U.S. CBP provides update on IEEPA duty refund process
CBP is developing new ACE functionality to automate and centralize IEEPA tariff refund claims.
U.S. Customs and Border Protection (CBP) today filed a declaration with the U.S. Court of International Trade (CIT) outlining how it plans to process refunds of tariffs imposed under the International Emergency Economic Powers Act (IEEPA). CBP is developing new functionality in ACE to centralize and automate the IEEPA refund process from claim submission through refund issuance.
Key takeaways include:
- CBP is creating a new CAPE (Consolidated Administration and Processing of Entries) module in ACE specifically designed to administer IEEPA refund claims at scale.
- Importers and customs brokers will use a CAPE online portal in ACE to submit claims, providing lists of affected entry summaries in CSV format.
- CAPE will run automated checks on submitted entries, remove IEEPA‑related HTS provisions, recompute the duties owed, and then carry entries through liquidation or reliquidation as needed.
- Once that process is complete, any overpaid IEEPA amounts will be refunded via electronic payment to the bank account on file for the importer (or other designated payee).
- CBP indicates that different CAPE components are currently partially built (about 40%–80% complete) and will be deployed in stages, with simpler refund scenarios addressed first and more complex cases added over time.
CBP noted that operational, legal, and technical considerations may require adjustments, and the full refund‑processing timeline could extend for several months.
KPMG observation
It has been reported that CIT Judge Richard Eaton described the process as satisfactory and will continue to suspend his order to liquidate entries with IEEPA tariffs.