Customs & Tariff Classification
Customs Broker
Also known as: Licensed Customs Broker, CHB
A customs broker is a private individual or firm licensed by the national customs authority to act as an agent for importers in the clearance of goods, preparing and filing the entry documents, calculating and remitting duties and taxes, and ensuring that shipments comply with the full web of customs and partner-agency regulations. Brokers translate a complex, constantly changing body of law into practical clearance, advising on classification, valuation, origin, and admissibility. In the United States a broker holds a license issued by U.S. Customs and Border Protection and is identified by a filer code, and reputable brokers often hold trusted-trader certifications such as CTPAT.
Worth being precise about what a broker is and is not. We are licensed by CBP to transact customs business on your behalf, under a power of attorney you grant. We are not the importer of record and we do not assume your liability, which is the opposite of what most people assume when they hire us. What you are buying is the judgment and the license.
Where it matters for compliance
- A broker must exercise responsible supervision and control over the customs business it conducts.
- A broker acts only under a valid power of attorney from its principal — 19 CFR § 141.46.
- Relations with unlicensed persons are regulated — 19 CFR § 111.36. A broker cannot conduct customs business through an unlicensed intermediary as though the intermediary were the client, and must deal with and bill the importer directly.
Related terms
Reviewed by a licensed customs broker. Definitions are general information, not legal or customs advice for a particular shipment. Duty rates, tariff programs and agency requirements change frequently.