CAPE Portal Filing Guide: $85B Processed, Gov't Appeals Refund Order

CBP has sent $20.6 billion to the U.S. Treasury for disbursement as of late May 2026. That's real money hitting real importers' bank accounts. But the refund process just got more complicated.

On June 2, the Trump administration formally appealed the CIT's March 4 order that compelled CBP to refund all importers — not just the ones who sued. If the appeal succeeds, only plaintiffs in the original case would get automatic refunds. Everyone else would need to file through CAPE or pursue other legal channels.

Here's the good news: CAPE is still processing. 126,000+ declarations have been filed. 69% have been validated. And the first ACH payments started hitting accounts on May 11 — running 45-60 days from acceptance, faster than the original 60-90 day estimate.

The bad news: 19% of entries are being rejected. And Phase 2 (for older liquidated entries) is still months away.

Quick check: See if you're eligible with our refund calculator — it takes 30 seconds.

By VatCheck Research Team. Sources: CBP CSMS #68315804, CBP CAPE Quick Reference Guide, CBP Trade Information Notice (April 2026), Baker Tilly CAPE analysis, Troutman Pepper Phase 1 analysis, Fortune (June 1, 2026), Bloomberg (June 2, 2026), Cato Institute refund analysis.

The June 2 Appeal: What It Means for Your Refund

The Department of Justice filed notice on June 2 that it will appeal the CIT's March 4 "universal injunction" — the order requiring CBP to refund all importers who paid IEEPA tariffs, not just the handful of plaintiffs who won at the Supreme Court.

The Government's Argument

The DOJ argues that the CIT exceeded its authority by ordering refunds to non-plaintiff importers. They cite Trump v. Casa, Inc., in which the Supreme Court ruled that federal courts can't issue universal injunctions covering parties beyond the plaintiffs. In their filing: "ordering CBP to reliquidate final entries including entries made by importers who have not sued in this Court… exceeds the Court's jurisdiction and equitable authority."

What This Actually Affects

| If the appeal SUCCEEDS | If the appeal FAILS | |---|---| | Only original plaintiffs get automatic refunds | All importers get refunds (status quo) | | Everyone else must file through CAPE | CAPE continues processing all filers | | Non-filers would need to sue independently | Non-filers still eligible through CAPE | | Secondary market for claims gets more valuable | Secondary market becomes less necessary |

What You Should Do

File through CAPE now. The appeal doesn't stop CAPE from processing — CBP is still accepting and disbursing. But if the universal injunction is overturned, having a filed CAPE declaration gives you a stronger legal position than having nothing. Don't wait to see how the appeal plays out.

The government's appeal brief is due June 7, 2026.

CAPE by the Numbers (June 2026)

| Metric | April 26 (Week 1) | Late May 2026 | Change | |---|---|---|---| | Declarations filed | 75,300 | 126,000+ | +67% | | Entries submitted | 11.2 million | ~15.1 million | +35% | | Entries validated | 1.74 million | ~10.4 million | +498% | | Validation rate | 15.5% | 69% | +345% | | Rejection rate | ~15% | ~19% | +27% | | $ accepted for processing | — | $85 billion | — | | $ sent to Treasury | — | $20.6 billion | — | | Entries reliquidated | — | 8.3 million | — | | ACH refunds flowing | No | Yes (since May 11) | — |

Key takeaway: The system is working. 69% validation (up from 15.5% at launch) shows CBP has cleared the initial processing backlog. But the 19% rejection rate means roughly 1 in 5 entries still fails validation — and those need attention.

Who Can File Through CAPE (Phase 1)

Phase 1 launched April 20. It covers approximately 63% of all entries with IEEPA duties.

You're Eligible If:

You're the Importer of Record (IOR) or the licensed customs broker who originally filed the entries
Your entries are unliquidated (most entries less than ~314 days old)
Your entries were liquidated within the last 80 days
Your entries have status "Suspended," "Extended," or "Under Review"
You paid duties under HTS Chapter 99 subheadings beginning with 9903.01 (the IEEPA flag)

Warehouse entries, warehouse withdrawals, and AD/CVD entries are all included.

You're NOT Eligible for Phase 1 If:

Your entries have been finally liquidated for more than 80 days (wait for Phase 2)
Your entries are flagged for reconciliation (including Type 09 entries)
Your entries are subject to drawback claims (including Type 47 entries)
Your entries have AD/CVD with Commerce liquidation instructions pending

Phase 2 will handle these cases. Expected launch: Q3 2026. CBP has said Phase 2 won't launch until Phase 1 acceptance rates stabilize — which at 69%, they're approaching.

IEEPA Tariff Programs That Qualify

| Tariff Program | Peak Rate | Countries | Period | |---|---|---|---| | China/Hong Kong IEEPA | Up to 145% | China, Hong Kong | Feb 4, 2025 – Feb 20, 2026 | | Canada IEEPA | 25% | Canada | Mar 4, 2025 – Feb 20, 2026 | | Mexico IEEPA | 25% | Mexico | Mar 4, 2025 – Feb 20, 2026 | | Reciprocal tariffs | 10–49% | 50+ countries | Apr 5, 2025 – Feb 20, 2026 |

Important for China importers: Only the IEEPA portion is refundable. Section 301 tariffs (7.5–100%, still in force) are not covered. Section 232 tariffs on metals are not covered. CAPE only removes the IEEPA piece.

Use our refund calculator to estimate your specific amount.

Filing Your CAPE Declaration: Step by Step

Step 1: Set Up ACH First

CBP only issues refunds via ACH. No paper checks, no wire transfers. This is the #1 cause of payment delays.

Log into ACE as the Trade Account Owner
Navigate to your Importer sub-account
Click "ACH Refund Authorization" tab
Enter your TIN and a US bank account routing number
Allow 5-7 business days for ACH enrollment to activate

Over 12,300 refunds were blocked before CAPE launched because importers hadn't set up ACH. Don't let this be you.

Step 2: Compile Your Entry Numbers

Pull entry summary data from ACE for February 4, 2025 through February 20, 2026. Filter for Chapter 99 HTS codes starting with 9903.01. Export the 11-character entry numbers.

Your customs broker can generate this report if you don't have direct ACE access.

Step 3: Prepare Your CSV File

Download the CAPE Upload Template from the ACE CAPE module. One column: "Entry Number" in Row 1, Column A.

Format rules that trip people up:

11 alphanumeric characters per entry number (dashes optional)
No duplicate entry numbers within the same declaration
Maximum 9,999 entries per declaration (split if you have more)
Must be .csv format — Excel .xlsx files are rejected
UTF-8 encoding without BOM (byte order mark)
Line endings must be LF, not CRLF (Windows Excel adds CRLF by default)

The leading zero problem: If Excel formats the entry number column as "Number," it strips leading zeros. Format the column as "Text" before pasting entry numbers.

Step 4: Upload and Submit

Upload your CSV through the ACE CAPE module. The system validates each entry individually. If individual entries fail, CAPE removes those entries but processes the rest — one bad entry doesn't tank your filing.

Download the Validation Result File after processing. It shows accepted and rejected entries with specific error codes.

Step 5: Track Your Refund With ACE Reports

Three ACE reports for CAPE tracking:

| Report | What It Shows | |---|---| | ES-003 (Entry Summary Status) | Current status of each entry in the CAPE pipeline | | ES-022 (CAPE Entry Summary Report) | Links your declaration, entry, and refund numbers. Shows amounts separated by principal and interest. Primary tracking tool. | | ES-701 (Courtesy Notice of Liquidation) | Confirms when CBP has processed the reliquidation. Shows refund and interest breakdown. |

The ES-022 is the report you'll check most frequently — it tells you exactly where each entry stands in the refund pipeline.

What Refunds Actually Look Like: Real Data from May-June 2026

First-batch ACH refunds started disbursing on May 11, 2026. Based on early filer reports:

Refunds arriving 45-60 days after accepted CAPE declarations (faster than the 60-90 day original estimate)
Interest calculated automatically — shows as separate line on ES-022
ACH payments posting within 1-2 business days after CBP processes reliquidation
Some filers reporting partial refunds — amounts lower than expected because CAPE recalculated duties differently than the importer estimated
$20.6 billion sent to Treasury for disbursement as of late May 2026

Interest Rates (Q2 2026)

| Filer Type | Rate | |---|---| | Individuals / non-corporations | 6% compounded daily | | Corporations | 5% compounded daily | | Corporate overpayments >$10,000 | 3.5% compounded daily |

For a $100,000 refund on duties paid in April 2025, a corporate filer receives roughly $5,000-6,000 in interest on top of the principal. That's real money worth filing for.

The 19% Rejection Problem: What's Failing and How to Fix It

The rejection rate climbed from 15% at launch to 19% — partly because later filers include more edge cases. Here's what's failing based on CBP data:

| Rejection Reason | % of Rejections | Fix | |---|---|---| | HTS classification mismatch | ~25% | Verify 9903.01 codes match original entry | | Filer code mismatch | ~22% | First 3 characters of entry must match your ACE filer code | | Entry already liquidated >80 days | ~20% | Wait for Phase 2 (expected Q3 2026) | | IOR number mismatch | ~15% | Update IOR info in ACE or file through original broker | | Duplicate entry in same declaration | ~8% | Remove duplicates from CSV | | Reconciliation/drawback flag | ~10% | These entries are Phase 2-only |

Four patterns account for 79% of all rejections. If you fix HTS classification mismatches, filer code errors, and IOR mismatches, you'll clear most of your rejections on resubmission.

For detailed error codes and step-by-step fixes, see our CAPE portal troubleshooting guide.

Resubmission Process

Download your validation report from ACE (lists every entry that failed with specific error codes)
Sort errors by type — fix the fixable ones
Create a new CAPE Declaration for corrected entries only
Resubmit through ACE CAPE module (no limit on resubmissions, no penalty)
Watch the 80-day liquidation window — entries can fall outside the window while you're fixing errors

Nonresident Importer Problem

Foreign companies serving as Importer of Record face a specific blocker: CBP only disburses via ACH to US bank accounts. No international wire option. No paper checks.

Options:

Open a US bank account (several banks offer NRA accounts for trade purposes)
Coordinate with your customs broker — they may receive the refund on your behalf
Document the issue with CBP's ACE Help Desk (1-866-530-4172) — they've acknowledged the gap

This affects an estimated 15,000-20,000 importers. Phase 2 may address alternative disbursement methods.

Phase 2: What's Coming

Phase 2 will handle entries that Phase 1 can't:

| Phase 1 (Live Now) | Phase 2 (Expected Q3 2026) | |---|---| | Unliquidated entries | Older liquidated entries (>80 days) | | Entries liquidated within 80 days | Reconciliation entries (Type 09) | | Standard entry types | Drawback entries (Type 47) | | — | AD/CVD with pending Commerce instructions | | — | Partial liquidations | | — | FTZ admissions |

CBP has said Phase 2 won't launch until Phase 1 acceptance rates stabilize. At 69% validated (up from 15.5% at launch), that threshold is approaching.

If your entries fall outside Phase 1 eligibility right now:

File a protest through the standard 19 USC 1514 process (180-day window from liquidation)
Track the Phase 2 announcement through CBP CSMS bulletins
Don't let the 180-day protest window pass while waiting for Phase 2

The Secondary Market for Refund Claims

A secondary market is emerging for businesses that need cash now. Hedge funds and financial services firms are offering to purchase importers' tariff refund claims at a discount — typically 10-30% below face value.

The math: On a $500,000 refund claim, a secondary buyer might pay $350,000-$450,000 immediately. You get cash now; they take on the administrative burden and timeline risk.

Should you sell? For most importers: no. If you have ACE access and the ability to file through CAPE, the 45-60 day turnaround makes selling unnecessary. But if you're a nonresident importer without US banking, or your entries are Phase 2-only (meaning months of waiting), the secondary market might make sense.

What to watch for: The government's June 2 appeal adds uncertainty. If universal refund rights are restricted, secondary buyers will discount claims more heavily. Sell before the CAFC rules, not after, if you're going that route.

Scam Warnings

The IRS and AARP have issued warnings about tariff refund scams:

Unsolicited calls/emails claiming you're owed a "tariff rebate check" — the IRS does not process tariff refunds
Third-party services charging 25-40% for CSV preparation — the CSV is literally a list of entry numbers
Phishing sites mimicking the ACE portal — always access ACE directly at ace.cbp.dhs.gov
"Expedited processing" offers — CBP processes all declarations in the same queue

Reasonable costs: Flat fees of $200-500 for administrative prep are standard. Anyone taking a percentage of your refund is overcharging for what amounts to data entry.

What Tariffs Are NOT Refundable Through CAPE?

Section 301 tariffs, Section 232 tariffs, Section 201 tariffs, and Section 122 tariffs are all not refundable through CAPE. CAPE handles IEEPA tariffs only.

For Section 122 refunds, you need to file CBP protests — a separate process. Read our Section 122 guide for details.

Your CAPE Filing Checklist

[ ] Verify ACE Portal access (apply here if needed)
[ ] Set up ACH bank information first — ACE → Importer sub-account → ACH Refund Authorization
[ ] Pull entry summary data for Feb 4, 2025 – Feb 20, 2026
[ ] Filter for Chapter 99 / 9903.01 HTS codes (IEEPA duties)
[ ] Export entry numbers to CSV (one column, Text format, UTF-8, .csv)
[ ] Upload CSV through ACE → CAPE module
[ ] Download Validation Result File → fix rejections → resubmit
[ ] Track refund via ES-022 report → expect ACH in 45-60 days
[ ] Monitor government appeal (June 7 brief deadline)

Frequently Asked Questions

How long until I get my refund?

Based on May-June 2026 data, 45-60 days after your CAPE declaration is accepted. Some complex entries may take the full 90 days. Launch-week filers (April 20) received ACH payments starting May 11.

Does the Trump administration's appeal stop CAPE?

No. CAPE is still processing and disbursing refunds. The appeal targets the legal authority for universal refunds (to all importers, not just plaintiffs), but CBP hasn't paused operations. File now — having an accepted CAPE declaration gives you a stronger legal position if the appeal succeeds.

What if some entries get rejected?

CAPE processes valid entries and rejects the rest — one bad entry doesn't tank your filing. Download the Validation Result File, fix the issues, and resubmit rejected entries in a new declaration. No penalty for resubmission.

Can I file for multiple entries at once?

Yes. Each CAPE Declaration holds up to 9,999 entry numbers. For more entries, submit multiple declarations. Group them by liquidation status for easier tracking.

Is there a deadline to file CAPE?

CBP hasn't announced a Phase 1 deadline. But entries keep liquidating — once liquidated for more than 80 days, they become Phase 1-ineligible. The government's appeal also creates uncertainty about future program scope. File soon.

I already filed a Post-Summary Correction (PSC). Do I also need CAPE?

If your PSC was filed and accepted before CAPE launched, your refund processes through the normal PSC channel. If not, file through CAPE.

I'm a nonresident importer. Can I get my refund?

Currently difficult. CAPE only disburses via ACH to US bank accounts. See the nonresident importer section above for options. Phase 2 may address this.

When is Phase 2?

Expected Q3 2026. CBP has said it won't launch until Phase 1 acceptance rates stabilize. At 69% validated (up from 15.5%), that threshold is approaching. Phase 2 will cover reconciliation entries, drawback claims, and entries liquidated more than 80 days ago.

Last updated: June 3, 2026. CAPE Phase 1 is live and processing. The Trump administration filed an appeal on June 2 challenging the CIT's universal refund order — monitor for CAFC ruling. For the latest official information, visit CBP's IEEPA Duty Refunds page. For current rates on specific HTS codes, use our calculator. This is not legal advice — consult trade counsel for complex filings.

CAPE Portal Filing Guide: How to Get Your IEEPA Tariff Refund (June 2026 Update)