The Digester

US Could Owe $100B+ in Trump Tariff Refunds as Interest Hits $700M Monthly

Mar 5th 2026

A federal judge told Customs to start processing refunds after the Supreme Court ruled the IEEPA tariffs illegal, opening the way for thousands of claims and mounting interest that now totals about $700 million a month.

  • The Supreme Court found the Trump tariffs illegal, ruling he lacked authority under the International Emergency Economic Powers Act.
  • On March 4, 2026 Judge Richard K. Eaton ordered US Customs and Border Protection to begin processing refunds and scheduled a follow-up hearing.
  • Thousands of businesses have filed lawsuits seeking full refunds plus interest, which could push government liability above $100 billion.
  • Interest on the refunds is accumulating at about $700 million per month, or roughly $23 million per day.
  • Cato Institute analysis using a 4.5% IRS corporate overpayment rate shows compounding interest could keep growing into 2029 if repayments are delayed.
  • The administration is expected to appeal after previously saying refunds would be issued if the tariffs were struck down.

Sources

blocknow.com