The federal government has now refunded more money to importers than it has collected in tariff revenue every month since May, a reversal that has erased more than $100 billion from the Treasury's import tax haul, according to Fortune. The refunds stem from a February Supreme Court ruling that struck down the tariffs the Trump administration had imposed under the International Emergency Economic Powers Act, leaving roughly 330,000 importers owed money back.
The imbalance shows up clearly in the monthly figures. In May, the Treasury refunded $21.97 billion against $21.93 billion collected, essentially wiping out that month's haul. June was worse: $49.18 billion went back out the door against just $23.63 billion collected, leaving net customs revenue at negative $25.56 billion. Altogether, the more than $100 billion refunded since May has already clawed back over half of the $166 billion the government collected under the IEEPA tariffs before they were invalidated.
Rather than let the ruling end its tariff push, the administration moved quickly to reimpose duties using other legal authorities, including Sections 122, 232 and 301 of the Trade Act of 1974. Fortune reports those replacement tariffs have not generated enough revenue to offset what the government now owes importers, leaving the refund obligation to keep outpacing new collections.
Roughly $66 billion in refunds are still outstanding, and that balance is accruing interest at a rate of 4.5 percent to 6 percent, adding to the eventual cost taxpayers will bear for the delay. Economists have also pointed to the toll the underlying tariffs have already taken on prices. The Federal Reserve Bank of St. Louis has tracked price increases topping 4 percent for pharmaceuticals and household goods tied to the duties.
Erica York of the Tax Foundation told Fortune that the tariffs still in place mean the economic damage will keep piling up, pointing to more than 50 separate changes to tariff policy since January 2025 as evidence of how unsettled the rules have been for importers and businesses trying to plan around them.