by Ariful | Oct 11, 2026 | US Updates
TITLE: IRS–HMRC Tax Evasion Enforcement: FBAR and Form 5472 Checks for US Entities
The IRS has highlighted its partnership with HMRC on cross-border tax evasion. If you operate through a US entity, the immediate priority is to check whether its overseas accounts trigger an FBAR filing by 15 October 2026.
The announcement is about enforcement, not a new filing rule
In its 7 October 2026 announcement, the IRS described its collaboration with HMRC’s Strengthened Reward Scheme, launched in November 2025. The agencies say they are working together to identify serious tax evasion and improve cross-border compliance.
The IRS listed examples of reportable concerns, including undeclared foreign accounts and missed FBARs, assets hidden through foreign trusts or anonymous entities, money laundering, and transfer pricing manipulation or illicit profit shifting. People do not need to be US or UK citizens or residents to qualify for an award, but an award is not guaranteed. The IRS says information may qualify when it leads to the collection of taxes or other proceeds. HMRC’s scheme guidance sets out its own eligibility conditions.
This announcement does not create a new FBAR obligation or mean ordinary international sellers are being accused of wrongdoing. It is a reminder to keep reporting complete and records in order, especially when your business uses accounts across multiple countries.
Check your foreign accounts before 15 October
A US person (including a US LLC, corporation, partnership, trust or estate) generally must file an FBAR if it has a financial interest in, or signature authority over, foreign financial accounts whose combined maximum value exceeded USD 10,000 at any time during 2025.
An account’s country and legal structure matter. Do not assume an account is foreign or domestic solely because it uses a familiar payment-service brand. Check which financial institution holds the account and where that account is maintained. Wise, Payoneer, Revolut or local bank accounts may warrant review, but the provider name alone does not determine the FBAR answer.
According to the IRS FBAR guidance, the report is filed electronically through FinCEN’s BSA E-Filing System, not with your federal income tax return. The ordinary due date is 15 April, with an automatic extension to 15 October and no extension request required. Keep the required account records for five years.
For 2026, the inflation adjustment to FBAR civil penalties was cancelled, so the 2025 levels remain in effect. The maximum for a non-willful violation is USD 16,536 per annual report, rather than per account, following Bittner v. United States. For a willful violation, the maximum is generally the greater of USD 165,353 or 50% of the relevant account balance, subject to the applicable rules. These are maximums, not automatic assessments; consequences depend on the facts.
Use this filing checklist
Before the deadline, work through these steps:
- List every account held outside the US. Include bank and brokerage accounts and review accounts used to receive or hold business funds. Confirm the account holder and financial institution.
- Check signature authority. You may have a filing obligation even if you do not own the money, for example if you can control transactions on a company account abroad.
- Calculate the combined maximum value. Convert account values to US dollars and check whether the aggregate exceeded USD 10,000 at any point during 2025.
- File the FBAR separately. Submit FinCEN Report 114 electronically by 15 October 2026. It is not an attachment to your federal tax return.
- Retain the records. Keep account names, numbers, institution details, account types and maximum values, along with supporting statements, for five years.
- Check related-party reporting separately. A foreign-owned US disregarded entity may also need Form 5472 attached to a pro forma Form 1120. Its deadline depends on its tax year and any valid extension; the FBAR deadline does not replace it.
Don’t assume a missed filing has no route to correction
The IRS currently directs taxpayers filing late FBARs to FinCEN’s late-filing instructions, including an explanation for the delay. If you are correcting earlier non-compliance, do not select a route based on a headline or an assumption that a procedure has disappeared. The IRS continues to list Streamlined Filing Compliance Procedures and other options for undisclosed foreign assets. The right route depends on your circumstances and may require specialist legal or tax support.
Understand Form 5472 and its separate penalty risk
A foreign-owned US single-member LLC treated as a disregarded entity may have a Form 5472 filing obligation when it has reportable transactions with its foreign owner or other related parties. The form is attached to a pro forma Form 1120. Reportable activity can include contributions to or distributions from the entity. Check the current Form 5472 instructions against your entity’s actual transactions.
For foreign-owned US disregarded entities, the IRS instructions say the filing cannot be e-filed: it must be faxed or mailed to the specified IRS destination. The general penalty for failing to file a required Form 5472 or maintain required records is USD 25,000 per form, per year. If the failure continues for more than 90 days after IRS notification, further USD 25,000 penalties may apply for each 30-day period, or part of a period, until corrected. This is why form 5472 penalties deserve attention even where an entity has little activity.
IRS Chief Counsel Advice 202617012 discusses reasonable-cause relief for qualifying small corporations with USD 20 million or less in worldwide gross receipts. It is not a blanket waiver or binding precedent. Do not rely on it as a substitute for filing on time and keeping records.
Two examples for international sellers
A UK-run US LLC with a UK business bank account: If the LLC has a financial interest in a UK account and the total value of its foreign accounts exceeded USD 10,000 at any point in 2025, it may need an FBAR by 15 October 2026. A UK owner’s involvement does not automatically remove the US entity’s filing requirement. Separately check whether transactions between the foreign owner and the LLC trigger Form 5472 reporting.
An Amazon FBA seller using a US LLC: A US marketplace account alone does not establish an FBAR obligation. Review the actual bank, payment and financial accounts held by the LLC, where each is maintained, and whether the LLC or a person with signature authority can control them. As one of the US importers of record, you may also have other tax and recordkeeping responsibilities; keep marketplace settlements and account records reconciled so each filing obligation can be identified and supported.
by Ariful | Oct 10, 2026 | Australia Updates
TITLE: Australia’s Key Tax and Compliance Dates for October
Australia’s key tax and compliance dates for October
Australian businesses face several practical compliance deadlines this month. For employers, the immediate priorities are Payday Super and the July–September Business Activity Statement (BAS). Other developments affect ATO payment options, trust reporting, property-loss rules, foreign resident capital gains tax (CGT) and privacy policies.
Whether your business operates in Sydney, Melbourne, Brisbane, Perth, Adelaide or regional Australia, use this update to identify what needs attention now, and what to monitor.
ATO credit card payments continue until 30 June 2027
The Australian Taxation Office (ATO) will continue accepting credit card payments for tax liabilities until 30 June 2027. The government funded a transition period after small business groups and crossbench MPs raised concerns about cash flow. The delay moves the change from its previously planned 1 December 2026 start.
The decision follows the Reserve Bank of Australia’s credit card surcharge ban, which took effect on 1 October 2026. The ATO had planned to stop accepting card payments rather than absorb the processing costs. The delay gives businesses more time to prepare; it does not guarantee that card payments will remain available after June 2027. Read the reports from Nine and the Housing Industry Association.
What to do: Review how you will pay ATO liabilities from 1 July 2027. Check the ATO’s current payment arrangements and plan ahead rather than relying on credit card access or a last-minute solution. That will help you protect working capital and avoid missed payment deadlines.
ATO explores taxpayer data-sharing with banks
The ATO has confirmed it is scoping a proposal, funded in the 2026–27 federal budget, that could let banks verify selected taxpayer-held information when assessing loan applications. The reported proposal would extend institutional access through the Consumer Data Right (CDR) and is intended to help address AI-enabled fraud.
This is work in progress, not a new requirement for businesses to share tax records with banks. The proposal’s design and safeguards are still being explored. The ATO confirmation reported by The Mandarin provides further context.
No immediate action is needed. Still, keep your ATO and accounting records accurate. Reliable income and business information can help prevent mismatches as data verification expands.
Payday Super: treat 28 October as a risk checkpoint
Payday Super began on 1 July 2026. Employers generally must now ensure super contributions reach an employee’s fund within seven business days of each payday. The timing requirement applies throughout the quarter; 28 October is not permission to hold contributions until a quarterly deadline.
The date matters for another reason. Under the ATO’s Payday Super compliance approach, employers with unresolved July–September super guarantee shortfalls after 28 October may be rated high risk and prioritised for investigation. Employers still paying quarterly rather than transitioning to payday payments are generally rated medium risk. Check the ATO’s Payday Super guidance and PCG 2026/1.
Employer checklist:
- Reconcile payroll, super contributions and fund receipt records for July to September.
- Identify unpaid, underpaid or misallocated contributions.
- Correct any shortfall promptly, and work to have first-quarter shortfalls cleared by 28 October.
- Check that your payroll process supports the seven-business-day payment window going forward.
The ATO also has a process for exceptional-circumstances determinations. In qualifying events, such as a natural disaster or widespread technology outage, an employer may be allowed 20 business days under the relevant determination. This is an event-specific process, not a routine extension. Do not assume it applies without checking the ATO’s compliance guidance.
Quarter 1 BAS is due on 28 October
The July–September 2026 BAS is the first quarterly BAS period since Payday Super began. The standard due date is 28 October 2026. Eligible businesses lodging electronically may receive a two-week concession, to 11 November. Eligible clients lodging through a registered agent may have a 25 November date under the agent lodgment program.
These concessions have eligibility conditions, so check the due date on your activity statement or with your agent. The ATO lists the relevant dates on its October 2026 due-date page.
Start gathering sales, expenses, GST and PAYG information now. A timely reconciliation helps you lodge accurately and reduces the risk of late payment.
Closely held trusts: update beneficiary TFN reporting
From 1 July 2026, trustees of closely held trusts no longer lodge quarterly TFN reports for beneficiaries. Instead, beneficiary TFNs must be reported in the statement of distribution, with additional labels in the trust tax return from 2027. The change alters the reporting process; it does not remove TFN withholding obligations. If a beneficiary has not quoted a TFN, withholding at the top marginal rate may still apply.
Review your beneficiary records and distribution reporting before preparing the next trust return. See the ATO’s guidance on closely held trust TFN reporting and trustee obligations.
Negative gearing amendments include targeted transfer exceptions
Schedule 4 to the Treasury Laws Amendment (Tax Reform No 2) Bill 2026 sets out exceptions to the new residential loss-quarantining rules. The rules apply to relevant net rental losses from 2027–28 onwards where an ownership interest was acquired on or after 7:30 pm on 12 May 2026.
The specified exceptions include interests acquired from a deceased spouse, as a surviving joint tenant or estate beneficiary in qualifying circumstances, and from a spouse following a relationship break
by Ariful | Oct 10, 2026 | USA Accounting
California is bringing many prewritten software products into its sales and use tax rules from 1 January 2027. If you sell SaaS or digital products to California customers, use the months ahead to classify your products, test your registration position, and prepare your systems for accurate collection and filing.
What changed, and when?
California Senate Bill 122 was signed into law on 29 June 2026. From 1 January 2027, the definition of “tangible personal property” under California’s Sales and Use Tax Law expands to include digital products and associated copyright or patent interests. This applies whether a product is supplied on physical media, transferred electronically, or accessed remotely.
The change may affect sales tax on in-state sales and use tax on products used in California. It covers more than software downloads: access to certain prewritten software through a browser, API, or cloud infrastructure can also be within scope.
The start date applies to subscription periods beginning on or after 1 January 2027, even if the customer signed the contract earlier. Do not assume an existing agreement is automatically outside the new rules.
Who may need to act?
The change is relevant to California-based sellers and out-of-state businesses selling digital products to California customers. For example, a UK or EU SaaS company that sells prewritten software to California users may need to register and collect use tax if it meets California’s “engaged in business” test.
For out-of-state sellers, the important economic-nexus test is more than $500,000 in combined sales of tangible personal property for delivery in California during the current or preceding calendar year. Sales by the retailer and its related persons are included. Because SB 122 brings qualifying digital products within the definition of tangible personal property, those sales can count toward the test from 1 January 2027.
This is not a special $500,000 digital-product threshold. It is California’s broader registration test for out-of-state retailers. Other activities, such as having an agent, property, or a server in California, may also affect whether you are considered engaged in business there.
Check which products are covered
CDTFA defines a covered digital product as prewritten computer software held or existing for general or repeated sale or lease. It can still count as prewritten software if it was first developed for a particular customer or for internal use. A combination of two or more prewritten programs may also be covered.
Potentially taxable products include:
- Prewritten software sold on physical media or electronically.
- Prewritten SaaS and other software accessed remotely.
- Licences or other rights to use prewritten software, including through a browser or API.
Not considered digital products under this law:
- Cryptocurrency and other digital assets.
- Digital audio, such as music, spoken recordings, and ringtones.
- Digital audiovisual works, including movies and videos with sound.
- Digital books and eBooks.
- Digital infrastructure, such as cloud platforms that customers use to create, deploy, or run their own applications.
- Digital video game products and digital visual works, such as computer-generated artwork.
Exemptions include custom computer software other than a basic operation program; certain digital services where the provider’s human effort begins after the customer requests the service; and products purchased solely for use outside California. The human-effort exemption does not cover the right to use prewritten software running on cloud infrastructure or accessed through a browser or API. A right to reproduce or copy a product for distribution to third parties for consideration is also exempt.
Product labels alone may not settle the question. Review what the customer receives and how it is delivered. Keep records of product classifications and the basis for any exemption you apply.
Apply the $500,000 registration test
If you are outside California, review your California sales across the current and preceding calendar year. Include combined sales of tangible personal property for delivery in California by you and your related persons. From 1 January 2027, qualifying digital-product sales can contribute to this total.
If you meet the test, or another California “engaged in business” condition applies, registration may be required even if your business has no California office. California-based sellers not already registered must generally obtain a California seller’s permit. Out-of-state sellers engaged in business in California generally register for a Certificate of Registration. Use Tax.
Registration is only one part of compliance. Sellers may also need to collect and report use tax on California retail sales, file returns, pay amounts due, and maintain supporting records. Check the CDTFA’s digital products guide for retailers and registration information. CDTFA provides online registration through its Online Services portal.
Fix customer address data before you calculate tax
For remote sales, the customer’s known California address in your records generally determines the place of sale and local and district tax allocation. Use the California address provided in this order:
- Billing address.
- Shipping or delivery address.
- Mailing address associated with the payment instrument.
- Mailing address.
If the customer provides no address during the transaction, use the most recent California address on record in the same priority order. If no California address is available, the sale is treated as taking place outside California.
Review your checkout, billing, CRM, and subscription systems so address fields are complete and retained. CDTFA says a seller must make a reasonable effort to obtain accurate and complete address information to qualify for relief when a sale is treated as outside California. Keep evidence of your process and any good-faith exemption certificates. CDTFA says it will provide further details about the required certificate form.
Local and district taxes follow the place of sale. That means you should not apply one assumed statewide rate to every California customer. Configure your tax process to use the customer’s relevant address.
Understand the separate $5 million purchaser rule
The $5 million rule is different from the $500,000 seller registration test. It applies to electronically transferred or remotely accessed digital products sold by one retailer to the same purchaser.
For 2027, if aggregate gross receipts from those sales to that purchaser exceed $5 million in the calendar year, the retailer may be relieved from the obligation to collect use tax or liability to pay sales tax, subject to statutory conditions. From 1 January 2028, the test applies when receipts exceed $5 million in the current or preceding calendar year; the amount is subject to California CPI adjustment.
When the rule applies, the purchaser becomes responsible for reporting and paying use tax on the transaction that takes the total over the threshold and on subsequent qualifying purchases. The purchaser generally must hold a Use Tax Direct Payment
by Ariful | Oct 9, 2026 | Australia Updates
TITLE: ATO Credit Card Ban Delayed to 2027, Payday Super Guidance and $1,000 Standard Deduction Update
Australian businesses have received more time to use credit cards for ATO tax payments. At the same time, new Payday Super guidance clarifies what may happen after a natural disaster or major technology outage. Today is also the final day to comment on the proposed $1,000 standard deduction for work-related expenses.
This update covers the main compliance actions for businesses and international groups operating in Australia, from Sydney and Melbourne to Brisbane, Perth and Adelaide.
ATO Credit Card Payment Ban Delayed Until June 2027
The federal government has stepped in to delay the ATO’s planned withdrawal of direct credit card payments for tax bills.
Treasurer Jim Chalmers announced on Friday 9 October that the government will provide additional funding so the ATO can continue accepting credit card payments until at least 30 June 2027.
The original plan was for direct credit card payments to stop from 1 December 2026. The extension gives the ATO more time to consult with small businesses and consider a workable long-term arrangement.
You can read the latest reporting from ABC News and the SBS News explainer.
What caused the delay?
The change follows the Reserve Bank’s ban on credit card surcharges for EFTPOS, Visa and Mastercard transactions from 1 October 2026.
The ATO previously said that continuing to absorb card processing costs could cost approximately $200 million each year. Around 2.3% of tax payments were made by credit card in 2024–25, while approximately 5% of small businesses used a credit card to pay tax.
Although the proportion is relatively small, business groups argued that the affected businesses often use cards to manage the timing of tax payments and working capital.
The government will finalise the cost of the extension in the mid-year budget update, known as MYEFO, expected in December.
Keep alternative payment methods ready
The extension is temporary. Do not build your payment process around credit card access continuing indefinitely.
Review your business payment options now:
- BPAY for eligible ATO liabilities.
- Debit card payments through available ATO channels.
- Bank transfer from your business account.
- Direct debit where suitable.
- Third-party payment providers that accept credit cards and pay the ATO on your behalf.
The ATO’s payment information explains the available methods and processing requirements.
If you use a third-party provider after 30 June 2027, check its fees, processing times, payment limits and legitimacy. Keep the payment confirmation and match it against the correct ATO account.
Do not delay payment while waiting for a preferred method to become available. General interest charges can continue to accrue on overdue amounts. ATO interest incurred from 1 July 2025 is also no longer tax deductible.
Payday Super Guidance Extends the Contingency Window
The ATO has finalised PS LA 2026/2, which guides ATO staff on when the Commissioner may make an exceptional circumstances determination for Payday Super.
The guidance applies from 1 July 2026 and was clarified after consultation feedback.
Payday Super requires employers to pay superannuation at the same time as salary and wages. In general, an eligible contribution must reach the employee’s super fund within seven business days of payday.
That timing may be difficult to meet after a major event. Examples could include:
- A natural disaster affecting payroll or banking infrastructure.
- A widespread technology outage.
- A significant systems failure affecting contribution processing.
- Another event covered by an exceptional circumstances determination.
Understand the 20-business-day rule
Where an exceptional circumstances determination applies, and the relevant qualifying earnings were paid during the specified period, a covered employer may have 20 business days from the qualifying earnings day to make an eligible contribution.
This is not an automatic extension for every payroll delay. The determination must apply to the relevant circumstances and period.
You should therefore avoid treating a general system problem as permission to delay super payments. Continue using your ordinary payroll controls unless the ATO confirms that an exceptional circumstances determination covers your situation.
The final PS LA 2026/2 guidance explains the administrative approach.
Strengthen your payroll evidence
Payday Super also increases the importance of accurate payroll data and timely reporting through Single Touch Payroll.
Review whether your payroll system can:
- Identify qualifying earnings for each pay cycle.
- Calculate the correct superannuation liability.
- Track contribution payment dates.
- Confirm when contributions are received by the employee’s fund.
- Record rejected or returned payments.
- Preserve evidence of system outages or external disruption.
- Report the required payroll and super information through STP.
The ATO’s first-year compliance approach, covering 1 July 2026 to 30 June 2027, separates employers into low, medium and high-risk zones. Employers that pay super promptly and in full are less likely to be prioritised for compliance activity.
Do not wait for a payment failure before checking your controls. A daily or pay-cycle reconciliation will help you identify errors before they become a super guarantee shortfall.
$1,000 Standard Deduction Consultation Closes Today
Public consultation on draft Law Companion Ruling LCR 2026/D5 closes today, Friday 9 October 2026.
The draft ruling explains the ATO’s proposed approach to the new $1,000 standard deduction for work-related expenses, which is intended to apply from the 2026–27 income year.
The measure is not applicable to the 2025–26 tax return.
The ATO’s draft ruling sets out the proposed treatment. The ATO also provides information about the standard deduction for work-related expenses.
Know what the proposed deduction means
Broadly, an eligible Australian tax-resident individual deriving assessable labour income may be able to claim a standard deduction of up to $1,000 without separately substantiating each expense.
The proposed deduction is limited by the individual’s eligible assessable labour income. Employees with genuine substantiated work-related expenses may continue to claim those expenses, but the interaction with the standard deduction must be considered.
This proposed cha
by Ariful | Oct 9, 2026 | US Updates
TITLE: IEEPA Tariff Refund Class Action Certified: What Importers Need to Know
The CIT has certified an injunctive class
On 8 October 2026, Judge Richard K. Eaton certified the class action in Freestyle World, Inc. v. United States, Court No. 26-01088, Slip Op. 26-155.
The certified class covers:
All importers of record who paid duties imposed by the Challenged Tariff Orders between February 1, 2025, and February 19, 2026, excluding any entity that has separately filed an action seeking to recover IEEPA duties payments.
The court appointed Freestyle World as class representative. Barnes, Richardson & Colburn LLP and Lieff Cabraser Heimann & Bernstein LLP were appointed as class counsel.
You can read the official Court of International Trade opinion.
The case follows the Supreme Court’s decision in Learning Resources, Inc. v. Trump, 607 U.S. 229 (2026). On 20 February 2026, the Supreme Court held that IEEPA does not authorise the President to impose tariffs.
The class action seeks an injunction requiring US Customs and Border Protection (CBP) to liquidate or reliquidate affected entries without the unlawful IEEPA duties. The resulting refund calculation should then be performed automatically through Customs systems.
Understand the key point: there is no opt-in or opt-out
This is not an ordinary damages class action.
The CIT certified the class under USCIT Rule 23(b)(2) as an injunctive class. That means:
- You do not need to opt in.
- You cannot opt out.
- You may be included automatically if you meet the class definition.
- You are bound by the eventual outcome.
- You are excluded if your business has already filed a separate action seeking recovery of IEEPA duty payments.
The court did not award immediate refunds in the 8 October order. It certified the class and set the case on a path toward an injunction. The government must still respond, and further court orders will determine how the process operates.
The court’s proposed remedy is important because it addresses importers who did not use CAPE. It also addresses categories of entries that CBP’s current CAPE process may not accept, including certain finally liquidated entries belonging to non-plaintiff importers.
The court described the resulting refund calculation as “mechanical” and “formulaic” work for a computer program. Once the entries are properly liquidated or reliquidated without IEEPA duties, refunds and applicable interest should follow through the Customs process.
See why this matters for small and international sellers
The scale of the refund programme is substantial.
According to the CIT opinion:
- CAPE has processed approximately 27.4 million entries since its launch on 20 April 2026.
- More than 21.19 million entries have been liquidated or reliquidated.
- Approximately $126 billion in duties and interest had been refunded by 2 October 2026.
- Approximately $136.6 billion in potential and certified refunds had been accepted into CAPE as of 2 October.
- CAPE Phase 3, deployed on 6 October, had accepted declarations covering around 1.1 million entries and $500 million in claimed refunds by 7 October.
- More than 4,000 individual lawsuits involving approximately 7,000 plaintiffs had been filed.
- If CAPE stopped operating, approximately $30 billion in unlawful duties could remain in the US Treasury.
Many smaller importers never filed a CAPE declaration because they were unaware of the programme or could not justify the cost and effort of preparing the data. The newly certified class is intended to address that practical gap.
Check your importer of record number and entry history
Start with your customs records. Do not rely only on marketplace reports or supplier invoices.
Check whether your importer of record number appears on entries that:
- Were entered between 1 February 2025 and 19 February 2026.
- Contain IEEPA Chapter 99 HTS provisions.
- Show IEEPA duties paid or deposited.
- Were imported through your US LLC, C-corporation or another entity.
- Were filed by your customs broker using your IOR details.
Review ACE reports, customs entry summaries, broker statements and customs bond documentation. Your broker may also be able to identify entry numbers and liquidation dates.
The refund belongs to the importer of record or an eligible party designated through the relevant CBP process. It does not automatically belong to the overseas brand, marketplace or end customer that ultimately paid higher prices.
If you operate through a US entity as an importer of record, keep the legal separation clear. A UK, EU, Canadian or Australian owner may own the US entity, but the US importer of record remains central to the Customs refund process.
Keep CBP Form 5106 information accurate
Review the name, address, EIN and importer of record information connected with your CBP Form 5106.
Incorrect or outdated data can create account mismatches, delay validation, invalidate usable importer information and block access to CAPE processing or refunds. It can also cause errors when the entry number and IOR number do not match in ACE.
CBP states that Form 5106 information may be updated through:
- A licensed customs broker with a valid power of attorney.
- The ACE Secure Data Portal.
Use the official CBP IEEPA duty refund guidance for current instructions.
Enrol a US bank account before the refund is issued
CBP refunds are paid electronically through ACH. If your US bank account is not correctly enrolled in ACE, CBP may hold the refund.
Confirm that:
- Your ACE Portal account is active.
- The correct importer sub-account is available.
- Your refund bank account details are current.
- The account belongs to the correct recipient.
- Any Form 4811 notify-party information is accurate.
- Your bank has not rejected previous ACH payments.
CBP says most valid refunds are generally issued within 60 to 90 days after an accepted CAPE declaration, although compliance reviews and entry status can extend the process.
Monitor the ES-022 CAPE Entry Summary report, REV-603 Trade Refund report and REV-613 ACH Rejected Refunds report where available.
Track liquidation, protests and the February 2027 risk window
Do not assume that an eligible entry will remain recoverable indefinitely.
CBP’s current CAPE guidance accepts certain entries within 80 days of liquidation. Entries liquidated or reliquidated beyond that period may be rejected from the standard declaration process. The CIT opinion also discusses the legal distinction between liquidation, reliquidation and finally liquidated entries.
Maintain a calendar recording:
- Entry dates.
- Liquidation dates.
- Reliquidation dates where applicable.
- Any protest deadlines.
- Correspondence with your customs broker and CBP.
Where entries fall outside CAPE’s acceptance window, a protest or separate legal step may still be required to preserve your position.
Act now and preserve your position
The CIT has certified a nationwide injunctive class covering importers of record who paid IEEPA duties between 1 February 2025 and 19 February 2026 and who have not filed their own recovery action.
If your business falls within that definition, you are likely included automatically.
Review your IOR records, ACE data, Form 5106 details and bank enrolment now. For importers without a US entity, the refund structure may require additional planning.
This is general information, not legal advice. Every importer’s circumstances differ, and the litigation is ongoing. Consider taking professional advice on your specific position.
