Some companies hoping to claw back money from disputed tariffs aren’t waiting around for Washington.
Instead, they’re selling their rights to possible future refunds to outside investors — often at a steep discount — in a risky new twist that accountants say opens up a messy set of financial reporting questions.
Joseph Cascio, chief accountant at RSM US LLP, said some importers that may be entitled to refunds tied to tariffs imposed under the International Emergency Economic Powers Act, or IEEPA, have been approached by investors willing to make a bet on whether the government will ever actually pay up.
To dig deeper, visit the original article on the Thomson Reuters blog.