Panic refunds tariff fees to Playdate customers
Playdate maker Panic is returning US import tariff charges collected from customers under the Trump administration's tariff regime, which was ruled illegal in early 2026. The company received its own government refund and passed the money on to buyers.
Panic, the software publisher behind the handheld console Playdate, has begun refunding customers for US tariff fees charged on their purchases, according to a report by Game Developer.
The fees stemmed from the Trump administration's original tariff regime, which was found to be illegal following a Supreme Court decision in February 2026. Following that ruling, companies including Panic applied to the US government for refunds of tariffs they had paid.
Unlike many other affected businesses, Panic chose not to keep the reimbursed funds for itself. In an email to customers, the company explained it had simply passed along the tariff charge as a line item at checkout, treating it like any other tax, since that was the exact amount the government charged for each Playdate unit manufactured.
Panic had applied a 19 percent tariff surcharge on orders, but stopped charging it after April 21. Issuing refunds took until August, since the company first had to apply for and receive its own refund from the government, then build a system to process repayments to the customers who had paid the extra amount.
An uncommon move
Panic CEO Cabel Sasser said the money was never the company's to keep, calling the refund an easy and clearly right decision.
Most electronics companies affected by the tariffs, including Nintendo, publicly objected to them but have not offered similar refunds to customers. Among the few firms currently allowing customers to reclaim tariff payments are shipping companies FedEx, UPS and DHL. Meanwhile, Amazon, Sony and Nintendo are each facing class-action lawsuits alleging they are legally obligated to refund tariff fees collected from customers.
