Licensed tobacco wholesalers Required when: When a licensed wholesaler requests to purchase cigarette tax insignias on credit (deferred payment) or when the Department of Revenue, in its discretion, requires a bond to ensure payment of tobacco products tax. Exemptions: Wholesalers who pay cash for insignias and are no…
Overview
What it is.
Licensed tobacco wholesalers Required when: When a licensed wholesaler requests to purchase cigarette tax insignias on credit (deferred payment) or when the Department of Revenue, in its discretion, requires a bond to ensure payment of tobacco products tax. Exemptions: Wholesalers who pay cash for insignias and are no…
Who usually needs it
Licensed tobacco wholesalers
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.
StateMTBond amountThe bond amount is determined by the Department of Revenue and must be sufficie…Term lengthContinuousObligeeMontana Department of RevenueRenewalThe bond remains on file with the Department of Revenue as long as the wholesaler maintains credit privileges or as required by the Department.Bond classTax BondCategoryRetail & SalesBondCigarette Tax Surety BondStatutory referenceMCA 16-11-117JurisdictionState
