Lead

The US government has refunded tens of billions of dollars in tariffs to businesses after the Supreme Court ruled the tariffs illegal, with the total reaching $81 billion in the current fiscal year, according to budget figures and analysis cited by multiple outlets.

Coverage comparison

Reports from ABC Australia and The Guardian — World present differing figures for the total refunded. ABC Australia, citing Oxford Economics analysis, reports that $80 billion in tariffs has been refunded since May, plus interest at a rate of up to 7 per cent. The Guardian — World, citing budget data released Monday, puts the figure at $81 billion paid out so far this fiscal year, which began in October 2025, compared to just $5 billion during the same stretch last year.

Both outlets attribute the refunds to a Supreme Court decision in February that found the tariffs imposed by President Donald Trump were illegal. ABC Australia reports that the tariffs were challenged in court by the Liberty Justice Centre, a not-for-profit law firm. The Guardian — World says the refunds follow the court's ruling and quotes a Treasury department official saying the spike is almost entirely due to the court decision, with most refunds occurring in May and June.

The Guardian — World also reports that the US deficit, which had narrowed last year partly due to tariff income, is now growing again, hitting $1.367 trillion in the first nine months of the fiscal year, up 2 per cent. That report also notes that the US spent over $1 trillion on interest on its debt, up 14 per cent, and that military spending climbed 5 per cent.

Key claims

  • The US has refunded $80 billion in tariffs to businesses since May, plus interest at a rate of up to 7 per cent — as reported by ABC Australia, citing Oxford Economics analysis.
  • The US government has paid out $81 billion in tariff refunds so far this fiscal year — as reported by The Guardian — World, citing budget data.
  • The Liberty Justice Centre challenged the tariffs in court — as reported by ABC Australia.
  • The Supreme Court ruled that the president did not have the power to impose sweeping global tariffs under the IEEPA — as reported by ABC Australia.
  • Nintendo is seeking a refund for tariffs paid on its products — as reported by ABC Australia.
  • The US deficit is growing again after the refund — as reported by The Guardian — World.

Perspectives

Liberty Justice Centre

The Liberty Justice Centre, which brought the legal challenge, argues that the tariffs were an overreach of presidential power. Its chairperson, Sara Albrecht, said the firm took on the case despite potential retaliation from President Trump, and that finding plaintiffs was difficult because of fear of reprisal. The firm has said it would take similar action again.

Nintendo

Nintendo claims that the tariffs were "sweeping" and "constantly changing," leading the company to raise prices in the US. It has filed a lawsuit seeking a refund of tariffs paid, with interest. The company did not disclose how much it had paid in tariffs.

US Government

The US government, through the Treasury department, attributes the spike in refunds to the Supreme Court decision. The administration is preparing new duties over what it sees as lax enforcement of anti-forced labor laws and excess industrial capacity, according to The Guardian — World.