U.S. Customs and Border Protection Commences Processing Refund Applications for IEEPA Tariffs Starting April 20, 2026

On Monday April 20, 2026, the U.S. Customs and Border Protection commences processing refund applications for IEEPA tariffs (for Reciprocal Tariffs or Fentanyl Tariffs) paid by importers but ruled unlawful by the U.S. Supreme Court earlier this year.  This online process will be implemented through a new online portal called the Consolidated Administration and Processing of Entries (“CAPE”).  Summarized below is the overall process for what clients can expect when CAPE commences operations next week.  Please note the CSV format requirements for entry lists in the CAPE Declaration, which CBP has stipulated in recent days.

1. All importers due tariff refunds must preregister for electronic refunds with CBP by adding their banking details under the ACH Refund Authorization tab in the ACE portal.

2. Phase 1 of CBP’s refund processing will cover unliquidated entries and liquidated entries within 80 days of their liquidation date; other categories of entries will be handled in a Phase 2.

3. The entries that will not be handled in phase 1 refund processing, include:

              •Entries covered by an open Protest;

              •Entries subject to a Drawback claim;

              •Entries flagged for reconciliation;

              •Entries not filed in ACE;

              •Entries subject to AD/CVD proceedings and pending liquidation.

4. Earlier CBP guidance stated that the Importer of Record (“IOR”) may authorize third parties to file CAPE Declarations for refunds, however CBP officials have in more recent days stated that only the IOR or the broker that originally filed the entries now being submitted for refund may submit the CAPE Declaration.

5. Use only the CSV (Comma-Separated Values) file format for your list of IEEPA entries subject to refund.  The list may be up to 9,999 entry numbers long; additional CSV entries may be submitted on a separate CAPE Declaration.

6. Once CBP has validated the correct applicant and format, it will generate a CAPE Claim Number.

7. CBP anticipates that its review shall take about 45 days after submission for processing and liquidation or re-liquidation of a particular entry.  An actual electronic ACH refund will occur 60-90 days after the original date of submission.

8. Refunds will be calculated to include duties, taxes, and fees, plus interest of about 6%.

9. Naturally, all of the above is subject to verification under real world conditions once CAPE commences operation, and time will tell.

This communication is not intended to create or constitute, nor does it create or constitute, an attorney-client or any other legal relationship. No statement in this communication constitutes legal advice nor should any communication herein be construed, relied upon, or interpreted as legal advice. This communication is for general information purposes only regarding recent legal developments of interest, and is not a substitute for legal counsel on any subject matter. No reader should act or refrain from acting on the basis of any information included herein without seeking appropriate legal advice on the particular facts and circumstances affecting that reader. For more information, visit www.buchalter.com.