Tariff refund system for businesses scheduled for launch on Monday

The U.S. tariff refund system is set to launch on Monday, allowing businesses to submit their claims for reimbursements after paying $166 billion on duties determined to be illegal by the Supreme Court. 

Customs and Border Protection will manage the online platform and provide electronic refunds in most cases when applicable, according to court filings. 

As of April 14, 56,497 importers have already filed for reimbursements, according to The Associated Press.

It could take anywhere between 60 to 90 days for refunds to be processed, per the wire.

“My main concern is the turnaround time,”  Brad Jackson, co-founder of After Action Cigars in Rochester, Minnesota, told AP. 

“A refund process that takes several months to complete doesn’t solve the cash flow problem that it is supposed to fix,” he added.

Some businesses impacted by tariffs implemented price increases for consumers to mitigate the uptick in import and export costs. 

Companies are not legally obligated to provide refunds to customers but some have said they will. 

“FedEx is committed to working expeditiously to issue refunds for IEEPA [International Emergency Economic Powers Act] tariffs paid to its customers for whom it served as customs broker as soon as it begins receiving refunds from CBP,” FedEx said in a statement.

“We are committed to transparency and will communicate clearly as additional direction becomes available from the U.S. government and the court,” they added.