The Supreme Court is hearing the reciprocal tariff dispute of the Trump administration in America. If the tariffs are declared illegal, billions of dollars will have to be returned. Finance Minister Scott Baisant also mentioned a possible plan.
Trump Tariff: U.S. President Donald Trump has generated billions of dollars for America by imposing reciprocal tariffs on over 180 countries worldwide in recent years. However, the U.S. Federal Court has declared it illegal, and the matter has now reached the U.S. Supreme Court. If the Supreme Court also declares Trump's authority illegal, the Trump administration may have to return billions of dollars collected.
U.S. Treasury Secretary Scott Baisant recently revealed that if the Supreme Court upholds the Federal Court's decision, half of the tariffs will have to be refunded, which will prove to be a serious challenge for the U.S. treasury.
Trump Administration's Plan and Potential Consequences
The Federal Court had clarified that the reciprocal tariffs imposed by Trump are a violation of the President's authority. This means the Trump government imposed broad import duties without parliamentary approval. Finance Minister Scott Baisant stated that if the Supreme Court declares the Trump administration's tariffs illegal, America will have to issue refunds for approximately half of the tariffs.
He also said that the Trump administration has not made a detailed plan in advance for this situation, but other options can be explored instead of returning the tariffs. However, this could weaken President Trump's global trade policy and his bargaining power.
Supreme Court Hearing Process
The Trump administration filed an appeal in the Supreme Court on September 4, 2025. It requested that the tariffs imposed under the IEEPA (International Emergency Economic Powers Act) be upheld as legal. Solicitor General D. John Sawyer told the court that the hearing for this case could begin in the first week of November 2025. However, the Supreme Court has not yet confirmed the final hearing date.
Earlier, in August, the Federal Court had stated that President Trump's authority to impose tariffs is not recognized under the IEEPA law. The court also said, "We do not see any clear parliamentary authority to impose such large tariffs under IEEPA."
How Much Tariff Did the Trump Government Collect?
The Trump administration imposed tariffs ranging from 10% to 50% on over 180 countries. Countries like India, China, Canada, and Brazil were major targets. India faced a 25% tariff from August 7, 2025, and a 50% tariff from August 27, 2025.
According to a report, the Trump administration earned $31 billion in tariffs in August 2025 alone. If this amount is declared illegal by the Supreme Court, America may have to refund half of it.
What Did Finance Minister Scott Baisant Say?
In an interview with NBC News, Finance Minister Scott Baisant stated that if the Supreme Court upholds the Federal Court's decision, they will have to refund approximately half of the tariffs. He clarified that this would be a significant blow to the U.S. treasury.
