Tax & Customs
Customs Bond
A customs bond guarantees to U.S. Customs and Border Protection that an importer will pay duties, taxes, and fees and follow customs law on goods brought into the country.
- Required by
- U.S. Customs and Border Protection (19 CFR Part 113)
- Bond amount
- Set by whoever requires the bond. We confirm it.
What this bond guarantees
The bond is posted with CBP (CBP Form 301) and promises payment of duties, taxes, fees, and any liquidated damages or penalties, plus compliance with import rules. A claim arises when the importer fails to pay what is owed or breaks a bond condition. It can be a single transaction bond for one entry or a continuous bond covering all entries for a year.
Who needs it
- Importers of record bringing commercial goods into the U.S.
- Customs brokers filing entries for clients
- Bonded warehouse and carrier operators under CBP bond conditions
What the underwriter looks at
- Duties, taxes, and fees paid in the past 12 months
- Type and value of the goods
- Importer's financial strength and credit
- Compliance history with CBP
Requirements vary by state and by who asks for the bond. Send us the request you received and we will confirm exactly what it calls for.
Common questions
Should I get a single or continuous bond?
A single transaction bond covers one shipment. A continuous bond covers all your entries for a year and is usually the better choice if you import more than a few times a year.
How is the amount set?
CBP sets it based on your duty and fee history and the risk of the goods. Customs brokers commonly cite a continuous bond minimum of $50,000 or 10 percent of duties, taxes, and fees paid in the prior year, whichever is greater. Your broker or CBP will confirm the figure.
What happens if my bond is too low?
CBP reviews bonds and can send notice that yours is insufficient. You then have a short window, 15 days under the regulation, to increase it.