Trump’s tariff tax money starts coming in
The US Treasury Department has returned a huge amount of $22 billion as custom refund in the month of May. This money is part of the import duties (tariffs) that Trump imposed on trading partners around the world. Recently, the US Supreme Court had canceled these global tariffs of Trump, declaring them illegal, after which this refund process has started.
Trump got a shock from the Supreme Court
The roots of this entire matter are related to the important decision of the US Supreme Court in February, which broke the back of Donald Trump’s economic agenda. The court made it clear in its order that Trump had exceeded the scope of his ’emergency economic powers’ to impose comprehensive taxes on foreign trade partners. Immediately after this decision, US Customs and Border Protection created a special refund system. Through this, the process of returning about 166 billion dollars recovered under the ‘International Emergency Economic Powers Act’ has been started. The $22 billion returned in May is the first phase of this.
Legal hurdles remain in the way of refund
Getting the money back has started, but the path for businessmen has not yet become completely easy. The Trump administration has appealed against this refund order of the Trade Court. This step has raised the possibility of serious impact on the ongoing payment process. Judge Richard Eaton of the US Court of International Trade, who is hearing the case, has taken a strict stance on this. He warned through a letter last week that any interference in this judicial process could slow down the progress in the refund work. This means that importers may have to face some more legal hurdles to get their full money back.
10 percent duty on import
After the order of the Supreme Court, Trump’s global tariffs ended, but the American administration has not accepted defeat. Now, using other legal powers, a new duty of 10 percent was imposed on imports. Although this is currently being described as a temporary step, but American officials are also working rapidly towards implementing some permanent taxes in the future. It is also important to know here that this latest decision of the Supreme Court does not affect Trump’s old tariffs imposed on specific sectors like steel, aluminium, automobile, they will remain as they are.
