Licensed cigarette or tobacco products distributors who have failed to file a tax return or pay an uncontested tax or fee liability. Required when: Failure to file a cigarette or tobacco tax return, or failure to pay any uncontested cigarette or tobacco tax or fee liability. Exemptions: Distributors who have not been …
Overview
What it is.
Licensed cigarette or tobacco products distributors who have failed to file a tax return or pay an uncontested tax or fee liability. Required when: Failure to file a cigarette or tobacco tax return, or failure to pay any uncontested cigarette or tobacco tax or fee liability. Exemptions: Distributors who have not been …
Who usually needs it
Licensed cigarette or tobacco products distributors who have failed to file a tax return or pay an uncontested tax or fee liability.
Pricing & timing
What to expect.
Generic pricing
Tax bonds guarantee payment of taxes or compliance with tax regulations. Typical Pricing:. • Standard tax bonds: Commonly around 1–5% of the bond amount annually. • Credit impact: Good credit: starting around 1–2% · Average credit: typically 2–4% · Credit challenges: often 4–5% or higher. • Credit check: Required for most tax bonds. Common types include sales tax bonds, fuel tax bonds, and cigarette/tobacco tax bonds. Quick approval is typical for applicants with good credit. Some tax bonds…
Typical timeframe
Credit-based approval — typically 1–2 business days
Application
What to do next.
Tell us the bond name, state, and amount on your form.
Share business and applicant info so the team can quote it.
Sign and pay; we issue the bond and send you the documents.
Keep your effective date and renewal date on file with us.
Start the application.
You are on the exact bond page. The next step is to start the quick application.
StateMNBond amountAn amount suitable to guarantee payment of the cigarette tax stamps purchased b…Term lengthTwo yearsObligeeMinnesota Department of RevenueRenewalThe bond must be furnished for a period of two years. If the distributor has not been delinquent in filing returns or paying taxes during that two-year period, the bond is no longer required.Bond classTax BondCategoryRetail & SalesBondCigarette Surety BondStatutory referenceMinnesota Statutes 297F.04JurisdictionState
