Tariff Updates
Practical guidance on tariff developments, tariff litigation, tariff refunds, tariff mitigation strategies, transfer pricing, Section 1059A, and Form 5472 issues.
Current Tariff Landscape
U.S. tariff rules continue to move quickly. Recent tariff developments have involved Section 301, Section 232, and emergency-based tariff actions. CBP’s January 14, 2026 tariff overview reflected that changing environment, including Section 301 tariffs, Section 232 tariffs, and then-active IEEPA-related tariff measures. Since then, the Supreme Court has held that IEEPA does not authorize the President to impose tariffs, which materially changed the legal landscape for those emergency-based tariff actions.
For businesses importing goods, the practical takeaway is that tariff planning is no longer just a customs issue. It can affect supply chain decisions, pricing, taxable income, related-party transactions, and refund opportunities.
Latest Litigation Updates
The major recent tariff cases include V.O.S. Selections, Inc. v. Trump and Learning Resources, Inc. v. Trump. The Federal Circuit held in August 2025 that IEEPA did not authorize the challenged tariffs, and on February 20, 2026, the Supreme Court held that IEEPA does not authorize the President to impose tariffs.
Those cases matter because they affect both future tariff authority and potential refund and recovery analysis for businesses that paid challenged duties.
Where To Track Court Updates
The United States Court of International Trade regularly posts news and announcements on its website. The court’s homepage currently includes tariff-related announcements, including a December 23, 2025 administrative order regarding stays in new IEEPA tariff cases.
USTR also remains an important source for Section 301 developments, including exclusions, hearings, and related process updates.
Key Links
Court of International Trade
USTR Section 301 Tariff Actions
Supreme Court Decision
Federal Circuit Decision
Tariffs and Transfer Pricing
Tariffs can affect transfer pricing because they change the economics of related-party imports. As an inference from the tax and customs rules, higher tariffs can increase pressure on taxpayers to revisit pricing, margins, and support for related-party import values. This becomes especially important where goods are imported from foreign related parties and the importer must manage both customs and income tax consequences.
The tax side of that interaction is highlighted by IRC §1059A and Form 5472. Section 1059A generally provides that when property is imported into the United States by a related person in a transaction and the property has a customs value, the importer’s basis or inventory cost may not exceed that customs value. Form 5472 questions 37 and 38 specifically ask whether the reporting corporation imports goods from a foreign related party and whether the basis or inventory cost exceeds the customs value of the imported goods.
In practical terms, that means tariffs and customs valuation can affect more than duty cost alone. They can also affect taxable income, documentation positions, and the way related-party import arrangements are evaluated for both customs and tax reporting.
Section 1059A and Taxable Income
Section 1059A is important because it can limit the tax basis or inventory cost available to a related-party importer. That can directly affect taxable income where a business is trying to reconcile customs value, related-party pricing, and income tax treatment.
Form 5472 Questions 37 and 38
Businesses filing Form 5472 should pay close attention to questions 37 and 38 when goods are imported from foreign related parties. Those questions directly touch the customs-value-versus-basis issue and can flag the need for better documentation and coordination across customs, transfer pricing, and tax reporting.
Tariff Refunds and Tariff Mitigation Strategies
Businesses may have opportunities to evaluate tariff refund positions, protest and post-entry options, exclusion-related relief, and other tariff mitigation strategies. Depending on the facts, tariff planning can also involve supply chain review, customs valuation analysis, related-party pricing coordination, and broader tax structuring questions.
Nick Uren Law helps clients evaluate tariff refund opportunities and other tariff mitigation strategies as part of a broader international business and tax advisory approach.