CustomsBrokerLicenseExam

Home / Past exams / April 2025 / Question 12

April 2025, question 12

Broker Compliance · Broker licensing and duties

A customs broker receives payment for duties from a client after the due date. The payment did not include payment for the broker's services. What must the broker do?

  1. Return the payment to the client within 5 working days of receipt and file a formal complaint with CBP.
  2. Advise the client that the duty payment will not be transmitted to CBP until the payment for the broker's services is received.
  3. Transmit the duty payment to CBP within 5 working days of receipt by the broker.
  4. Deduct their service fee from the amount of the payment, transmit the remaining amount to CBP, and notify the center director of the situation.
Show the answer and walk-through

CBP's answer: C. C: Transmit the duty payment to CBP within 5 working days of receipt by the broker.

Section 111.29(a) says payments a broker receives from a client after the due date must be transmitted to the Government within 5 working days of receipt. The broker may not hold the duty payment hostage for its own fee or deduct it.

Payments received by a broker from a client after the due date must be transmitted to the Government within 5 working days from receipt by the broker. 19 CFR 111.29(a)

Search for: transmitted to the Government within 5 working days

CBP's key cites: 19 CFR 111.29(a)

Question and key from CBP's April 2025 exam and answer key. The walk-through is ours; quotes are from the pinned editions in the reference viewer (HTSUS 2026 Basic, 19 CFR 2025 edition).