What is a Sales Tax Bond?
A sales tax bond is a type of surety bond which guarantees that a business will pay sales tax to the state or local government. The bond further guarantees that businesses will report their earnings within the relevant deadlines as they are determined in the state.
Failure to pay collected funds or incorrect reporting can result in a bond claim. The purpose of the sales tax bond is to serve as a protection for the state and the public and guarantee compensation.
Sales tax bonds are usually requested by local governments and apply to different businesses depending on local regulations and laws. Unlike most financial guarantee bonds, the sales tax bond requires no collateral by bonding companies which makes it easier to obtain.
Bryant Surety Bonds has excellent rates for all types of sales tax bonds. In addition to our standard market rates, we are also able place high risk applicants through several markets. In fact, we are able to write a lot of high risk applicants with middle market rates helping those with poor credit make considerable savings.
Find the Bond You Need
The table below contains a list of only the most popular surety bonds. If you can't find yours, fill out our online application and select "Not in the list".
|Alaska||Tax Liability Bond||Municipality Of Anchorage||Apply Now|
|Alaska||Room Tax Liability Bond||Municipality Of Anchorage||Apply Now|
|Arizona||Taxpayer Bond for Contractor||Arizona Dept Of Revenue: Taxpayer Information||Apply Now|
|California||Parking Tax Collection||City and County of San Francisco||Apply Now|
|California||Bond of Seller||State Board of Equalization||Apply Now|
|California||User of Fuel Bond||State Board Of Equalization||Apply Now|
|Colorado||Medical Marijuana License||Department of Revenue||Apply Now|
|Colorado||City & County of Denver Retail Marijuana License B||City and County of Denver||Apply Now|
|Colorado||Retail Marijuana License Bond||Dept of Revenue, Marijuana Enforcement Division||Apply Now|
|Colorado||Retail Marijuana Excise Tax Bond||State of Colorado, Department of Revenue||Apply Now|
|Colorado||Medical Marijuana License Bond||City & County of Denver||Apply Now|
|Colorado||(City of Lafayette, CO) Retail Marijuana License B||City of Lafayette||Apply Now|
|Colorado||(City of Aurora, CO) Retail Marijuana Establishmen||City of Aurora - Marijuana Enforcement Division||Apply Now|
|Delaware||Non-Resident Contractor||Division of Revenue||Apply Now|
|Federal Government||Food Stamp Collateral Bond||US Department of Agriculture, Food and Nutrition||Apply Now|
|Florida||Sales and Use Tax Bond||Florida Department of Revenue||Apply Now|
|Indiana||Permit Fee Bond||Indiana Department of Revenue - OSW Services||Apply Now|
|Kentucky||KENTUCKY HIGHWAY USE||Commonwealth of Kentucky||Apply Now|
|Local Government||Sales, Use & Consumer Tax Bond||State Board of Equalization||Apply Now|
|Local Government||Meal Tax Bond||City of Portsmouth Commissioner of the Revenue||Apply Now|
|Mississippi||Sales Tax||Department of Revenue||Apply Now|
|Missouri||Transient Employer Bond||Missouri Department of Revenue||Apply Now|
|Missouri||Sales & Use Tax Bond||Missouri Dept of Revenue & Taxation Division||Apply Now|
|Nevada||SURETY BOND POSTED TO SECURE PERFORMANCE UNDER TIT||State of Nevada||Apply Now|
|North Dakota||Sales and Tax Permit||Office of the State Tax Commissioner||Apply Now|
|Oklahoma||Land Application Company Bond||Oklahoma Corporation Commission||Apply Now|
|Oklahoma||Gross Production Tax Bond||Oklahoma Corporation Comission Oil and Gas Divisio||Apply Now|
|Oregon||Miscellaneous Taxes Bond||Department of Transportation Division||Apply Now|
|Oregon||Highway Use Tax Bond||DOT Motors Carrier Transportation Division||Apply Now|
|South Carolina||Right Of Way Bond||SC Dept of Trans||Apply Now|
|South Dakota||South Dakota Department of Revenue & Regulation Un||South Dakota Department Of Revenue and Regulations||Apply Now|
|Texas||Combative Sports Bond For Gross Receipts Tax||TX Dept of Licensing and Regulation||Apply Now|
|Texas||Continuous Bond of Seller (Sales Tax)||Dept. of Licensing||Apply Now|
|Texas||Customs Broker||Texas State Comptroller||Apply Now|
|Utah||Sales Tax Bond||Utah State Tax Commission||Apply Now|
|Vermont||BOND TO STATE OF VERMONT||State of Vermont Dept Taxes||Apply Now|
|Virginia||Meal Tax Bond (City Of Norfolk)||City Of Norfolk||Apply Now|
|Virginia||Tax Bond||Virginia Dept of Taxation||Apply Now|
|Virginia||Meal Tax Bond (City of Norfolk)||City of Norfolk||Apply Now|
|Virginia||Food & Beverage Tax Bond (City of Hampton)||City of Hampton||Apply Now|
|Virginia||Meal Tax Bond (City of Portsmouth)||City of Portsmouth||Apply Now|
|Virginia||Meal Tax Bond (City of Norfolk)||City of Norfolk||Apply Now|
|Wisconsin||Sales & Use Tax||Wisconsin Dept of Revenue||Apply Now|
|Wyoming||Sales and Use Tax Bond (Multiple Contracts)||State of Wyoming||Apply Now|
Types of Sales Tax Bonds
Oftentimes, a general sales tax bond or sales and use tax bond will be enough for businesses. Certain businesses though, such as those selling tobacco, alcohol, or fuel, may need to get a special bond, such as an alcohol bond, a fuel tax bond, a cigarette tax bond, etc. This, too, depends on state regulations, so applicants who are not sure what kind of bond they need should check with the relevant government institutions and agencies.
Sales tax bonds are sometimes also called differently, according to the state.
The Texas sales tax bond, for example, is also known as a Texas Continuous Bond of Seller (Sales Tax). In North Dakota, on the other hand, it is known as a North Dakota Sales and Use Tax Permit Surety Bond. These two, and all other similar types of bonds, fall under the category of sales tax bonds. For more information see our list below with the most popular sales tax bonds by state!
Sales Tax Bond Cost
Sales tax bond cost is strongly dependent on state regulations for the bond amount of every particular type of business.
As a general rule, though, the full amount of your sales tax bond (the amount you need to get bonded for) is based on your receipts or an estimate of the sales taxes you need to pay at the end of the year. Sometimes, as is the case with the Texas sales tax bond, this can also be based on the monthly tax liability instead of the yearly.
To get an accurate amount for your sales tax bond, it is always best to check with the government department or agency that requires you to get bonded. Besides, many of these departments also have calculators on their websites, which help you determine the amount of your sales tax bond.
The cost of your surety bond will be based on this amount. Sureties usually take the personal credit score of applicants as one of the most important factors when calculating their premium rate. The higher your credit score, the better your rate will be.
Standard market rates for sales tax bonds begin at 1% of the total bond amount for applicants with a credit score of 700. Applicants with a credit score between 650-699 can expect a rate between 2%-5% on their bond.
Bryant Surety Bonds works with a big network of A-rated and T-listed surety bond companies. Through our access to these markets we are able to secure the best and lowest rates for our clients, regardless of their credit type. We are also able to underwrite all types of sales tax bonds in all states which require them.
Our surety bond cost page can provide you with plenty of additional information about how bond cost is determined. Have a look!
Bad Credit Sales Tax Bond Program
We also have access to markets which provide bonds for applicants with poor credit. Through our Bad Credit Surety Bond Program such applicants are able to get bonded, despite their financial difficulties.
Due to the nature of sales tax bonds and because underwriting bonds for such applicants carries a greater risk, rates on sales tax bonds under our bad credit program start at 15%. But by getting bonded with Bryant Surety Bonds, applicants are sure to make considerable savings because of our dedication to always finding the best possible deal on all bonds!
How to Get Your Sales Tax Bond
Applying for a sales tax bond takes only a few minutes! Apply online through our website and provide us with a number of details about your sales tax bond. We will then get in touch with you and provide you with a quote on your surety bond, entirely free of charge! Getting approved and bonded only takes a little longer after that!
Our surety bond experts are there for you anytime! Call us at (866) 450-3412 to speak one of our experts if you have any questions related to sales tax bonds. If you’re not sure what kind of bond you need or how to apply, we will gladly help! Just give us a call!
If you wish to learn more, click on your state from the map below for information on tax bond requirements there.