Mississippi Petroleum Tax Bond Guide
If you’re applying for a special fuel permit in Mississippi, 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: Petroleum distributors and sellers in Mississippi
- Regulating Body: The Department of Revenue (DOR), Petroleum Tax Bureau
- Required Coverage: $100–$100,000
- Premium Rate: 1–10%, credit-based
Learn all about the bond requirements and process in this guide.
What Is a Mississippi Petroleum Tax Bond?
Mississippi petroleum tax bonds protect the state and the public if a fuel seller 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 Petroleum Tax Bonds Cost in Mississippi?
The DOR will determine your bond coverage requirement. Mississippi petroleum 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.
Who Needs a Petroleum Tax Bond?
The Mississippi DOR’s Petroleum Tax Bureau requires this bond for Special Fuel Direct Pay Permit applicants.
This includes gasoline, special fuel lubricating oil and compressed gas distributors as well as contracts with Direct Pay Permits.
How Do I Get My Bond?
SuretyBonds.com provides the fastest and easiest way to get a Mississippi petroleum 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 mail you the bond via your preferred shipping method. Be sure to file the bond with the Bureau as instructed.
If you have any questions, call our friendly surety experts at 1 (800) 308-4358 for assistance.
How Does a Mississippi Petroleum Tax Bond Work?
As with all surety bonds, a petroleum tax bond creates a legal contract between three parties:
- Principal: You, the fuel seller or company filing the bond
- Obligee: The Mississippi DOR’s Petroleum Tax Bureau 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 petroleum tax bond, simply pay your renewal invoice when prompted.
We’ll begin contacting you by phone and email 90 days before the expiration date.
