U.S. Customs and Border Protection (CBP) is moving toward mandatory electronic refunds, and importers should take action now to avoid delays in receiving refund payments.

Here are the key points importers need to know:

CBP is launching a new electronic refund system
CBP is rolling out new functionality in the ACE Portal, including an ACH Refund Authorization feature that allows refunds to be issued electronically.

Importers must have an ACE Portal account
Under the new process, CBP refunds will be issued via ACH transfer. Importers without an ACE Portal account may experience delays or difficulty receiving refunds.

This applies to refunds such as:
• Duties
• Fees (MPF / HMF)
• Interest payments
• Certain trade remedy refunds

Electronic refunds must be activated in ACE
Even if you already have an ACE account, electronic refunds are not automatically enabled. Importers must log in and complete the ACH refund setup in the ACE Portal.

Why this matters:
CBP’s transition is already underway, and once the mandatory date is implemented, paper refund checks will largely be eliminated. Importers who are not prepared may experience refund delays.

If your company is unsure whether your ACE Portal account is active or properly configured, it is best to review this now.

Questions or need assistance?
The J.O. Alvarez Compliance Team is available to help review ACE access and electronic refund setup.

J.O. Alvarez, Inc. – Compliance Team
[email protected]

Disclaimer: This post is for informational purposes only and reflects current understanding of CBP system updates. Requirements may change and CBP retains final authority.