Customs Broking Law and Legal Definition
Customs broking involves the 'clearing' of goods through customs barriers for importers and exporters. This involves the preparation of documents and electronic submissions, the calculation on behalf of the client of taxes, duties and excises, and facilitating communication between the importer or exporter and governmental authorities. Customs brokers in the USA will often prepare and submit documentation to notify or obtain the clearance from other government agencies such as the Food and Drug Administration (FDA), the United States Department of Agriculture (USDA).
Customs brokers can be located at inland “ports” to clear merchandise sent “in bond” but most are located at major airports and harbors with international traffic. Customs brokers normally arrange the transshipment, or local delivery, of cleared merchandise through relationships with trucking companies and others. Customs brokers are not government employees and should not be confused with Customs agents, although in some countries the term customs agent may mean customs broker. In the United States, the U.S. Customs and Border Protection licenses the customs broker.
