Consumers who paid import tariffs last year may be due refunds as major shipping firms and retailers begin distributing billions of dollars returned by the U.S. government following a Supreme Court ruling that invalidated sweeping 2025 levies under the International Emergency Economic Powers Act.
If you made international online purchases last year, you might have some unexpected money coming your way. Major shipping carriers that acted as customs brokers for imported packages have started returning tariff money to the customers who originally shouldered the cost, following a high-stakes legal battle that dismantled a massive federal tax collection effort.
How the Supreme Court Ruling Triggered a $100 Billion Refund Rollout
The consumer refunds mark the final stage of an extended legal and administrative fallout that began in February when the Supreme Court struck down sweeping tariffs implemented by President Donald Trump in March 2025 under the 1977 International Emergency Economic Powers Act. The court ordered the federal government to return the tariffs it collected on goods from almost every country.
So far, about $100 billion in tariffs have been refunded to companies that paid them under a reimbursement system established by U.S. Customs and Border Protection. While those corporate payees are now sorting through how to pass the cash along, the scale of the original tax burden remains staggering. In 2025, the Trump levies amounted to an average tax increase of $1,000 per U.S. household, according to data from the Tax Foundation.
FedEx, UPS, and DHL Roll Out Direct Reimbursements
Because smaller overseas sellers often left import tariffs to be collected upon delivery, shipping carriers frequently paid the bills directly and charged the package recipients. Those logistics giants are now returning the cash.
FedEx confirmed it has begun issuing $800 million in tariff refunds back to the customers who paid them. While customers do not need to submit an application to receive their money, they can look up tracking numbers on the FedEx website to verify their refund status.
Meanwhile, United Parcel Service reported in April that it had paid $5 billion in tariffs on behalf of clients and initiated a phased application process. According to information detailed on the UPS platform, Phase One covers unliquidated entries and pending tariff payments made on or after Jan. 30, 2026. UPS applies approved refunds first to any open account invoices, with remaining balances disbursed within 60 to 90 days after the company receives the funds from CBP. Customers can use the UPS IEEPA Tariff Refund Lookup tool to check individual shipments.
Why Big Retailers Are Lowering Prices Instead of Issuing Direct Checks
For shoppers hoping for direct checks from major online marketplaces and big-box stores, the financial mechanics are much more complicated. Unlike shipping carriers that collected fees directly from buyers, most major retailers absorbed import duties or passed them along indirectly through higher prices or modified product lines.
Amazon executives reported receiving $600 million in tariff refunds during the second quarter. During an investor call, Amazon Chief Financial Officer Brian Olsavsky explained that the company was not the importer of record for most of its inventory but identified a limited set of circumstances where we can trace that we pass specific import charges on to customers. In those specific instances, Olsavsky stated that Amazon will proactively contact affected customers and automatically issue refunds to them,
while using the remainder of the funds to lower overall prices.
Other major retail leaders have outlined similar strategies. Best Buy outgoing CEO Cori Barrie noted that the nation’s largest consumer electronics chain served as the importer of record for only 2% to 3% of its sales, pledging to use any returned funds to deliver value back to our customers.
Costco CEO Ron Vachris told investors during a May earnings call that his company planned to return tariff money in some form,
though he cautioned that the timeline depends heavily on refund disbursements and ongoing litigation.
Class-Action Lawsuits Face Steep Legal Hurdles
Frustrated consumers have not waited solely for corporate goodwill. More than 80 class-action lawsuits have been filed nationwide against major brands including Costco, Nike, Amazon, and Walmart, with shoppers demanding the return of tariff expenses embedded in retail price hikes.
Legal experts warn that these court battles face significant obstacles. Lori Leskin, a partner and co-chair of Arnold & Porter’s Consumer Products Practice Group, noted that none of the suits have achieved class-action certification and plaintiffs will struggle to isolate tariff impacts from broader economic trends.
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