Alabama Motor Fuel Blender Tax Surety Bond

The Alabama Department of Revenue, Business & License Tax Division, Motor Fuels Section is responsible for the collection of excise tax of exporters, importers, distributors, terminal operators, permissive suppliers, suppliers, and blenders of motor fuels. The department provides an online system for tax reporting and an EFT system for tax payments.

The Code of Alabama 1975, Title 40, Chapter 17, Article 4 provides the requirements for the wholesale oil license. Motor fuel blenders may be required by the Division to provide a form of financial security which includes obtaining a surety bond in the amount that the department requires. In the event the fuel blender does not pay the necessary fuel taxes due to the state, the Division may place a claim against the bond.

Surety Bond and License Requirements:

1. Completion of the License Application for Motor Fuel Blender.
2. Make payment of all taxes, penalties, and interest which may be now due or may become due.
3. Submit a monthly report by the 22nd of each month.
4. The State of Alabama Department of Revenue will determine If a surety bond is required.
5. The annual return is due October 14 of each year.

How Much Will an Alabama Motor Fuel Blender Tax Bond Cost?

The premium that you pay for an Alabama Motor Fuel Blender Tax Surety Bond is dependent on credit and the bond amount required. Our rates start at 1% of the bond amount with good credit. Contact our Surety Bond Agents for a free quote.

Did You Know?

Alabama taxes are due monthly and can be filed electronically.

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