Short answers to questions we hear often. They are general information, not legal advice. Your own answer depends on your documents and dates.
Customs holds, detentions, seizures and penalties
U.S. Customs (CBP) detained my shipment. What happens next and how fast must I act?
Under 19 U.S.C. § 1499(c), CBP generally has 5 business days after goods are presented for examination to release or detain them, and must send a notice of detention explaining the reason. If CBP makes no decision within 30 days after presentation, the goods are treated as excluded and the importer can file a protest. The fastest path to release is usually a prompt, well-documented response: commercial invoice, packing list, proof of origin, and any agency certificates (FDA, FCC, CPSC, EPA). Detention responses are time-sensitive, so contact an attorney as soon as you receive a notice.
CBP seized my goods. What is the deadline to respond?
A CBP Notice of Seizure generally gives you 30 days from the date of the notice to choose how to respond — for example, filing an administrative petition for relief, making an offer in compromise, or asking that the case be referred to federal court. If you do nothing, CBP may proceed with forfeiture. A strong petition explains the facts, the legal basis for relief, and mitigating factors, with supporting documents. In 2025, CBP matters led by attorney Cynthia Wu secured the release of more than US$10 million in detained merchandise, and in 2026 she recovered seized merchandise worth about US$900,000 (merchandise value; prior results do not guarantee a similar outcome).
How long do I have to protest a CBP decision?
Under 19 U.S.C. § 1514, a protest generally must be filed within 180 days after the date of liquidation or the date of the CBP decision being protested. Protests can challenge classification, valuation, rate of duty, exclusion of merchandise and other decisions. If a protest is denied, the importer may be able to sue in the U.S. Court of International Trade.
What is a prior disclosure, and can it reduce customs penalties?
A prior disclosure (19 C.F.R. § 162.74) lets an importer report a violation of 19 U.S.C. § 1592 — such as undervaluation, misclassification or wrong country of origin — before CBP begins a formal investigation. A valid prior disclosure, with payment of the lost duties, can greatly reduce penalties. Timing and wording matter, so it should be prepared carefully.
Tariff refunds and Court of International Trade
Can importers get refunds of IEEPA tariffs?
Yes, in many cases. After the Supreme Court’s decision in Learning Resources v. Trump, CBP opened a refund process called CAPE in April 2026. The importer of record, or the broker that filed the entries, submits a CAPE Declaration in ACE, and must first enroll for ACH refunds. CBP is opening CAPE in phases by entry status. For entries that are already finally liquidated, CAPE currently accepts claims only from importers that sued at the Court of International Trade and obtained a reliquidation order. A post-summary correction is not the route for these refunds. Start by listing every affected entry and its liquidation status. Attorney Cynthia Wu has written and spoken on IEEPA refunds in 2026; see the Publications page.
Can I correct an entry or recover duties before it liquidates?
Often yes. Before an entry liquidates, the importer can generally file a post-summary correction (PSC) in ACE to fix classification, value or duty-program errors, which can produce a refund at liquidation. (IEEPA duty refunds are different: they go through CBP’s CAPE process, not a PSC.) After liquidation, the usual route is a protest within 180 days. Because liquidation dates drive every option, we start by pulling ACE reports and mapping each entry.
Import compliance and agency filings
Which U.S. agencies besides CBP may need filings for my imports?
Many products are regulated by “partner government agencies” (PGAs): FDA (food, cosmetics, drugs, medical devices), USDA (plant and animal products), EPA (pesticides, certain chemicals and engines), DOT/NHTSA (vehicles and parts), FCC (radio-frequency devices) and CPSC (children’s and consumer products). Missing registrations, certificates or labeling are a common cause of detentions and refusals. We help with pre-import reviews, registrations, filings and responses to agency holds.
FDA refused my shipment. What can I do?
An FDA Notice of Action explains why goods are detained or refused and gives a short date to respond. Depending on the reason, options may include submitting evidence that the product complies, relabeling or reconditioning under an approved plan, exporting the goods, or destruction. Missing the response date usually leads to refusal. Send us the notice and the product documents right away.
Export controls and sanctions
Does my product need a U.S. export license?
It depends on the item’s Export Control Classification Number (ECCN) under the Export Administration Regulations (EAR), the destination, the end user and the end use. Parties should also be screened against U.S. restricted-party lists such as the Entity List and OFAC’s SDN List. If a violation may have occurred, a voluntary self-disclosure can reduce penalties.
We found a past export mistake. Should we disclose it?
Possibly. Voluntary self-disclosure to the Commerce Department (BIS) or to OFAC is generally treated as a significant mitigating factor and can reduce or avoid penalties. The decision depends on the facts, the items, the parties and whether the agency already knows. Before you disclose, stop further shipments of the same kind, preserve records, and have counsel review what happened.
U.S. investment and company structure
What structure should a foreign company or investor use to do business in the U.S.?
It depends on the business and the owners’ tax position. A U.S. corporation is often used by foreign businesses because it keeps U.S. tax and liability inside one entity; an LLC or a branch can suit other plans but may expose the foreign owner to U.S. filing obligations and branch-level taxes. Treaty benefits, withholding on payments home, transfer pricing, state taxes and future exits all affect the choice. We design the structure together with your accountants before anything is formed.
What does a foreign-owned U.S. company have to file each year?
Beyond its federal and state income-tax returns, a U.S. corporation that is at least 25% foreign-owned — and a single-member LLC owned by a foreign person — generally must file Form 5472 reporting transactions with related foreign parties. The penalty for failing to file is $25,000 per form, so this filing should be on the calendar from the first year.
Tax controversy, international reporting and pre-immigration planning
Who must file an FBAR, and when is it due?
A U.S. person (including green-card holders and tax residents) whose foreign financial accounts total more than US$10,000 at any time during the year must file FinCEN Form 114 (FBAR). It is due April 15, with an automatic extension to October 15. Penalties for non-willful and willful failures differ greatly, so late filers should get advice before filing.
Why plan taxes before moving to the U.S. or getting a green card?
Once you become a U.S. tax resident, the U.S. generally taxes your worldwide income and requires reporting of foreign accounts, companies and trusts. Steps taken before residency — such as reviewing the basis of appreciated assets, timing income, restructuring foreign companies, and making gifts or trusts — can be far more effective than fixes afterward.
I received an IRS Notice of Deficiency. What is the deadline?
A Notice of Deficiency (the “90-day letter”) generally gives 90 days from its date to petition the U.S. Tax Court — 150 days if it is addressed to a person outside the United States. Filing on time lets you dispute the tax before paying it. The deadline is strict, so contact counsel as soon as the letter arrives.
Cross-border estate and trust planning
Do non-U.S. persons owe U.S. estate tax on U.S. real estate?
Yes. A nonresident alien (for estate-tax purposes, someone not domiciled in the U.S.) is subject to U.S. estate tax on U.S.-situs assets such as U.S. real estate and stock of U.S. companies, but the exemption is effectively only US$60,000 — far lower than for U.S. citizens and residents — and the executor generally needs to consider Form 706-NA when U.S.-situated assets exceed US$60,000 at death. Estate-tax status turns on domicile, which is different from income-tax residency. Ownership structures, certain trusts, treaties and insurance can change the result, and each has income-tax trade-offs. Attorney Cynthia Wu wrote on this topic in Los Angeles Lawyer (January 2026).
Should my family use a foreign trust or a U.S. trust for U.S. beneficiaries?
It depends on who funds the trust, where the assets are, and who the beneficiaries are. Foreign grantor trusts can be efficient during the grantor’s life, but rules such as IRC §§ 679 and 684, and the “throwback” tax on accumulated income, can create costs at death or when distributions reach U.S. beneficiaries. A domestic trust may simplify reporting. The right answer needs a review of the family’s facts in both countries.
Does a signed trust automatically own all of my assets?
No. Signing a trust document does not move every asset into it. Asset titles and beneficiary designations should be reviewed, and funding or coordination steps — such as retitling real estate or accounts — may be needed for the trust to work as intended.
Probate and trust administration
Is probate required in California when someone dies?
Not always. Assets held in a funded living trust, joint-tenancy property and accounts with named beneficiaries usually pass without probate. Smaller estates may qualify for simplified procedures below a statutory threshold. Larger estates titled in the decedent’s own name generally need a court probate. Heirs or assets outside the U.S. add document and tax steps, which we coordinate.
What must a trustee do after the person who created the trust dies?
In California, the trustee generally must notify the beneficiaries and heirs within 60 days after the trust becomes irrevocable, then secure and value the assets, keep records, pay valid debts and taxes, and account to beneficiaries before distributing. Mistakes can create personal liability for the trustee, so early guidance is worthwhile.
Working with our firm
Do you serve clients in Chinese, and where are you licensed?
Yes. Attorney Cynthia Wu (吴振华) works with clients in Mandarin Chinese and English. She is admitted in California, New York, Texas, Florida and the District of Columbia, and before the U.S. Tax Court and the U.S. Court of International Trade. Federal customs and federal tax matters can be handled for clients across the U.S. Consultations are held by phone; the office is at 35 North Lake Avenue, Suite 710, Pasadena, CA 91101.
Can you accommodate clients with disabilities or older clients?
Yes. Tell us what you need when you book — for example large-print documents, extra meeting time, a family member or caregiver joining the meeting, video or phone meetings instead of travel, or help with remote document signing. Our website also has an accessibility toolbar (larger text, high contrast, read-aloud).
How do I schedule a consultation, and what are the fees?
Use the booking form to request a 15-minute introductory call to discuss your needs and whether the firm is a good fit. Scope and fees for a substantive consultation or representation are discussed separately and agreed in writing. Every appointment request is confirmed by the firm.
Does contacting the firm create an attorney-client relationship?
No. Sending an inquiry, chatting with Grace or requesting an appointment does not mean the firm has accepted representation; that happens only with a signed engagement letter. Please do not send ID numbers, full financial account details, confidential documents or time-sensitive materials through the chat or the booking form.
General information only, not legal advice. Book a consultation for advice on your situation.
