AG Clark Urges Congress for Tariff Refund Legislation

AG: Vermont Press Releases

Published March 18th, 2026

Detected March 20th, 2026

Summary

Vermont Attorney General Charity Clark joined 17 other AGs urging Congress to pass legislation requiring refunds for approximately $166 billion in unlawful tariffs imposed under IEEPA. The Supreme Court struck down these tariffs, and the AGs seek reimbursement for businesses and consumers who bore the costs.

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What changed

Vermont Attorney General Charity Clark, along with 17 other state Attorneys General, has formally requested that Congress pass legislation to ensure the refund of approximately $166 billion in unlawful tariffs imposed under the International Emergency Economic Powers Act (IEEPA). This action follows a Supreme Court ruling on February 20, 2026, which invalidated these tariffs. The coalition is urging Congress to mandate that the administration reimburse importers for these illegal charges, including interest, and to encourage businesses to pass these refunds onto consumers who ultimately paid higher prices.

The practical implication for businesses and consumers is the potential for significant financial recovery. While the Supreme Court did not order reimbursements, the administration had previously indicated a need to refund tariff costs with interest. However, the current proposed refund process, which requires importers to apply and navigate potentially complex procedures, is seen as insufficient and prone to delays. The AGs are advocating for automatic refunds facilitated by existing CBP databases, emphasizing the need for swift legislative action to ensure affected parties receive their due reimbursement.

What to do next

Monitor Congressional developments regarding tariff refund legislation.
Advise importers and businesses on potential refund processes if legislation is enacted.
Prepare to assist consumers who may have passed on tariff costs.

Source document (simplified)

Attorney General Clark Calls on Congress to Pass Legislation Requiring Tariff Refunds

Category Press Releases March 18, 2026 Attorney General Charity Clark today joined a coalition of 17 other attorneys general in urging Congress to pass legislation that would require the government to provide swift refunds for extra costs paid by businesses and consumers due to President Trump’s illegal tariffs. On February 20, the Supreme Court ruled in favor of Attorney General Clark and a coalition of 11 other states and struck down tariffs the Trump administration imposed under the International Emergency Economic Powers Act (IEEPA). Businesses and individuals nationwide have been charged approximately $166 billion in unlawful IEEPA tariffs, which resulted in higher prices that disproportionately strained low-income consumers’ finances. Attorney General Clark and the coalition are calling on Congress to pass new legislation that would require the Trump administration to reimburse importers for these illegal tariff charges with interest and encourage businesses that passed along direct tariff costs to consumers to reimburse their customers who ultimately bore the financial burden.

"The Supreme Court has spoken and the massive tariffs President Trump forced countless American businesses and individuals to pay were unconstitutional," said Attorney General Clark. "The Administration has yet to explain how it intends to make things right, so we are asking Congress to step in and refund these unlawful taxes."

In April 2025, President Trump imposed sweeping tariffs on countries across the globe by claiming he had the authority to do so under IEEPA. Shortly after, Attorney General Clark and a coalition of 11 other attorneys general sued the administration, arguing that IEEPA does not give the president the power to impose tariffs. On February 20, 2026, Attorney General Clark and the coalition won their lawsuit at the Supreme Court, which struck down the IEEPA tariffs. While the Supreme Court did not make a decision regarding tariff reimbursements, the administration had repeatedly committed in court filings that they would need to refund tariff costs with interest if the IEEPA tariffs were ruled unlawful.

The tariffs imposed significant costs on Vermont businesses and consumers throughout the state.

In a letter to House and Senate leadership, Attorney General Clark and the coalition are urging Congress to pass legislation requiring the administration to issue automatic tariff refunds as soon as possible. While the administration has indicated that importers would need to apply or sue for refunds, U.S. Customs and Border Protection (CBP) has a database of every illegal IEEPA tariff paid by American direct importers. The CBP has stated that refunds will only be available via a new direct deposit platform that only six percent of importers are currently registered for. The administration has also suggested that importers may need to navigate multiple refund processes depending on their shipment’s status. A refund process controlled by the administration would likely face delays and disadvantage small businesses and individuals that do not have the resources to navigate a complicated application process or sue for refunds. Attorney General Clark and the coalition are pushing for new legislation that could create an equitable, uniform, and fast process for all affected importers to be reimbursed for their tariff costs.

In addition, Attorney General Clark and the coalition urge Congress to hold accountable the businesses that directly passed on tariff costs to consumers and other businesses. Importers that raised prices due to tariff costs should pass the benefit of the refunds they receive to those who ultimately bore the financial burden of the administration’s illegal tariffs. Congress should also consider other ways to address the economic burden that the most financially vulnerable had to bear because of the administration’s illegal policy. As the attorneys general assert, prices of cheaper products rose faster than prices of more expensive goods as a result of the tariffs, disproportionately impacting low-income consumers.

Joining Attorney General Clark in sending this letter are the attorneys general of Arizona, California, Colorado, Connecticut, Delaware, Maine, Maryland, Massachusetts, Michigan, Nevada, New Jersey, New Mexico, New York, North Carolina, Oregon, Virginia, and Washington.

A copy of the letter is available on our website.

CONTACT: Amelia Vath, Senior Advisor to the Attorney General, 802-828-3171