Pa. small businesses demand $4.5B refund for illegal tariffs
A small-business coalition says more than $4.5 billion in IEEPA tariff payments must be refunded automatically after a Supreme Court ruling, even as the administration imposes new tariffs under different statutes.
Pennsylvania‘s small businesses are demanding the Trump Administration refund their more than $4.5 billion owed in illegal federal tariffs.
New data released Friday by We Pay the Tariffs, an organization of Pennsylvania and national small businesses, reveals that from February 2025 through January 2026, Pennsylvania’s small businesses paid over $4.5 billion in now-illegal IEEPA tariffs and $7.8 billion in overall new presidential tariffs according to new data. According to a release, the data looks at the most updated government data on tariffs and was compiled by Trade Partnership Worldwide.
“Pennsylvania businesses paid over $4.5 billion in illegal tariffs, and they are owed every penny back,” We Pay the Tariffs Executive Director Dan Anthony said in a statement. “The government has records of every tariff payment. Congress and the administration must ensure that refunds are issued automatically, without requiring small businesses to hire lawyers or navigate complex claims processes.”
The Supreme Court’s 6-3 decision on Feb. 20 struck down IEEPA tariffs, but the Trump Administration is doubling down with new Section 122 tariffs following the Supreme Court ruling.
As Pennsylvania businesses are still waiting for clarity on how and when tariffs might be refunded, the Trump Administration has taken steps to delay refunds of the illegal tariff payments, prompting Pennsylvania to join 23 other states in a new lawsuit. Additional federal tariffs are lined up for later this year.
Rather than provide relief following the Supreme Court decision, the Trump Administration imposed new 10% tariffs under Section 122 of the Trade Act of 1974. Pennsylvania Governor Josh Shapiro has joined 23 other state attorneys general and governors in a lawsuit filed at the Court of International Trade challenging the Section 122 tariffs as unconstitutional and in violation of federal law.
The Trump Administration is lining up additional tariffs for later this year when Section 122 tariffs are set to expire, per the release. On March 12-13, the administration launched new investigations under Section 301 of the Trade Act of 1974 that could lead to additional tariffs on countries accounting for 99% of U.S. imports.
A coalition of over 1,100 small businesses nationwide that advocates against new tariffs, We Pay the Tariffs is calling on Congress and the administration to ensure that IEEPA refunds are full, fast, and automatic. The coalition is also pushing back on the Trump Administration’s decision to impose new tariffs under a different statute rather than refund Pennsylvania businesses for illegal federal tariffs.
“The administration’s decision to double down within hours by imposing new tariffs and launch even more new investigations since then underscores that tariffs are intended as a permanent tax on small businesses,” said Anthony. “For Pennsylvania small businesses, these are the same tariffs under a different name, resulting in the same crushing burden.”