The Supreme Court ruled all IEEPA tariffs unlawful on February 20, 2026. CBP launched its refund portal on April 20 — and the first checks could hit importer bank accounts as early as May 11. If you paid reciprocal tariffs or fentanyl duties in 2025 or 2026, here's your step-by-step guide to getting that money back.
On February 20, 2026, the Supreme Court dropped a bomb on US trade policy. In a 6-3 decision in Learning Resources, Inc. v. Trump, Chief Justice Roberts held that the International Emergency Economic Powers Act simply does not authorize the President to impose tariffs. Full stop. The reciprocal tariffs, the fentanyl duties, the baseline 10% rate on nearly every trading partner — all of it, invalid from inception.
The practical consequences are staggering. Industry estimates put the total IEEPA duties collected at somewhere approaching $290 billion. Every dollar of that is now, legally speaking, an illegal exaction that the government cannot retain. And as of late April 2026, CBP has confirmed that 75,306 CAPE Declarations have been submitted, covering over 11.2 million entries — roughly 21% of the total affected universe.
The first refunds are expected on or about May 11, 2026. But getting your money isn't automatic, and the process has already tripped up thousands of importers. Here's everything you need to know.
The Supreme Court Ruling: What It Actually Said
The Learning Resources decision was decisive. Six justices — Roberts, Sotomayor, Kagan, Gorsuch, Barrett, and Jackson — agreed that IEEPA does not permit tariff imposition. The majority opinion hinged on Article I, Section 8 of the Constitution: the power to "lay and collect Taxes, Duties, Imposts and Excises" belongs to Congress alone. Any delegation of that power must be explicitly stated, and IEEPA's text authorizing the President to "regulate" international transactions during a declared emergency doesn't cut it.
The Court left remedies to the lower courts — specifically, the US Court of International Trade (CIT). On March 4, 2026, CIT Judge Richard K. Eaton issued a sweeping order in Atmus Filtration, Inc. v. United States directing CBP to liquidate and reliquidate affected entries without IEEPA tariffs. Critically, the CIT stated that all importers of record whose entries were subject to IEEPA duties are entitled to benefit from the ruling — not just the named plaintiffs.
Which Tariffs Were Struck Down
Every tariff imposed under IEEPA authority is now invalid. That includes:
| Tariff Program | Original Rate | Effective Date | Status |
|---|---|---|---|
| Reciprocal tariffs (most countries) | 10% baseline + country-specific rates up to 50% | April 2025 | Invalid |
| Fentanyl duties (China) | 20% additional | March 2025 | Invalid |
| Fentanyl duties (Canada, Mexico) | 25% additional | March 2025 | Invalid |
| Canada/Mexico baseline | 25% (non-USMCA) | March 2025 | Invalid |
What's still in effect: Section 301 tariffs on China (separate statutory authority), Section 232 tariffs on steel, aluminum, and copper (separate statutory authority), and the new Section 122 baseline tariff of 10% (signed into law by Congress in February 2026). IEEPA is the only program affected by the ruling.
What Is CAPE and How Does It Work
Consolidated Administration and Processing of Entries (CAPE) is CBP's purpose-built system for processing IEEPA refunds. Rather than handling millions of refunds entry-by-entry — which would take years — CAPE consolidates refunds by importer and liquidation date, processing them in bulk through the ACE Portal.
Here's the workflow:
- The Importer of Record (IOR) or their authorized broker logs into the ACE Secure Data Portal
- They navigate to the new CAPE Tab and download the CSV template
- They populate the template with up to 9,999 entry numbers per declaration
- They upload the CSV as a CAPE Declaration
- ACE validates the file — checking entry numbers, eligibility, and format
- If validation passes, ACE assigns a CAPE Claim Number and removes the IEEPA HTS line items
- CBP reviews the updated entries and liquidates or reliquidates them
- Refunds are consolidated by IOR (or designated 4811 notify party) and issued via ACH
The key detail: refunds are paid electronically only. You must have bank account information on file with CBP through the ACE Secure Data Portal. If your ACH enrollment isn't current, your refund will not be paid until you update it.
Phase 1: What's Eligible Right Now
CAPE Phase 1 launched on April 20, 2026 and covers a limited — but large — subset of entries:
- Unliquidated entries with IEEPA duty lines
- Entries within 80 days of liquidation (i.e., liquidated after approximately February 1, 2026)
Phase 1 excludes:
- Entries with open protests
- Entries with pending drawback claims
- Entries that are extended or suspended
- Warehouse entries
- Entries liquidated more than 80 days prior to the CAPE filing date
CBP has stated that "more complicated scenarios" will be addressed in future phases, but hasn't published a Phase 2 timeline yet.
The Numbers So Far: 75,000 Declarations and Counting
As of April 26, 2026 — just six days after CAPE went live — CBP reported the following to the CIT:
| Metric | Number |
|---|---|
| Total CAPE Declarations submitted | 75,306 |
| Declarations passing file validation | 47,315 |
| Total entries covered by valid declarations | 11,222,927 |
| Percentage of total affected entries | ~21% |
| Entries liquidated and in refund processing | ~1,740,000 |
| Expected first refund date | On or about May 11, 2026 |
| Expected refund timeline after acceptance | 60-90 days |
That means roughly 28,000 declarations — over a third — failed file validation. If you haven't filed yet, learn from their mistakes.
Common Filing Errors and How to Avoid Them
According to the closed CIT conference on April 28, the most frequent problems include:
ACE Portal access issues. Many importers haven't logged into ACE in years. Password resets are backlogged, and CBP's training webinars are oversubscribed. Start your portal access recovery now — don't wait until the day you need to file.
Incorrect importer identification. Only the IOR or the broker who originally filed the entry can submit the CAPE Declaration. If your company restructured, changed customs broker, or filed under multiple IOR numbers, you need to sort out which entity files which declarations.
CSV formatting errors. The CAPE template is unforgiving. Entry numbers must match ACE records exactly — including check digits, filer codes, and entry types. One wrong character rejects the entire file.
Entries outside Phase 1 scope. If you include entries with open protests, drawback claims, or entries liquidated more than 80 days ago, the declaration will fail validation for those lines.
Missing ACH enrollment. Even if your declaration is accepted and your entries are reliquidated, CBP will not issue the refund without current bank information in the ACE Portal.
Interest: You're Owed More Than Just the Duties
Under 19 USC § 1505(c), when CBP reliquidates an entry and issues a refund, the government owes interest from the date the duties were deposited. For entries that have been liquidated, interest also accrues under the statutory framework for illegal exactions.
CBP has acknowledged that CAPE refunds will include interest, but as of early May has not published its exact calculation methodology. The CIT is expected to issue guidance on interest computation, particularly for entries that sat in liquidated status for months while litigation worked through the courts.
For large importers, the interest component alone could be substantial. An importer who paid $10 million in IEEPA duties in April 2025 could be owed over $500,000 in interest at the statutory rate — on top of the full duty refund.
What About Entries Outside Phase 1?
If your entries are excluded from Phase 1 — because they were liquidated more than 80 days ago, have open protests, or involve complex scenarios — you're not out of luck, but you need to protect your rights.
For entries liquidated more than 80 days ago but within 180 days: File a protest under 19 USC § 1514 before the 180-day protest window expires. This preserves your right to a refund when CBP rolls out later CAPE phases.
For entries liquidated more than 180 days ago: You may still have rights under the CIT's broad order, which didn't impose a time limitation. However, the legal landscape is uncertain. Consult trade counsel now — don't assume the refund will come automatically.
For entries with open protests: Your existing protest already preserves your rights. CBP has indicated these will be handled in future phases but hasn't committed to a timeline.
What You Should Do This Week
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Verify your ACE Portal access — Log in today. If you can't, initiate a password reset or new account request immediately. CBP's help desk is overwhelmed; expect delays of 5-10 business days.
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Confirm your ACH enrollment — Navigate to your ACE account's banking section. If your bank information is outdated, missing, or associated with a closed account, update it now. No valid ACH on file means no refund payment.
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Identify all affected entries — Pull your import history for March 2025 through February 2026 (or whenever you paid IEEPA duties). Cross-reference entry numbers against the Phase 1 eligibility criteria.
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Determine who files — If you used a broker, confirm whether they or you will submit the CAPE Declaration. Only one party can file per entry. Coordinate now to avoid duplicate filings.
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Prepare your CSV — Download the CAPE Declaration template from the ACE Portal. Format your entry data carefully. Validate entry numbers against ACE records before uploading.
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File your declaration — Submit your CAPE Declaration through the ACE Portal. Monitor the status using the new REV-615 CAPE Refunds Trade Report in ACE Reports.
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Protect entries outside Phase 1 — For liquidated entries approaching the 180-day protest window, file protests now. Don't wait for Phase 2.
What's Coming Next
May 11, 2026 (approximate): First CAPE refunds issued via ACH to importers whose declarations were accepted in the first week of Phase 1.
Phase 2 (timeline TBD): CBP has committed to expanding CAPE to cover "more complicated scenarios" including protested entries, drawback-linked entries, and older liquidated entries. No date announced.
Government appeal: The Administration is expected to appeal the CIT's March 4 order. However, legal experts note that the Supreme Court's clear holding — IEEPA doesn't authorize tariffs, period — leaves little room for reversal on the merits. The appeal is more likely to contest the scope of relief or the mechanics of the refund process.
Interest calculation guidance: CIT is expected to issue specific direction on how CBP should compute interest for different entry categories.
The Bigger Picture
The IEEPA refund process is unprecedented in scale. CBP has never processed anything close to $290 billion in refunds, and even the phased CAPE approach will strain the agency's resources. Early filers will have an advantage — not just in timing, but in working through a system that hasn't yet been overwhelmed.
The companies that prepared their ACE access, identified their entries, and coordinated with their brokers before April 20 are the ones whose refunds will hit first. If you're still sorting out portal access or haven't reviewed your entry history, you're already behind — but not too late.
TariffLens tracks IEEPA-affected HTS codes across your import history, making it straightforward to identify which entries qualify for CAPE filing and calculate your estimated refund amount.
This article is for informational purposes only and does not constitute legal, tax, or customs advice. Consult a licensed customs broker or trade attorney for guidance specific to your situation.