Supreme Court Strikes Down IEEPA Tariffs: Refund Process And Next Steps For Importers

In a much-anticipated decision, on February 20, 2026, the Supreme Court ruled that tariffs imposed under the International Emergency Economic Powers Act ("IEEPA") are unconstitutional, holding that the statutory language of IEEPA does not permit the president to impose tariffs. This outcome was widely expected after lower courts ruled against the IEEPA tariffs, and several Justices expressed skepticism of the government's position during oral arguments last November. Nevertheless, the Supreme Court's opinion comes sooner than many in the trade community had anticipated.

The ruling has immediate implications for importers that paid IEEPA tariffs, who are now eligible to file suit seeking refunds. Unfortunately, the majority opinion provided no guidance as to how importers may be able to obtain their refunds. However, this likely implies that filing suit in the Court of International Trade ("CIT") under 28 U.S.C. § 1581(i) remains the proper course.