CustomsBrokerLicenseExam

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October 2025, question 19

Broker Compliance · Broker licensing and duties

What is the penalty for any person who intentionally transacts customs business, other than as provided in 19 CFR 111.2(a)(2), without holding a valid broker's license?

  1. The person receives a written reprimand from the port director with the approval of Headquarters, which may be considered in connection with any future disciplinary proceedings.
  2. The person is subject to criminal sanctions.
  3. The person is automatically barred from importing merchandise into the United States.
  4. The person is liable for a monetary penalty for each such transaction.
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CBP's answer: D. D: The person is liable for a monetary penalty for each such transaction.

Section 111.4 says any person who intentionally transacts customs business without a valid license, other than as allowed in 111.2(a)(2), is liable for a monetary penalty for each transaction (D).

will be liable for a monetary penalty for each such transaction 19 CFR 111.4

Search for: Transacting customs business without a license

CBP's key cites: 19 CFR 111.2(a)(2); 19 CFR 111.4

Question and key from CBP's October 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).