The Trump administration, in light of a Supreme Court ruling that deemed certain tariffs illegal, is reportedly looking into various strategies to retain revenue collected from tariffs. According to Politico, these strategies are part of a broader effort to minimize the financial impact of the court's decision on the federal government's budget. One proposed approach involves substituting existing tariffs with a newly imposed 'global tariff' based on Section 122 of the trade law, allowing the administration to argue for the legality of the collected amounts under a new legal authority, although the retroactive application remains legally questionable.

Additionally, the administration is considering giving priority for refunds to companies that willingly forgo a portion of their collected tariffs. This proposal comes in response to the lengthy refund process, which usually takes around two and a half years and may become longer if the Justice Department engages in legal battles over individual claims. By creating a financial incentive for companies to opt out of the refund process, the administration aims to address potential revenue shortfalls more effectively.

Another key aspect of the strategy revolves around managing the customs collection period before revenues are transferred to the Treasury, which typically lasts for about ten months. During this window, customs has the leeway to finalize tariff amounts and allow for simpler refund procedures. However, if this time frame is allowed to lapse without extensions, the complexity surrounding refunds increases, making it more challenging for businesses to recover their dues. The Customs and Border Protection (CBP) agency faces decisions on whether to extend this deadline or maintain the status quo, which could further complicate the financial landscape for impacted businesses.