Maryland Motor Fuel Dealer, User, or Seller Tax Bond Guide
If you’re applying for a motor fuel license in Maryland, you’ll likely need this surety bond.
Bond Overview
- Purpose: To protect the state if a fuel seller or distributor breaks tax regulations
- Who Needs It: Dealers of diesel fuel and other fuel distributors/users
- Regulating Body: The Comptroller of Maryland
- Required Coverage: $1,000–$200,000 based on license classification
- Premium Rate: 1–10%, credit-based
Learn all about the bond requirements and process in this guide.
What Is a Maryland Motor Fuel Dealer, User, or Seller Tax Bond?
Maryland fuel tax bonds protect the state and the public if a fuel dealer, user or distributor does not comply with industry and tax regulations.
This guarantees fuel sellers will pay all taxes, penalties and interest owed to the local government, along with operating according to state law.
How Much Do Motor Fuel Tax Bonds Cost in Maryland?
Maryland fuel tax bonds cost a small percentage of the bond amount, typically 1–10%.
Exact rates vary based on personal credit score. Apply for your free quote now!
SuretyBonds.com offers the lowest available rates from our nationwide provider network with no added fees.
How Do I Get My Bond?
SuretyBonds.com provides the fastest and easiest way to get a Maryland fuel tax bond. Just follow these quick steps:
- Apply: Submit an online quote request form
- Quote: Receive your quote within one day
- Sign: Complete the indemnity agreement
- Buy: Purchase the bond online 24/7
We’ll email you the bond shortly after purchase. Be sure to file the bond with the Comptroller of Maryland as instructed.
If you have any questions, call our friendly surety experts at 1 (800) 308-4358 for assistance.
How Does a Maryland Motor Fuel Dealer, User, or Seller Tax Bond Work?
As with all surety bonds, a fuel tax bond creates a legal contract between three parties:
- Principal: You, the fuel seller or company filing the bond
- Obligee: The Comptroller of Maryland requiring the bond
- Surety: The provider issuing the bond
This holds you financially responsible for paying state taxes and upholding license regulations.
If you break the bond terms, harmed parties can file claims. The surety will pay valid claims up to the bond amount, but you are ultimately responsible for refunding the surety.
How Do I Renew My Bond?
These bonds expire annually. To renew your fuel tax bond, simply pay your renewal invoice when prompted.
We’ll begin contacting you by phone and email 90 days before the expiration date.