive refunds for IEEPA tariff payments if their entries are liquidated before the Supreme Court makes its decision on the tariffs. 

The U.S. Supreme Court recently announced it would hear a case challenging the legality of President Trump’s International Emergency Economic Powers Act (IEEPA) tariffs. These tariffs have been in effect at varying levels since early 2025 but have faced multiple legal challenges. SCOTUS is scheduled to hear arguments in November, but there’s no guarantee of a quick ruling. While some hope for a decision shortly thereafter, forecasts suggest it could take up to six months. 

 U.S. Treasury Secretary Scott Bessent has already said the government will issue refunds for duty payments if the tariffs are struck down by the court. However, the administration will likely pursue other legal avenues to enforce tariffs if SCOTUS rules against the current IEEPA tariffs. 

Given the timeframe of the court case, importers are being forced into some difficult decisions regarding post entry work on their customs entries. Each customs entry has a specific “liquidation date”, which is essentially when CBP finalizes the entry. Once liquidated, entries become final in the eyes of CBP. The typical liquidation date is 314 days after goods are entered, which means entries from the early enforcement period could close before SCOTUS renders a decision. 

In this case, the two best avenues would be to request an extension of liquidation or file a protest for each entry. Each has their own pros and cons, and their timeframes differ. The extension request must be filed at least 15 days before the liquidation date and must be approved by CBP. A protest must be filed within 180 days after the entry has been liquidated. 

So which option is right for you? Let’s look at the pros and cons of each strategy. 

Extending liquidation 

Pros: Provides more time to await SCOTUS’s decision before entries are finalized. Keeps refund eligibility intact without the 180-day protest window. Could simplify refund processing if tariffs are struck down. 

Cons: Once liquidation is suspended, importers must monitor and follow up on each entry to ensure CBP eventually liquidates them. This adds an administrative burden and creates additional exposure in areas like accounting, reconciliation, and customs bonds. Filing in bulk is not allowed, meaning businesses must dedicate the time to file each request individually. This also means CBP must manually review each request individually, adding even more time to the process. There is a chance CBP could deny liquidation requests, forcing you to file a protest.  

Filing protests 

Pros: Requires less tracking than extensions. Protests are filed online directly with CBP which responds case by case. Keeps refund eligibility alive if entries have already liquidated. Each protest has an electronic record, allowing for better record-keeping than extensions. This is also an easier process than requesting an extension, as CBP has the electronic system already in place. 

Cons: Must be filled individually within 180 days of liquidation. Filing large volumes of protests can be time-consuming. Processing may be delayed as CBP manages a backlog. Importers should also request CBP suspend review until after the IEEPA ruling – otherwise refunds could be lost. 

Our Recommendation 

File Protests 

While there are pros and cons to both options, we encourage protest filing due to our ability to lodge protests electronically and get proof of receipt from CBP with a specific protest number assigned. This makes it easier to track your status due to the availability of an electronic record with each entry. 

Next Steps 

With SCOTUS set to hear the case in November, we recommend you do your due diligence before deciding on your final course of action. If the court strikes down all IEEPA tariffs, billions of dollars of refunds could be available across the board, but failure to properly handle post-entry work could prove costly. 

If you have questions or would like personal advice, please contact Scarbrough today for assistance with your entries.