Treasury Excise Tax Refund Rule Is Legitimate, US Tells Fed. Circ.

Law360 (December 11, 2020, 5:45 PM EST) — The Federal Circuit should reverse a lower court decision invaliding federal tax rules that limit when companies could file excise tax refunds for imports while exporting similar products because the regulations harmonize with the statute, the U.S. government said Friday.

The U.S. Court of International Trade was wrong invalidating regulations related to Section 1313(v) of the Tariff Act of 1930 because its finding violates rules of statutory construction and also creates substantial windfalls for importers, the government said in a reply brief. The regulations, which were promulgated in 2018 and later challenged by the National Association of Manufacturers, limit a “double drawback,”…

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