What is a Mississippi Taxable Fuel Bond?
Understand the importance of this surety bond and how to easily get one!
Distributors of the following taxable petroleum in Mississippi are obligated to apply for a permit and submit a surety bond along with the application:
- Aviation gasoline
- Dyed diesel fuel
- Undyed diesel fuel
- Fuel oil
- Jet fuel
- Compressed gas
- Motor oil
With the surety bond in place, the Petroleum Tax Division of the Mississippi Department of Revenue will be assured that the permit holder will pay the necessary taxes in full and on time, as well as abide by the laws of the state and other relevant rules.
The requirement complies with Section 27-55-7 of the Mississippi Code Annotated.
What is the Taxable Fuel Bond amount?
The bond amount will vary per permit holder and will be determined by the State Tax Commission.
The minimum bond amount is $1,000.
The maximum bond amount is $250,000.
If you have an excellent credit score, you will be eligible to pay for a low bond premium!
Check out what you need to pay by getting your FREE SURETY BOND QUOTE HERE!
What are the bond conditions?
- The surety bond agent or company should be authorized to conduct business in the State of Mississippi
- The surety bond should be approved by the State Tax Commission
- The surety bond should be made payable to the State of Mississippi
- The distributor is obligated to comply with the provisions of Section 27-55 of the Mississippi Code Annotated, the rules and regulations of the Petroleum Tax Division of the Mississippi Department of Revenue, and all the other applicable rules
- If the distributor commits a valid violation, the aggrieved party will be eligible to file a claim on the surety bond
- The State Tax Commission may increase the surety bond amount if deemed necessary. The bonded distributor will be given 15 days to have the bond amount changed.
How can I get a Taxable Fuel Bond?
To secure this type of bond, the distributor must seek the assistance of a surety bond company.
You will be asked to apply for this bond. If you’re ready to apply for one right now, you may easily do so HERE!
Once the application is received, the surety bond company will immediately process it. In our case, one of our expert surety bond agents will guide you through the whole process from the time you applied for the bond. We will make sure that you understand all the conditions before we issue the bond.
An underwriter will then evaluate the following:
- Your financial strength
- Your job/business performance history
- Your credit score
Once the pre-qualification process is fulfilled, we will execute the bond and send it to you!
Ready to start on your bond? APPLY HERE!