Alabama Automotive Dismantler Bonds are required when obtaining a Dismantler license.
The State of Alabama Department of Revenue, Severance and License Section is responsible for the licensing of automotive dismantlers and automotive parts recyclers.
Dismantlers and recyclers possessing 10 or more inoperable motor vehicles for more than 30 days must be licensed. This does not include vehicles awaiting repair or vehicles being held for the purpose of scrap metal nor include businesses that are repairing vehicles for reconstruction or reconditioning for its own use or for disposal for its own use.
Title 40-12-412 of the Code of Alabama defines the automotive dismantlers and parts recycler’s license requirements.
The following is required for licensure:
1. Completion of the online application www.myalabamataxes.alabama.gov
and payment of the license fee
2. Provide the NMVTIS ID number obtained through the National Motor Vehicle Title Information System
3. Obtain a $25,000 surety bond and upload as an attachment to the license application
4. Provide and upload a copy of the applicants driver’s license via myalabamataxes.alabama.gov
if requiring a Buyers Identification Card (BID)
5. Licenses and bonds renew annually October 31st of each year
The premium you pay for the Alabama Automotive Dismantler and/or Automotive Parts Recycler Bond starts as low as $200, depending on credit.
A licensed Automotive Dismantler & Parts Recycler licensee may also conduct business without obtaining these licenses: Junk Dealer License, Automotive Dealer License (Wholesale only), Automobile Accessory Dealer License, Automobile Garage and Shop License, Automobile Storage Garage or Yard License.
Let our Surety Bond Specialists assist you with your bond needs.
Hours: 8:00-5:00 CST, Monday through Friday