Status: CAPE calculates interest on IEEPA refunds automatically and pays electronically through the U.S. Treasury. Refunds are staged, not immediate. Last reviewed June 2026.
The short version
An IEEPA refund is not just the duty you paid — CBP’s CAPE process calculates interest on the refunded amount automatically and consolidates payments by importer of record and liquidation date. That has two consequences worth planning for: the amount you receive will differ from the duty figure you originally paid, and the timing is staged across phases rather than arriving in one lump sum. Both matter for how you forecast and book the recovery.
How is interest handled?
Under CAPE, interest is computed automatically as part of the re-liquidation step — you do not calculate or request it separately. Because of that, the refund deposit you eventually see will generally be larger than the bare IEEPA duty amount. When you reconcile refunds against your records, expect the duty principal plus an interest component, and match the total to the entries it covers rather than to a single expected figure.
How should refunds be reflected in the books?
This is a question for your accountant, but the practical shape is straightforward: the duties were originally part of landed cost, so a refund typically reduces that cost or is recognized as a recovery, while the interest portion is generally treated as income. Because refunds are staged, recognition timing can straddle periods. The conservative approach many importers take is to avoid recognizing a refund until the entry has actually been re-liquidated and the amount is confirmed, rather than booking it on the strength of an estimate.
How does payment actually arrive?
Refunds are issued electronically through the U.S. Treasury, consolidated by importer of record and liquidation date. This means a single deposit may cover multiple entries, and different batches may land at different times as CBP works through the phases. Make sure your ACH banking details are enrolled and current so payments are not delayed, and keep a tracking sheet that maps deposits back to entries.
Frequently asked questions
Do I get interest on my IEEPA refund?
Yes. CAPE calculates interest automatically as part of re-liquidation, so the refund generally exceeds the original duty amount.
When can I recognize the refund as income or a cost recovery?
That is an accounting judgment for your finance team, but because refunds are staged and amounts are confirmed at re-liquidation, many importers wait until the entry is actually re-liquidated rather than booking an estimate. The duty recovery and the interest are typically treated differently.
Why is my deposit a different amount than I expected?
Deposits are consolidated by importer of record and liquidation date and include interest, so one payment may cover several entries and exceed the bare duty total. Reconcile against the entries the batch covers, not a single expected number.
Related guides
- How to file a CAPE declaration
- IEEPA refund deadlines and timing
- The complete guide to IEEPA tariff refunds
Easy Logistics is an independent resource and is not affiliated with U.S. Customs and Border Protection. This is general information as of June 2026, not legal, tax, or accounting advice. Confirm the treatment of refunds and interest with your accountant or a licensed customs broker.