A Guide to Tax Collector Bonds
SuretyBonds.com is legally licensed to issue tax collector bonds nationwide. Whether you’re a tax collector in Arkansas, California, New Jersey or Mississippi, we can help!
Tax collector bonds cover individuals who collect taxes for municipalities and other government agencies. This type of bond is used to guarantee hired and/or elected officials will perform their tax-collecting duties honestly. The bond may also cover liability in the case of uncollected taxes. Don’t worry if you don’t know much about surety bonds. Our expert surety specialists have developed this guide to explain how tax collector bonding works.
Pay A Low Rate For Your Bond.
The premium you’ll pay depends on the amount of coverage you need, which varies by state and even county. These bond amounts can be quite high, even upwards of $100,000. Applicants with good credit will qualify for the best tax collector bond rates. In most cases, these applicants pay anywhere from 2-7% of the bond amount. This means that a standard $10,000 tax collector surety bond typically costs just $200-$700. Get your free, no-obligation price quote today!
Enjoy Quick, Easy & Accurate Bonding.
At SuretyBonds.com, our bonding process consists of four steps.
- Apply. Simply fill out our online contact form, and you’ll be contacted by an account manager within one business day. Your account manager will walk you through the application process and collect all necessary information.
- Get your free price quote. Your account manager will shop your bond to find the best price. You’ll be provided with a free price quote without an obligation to buy.
- Pay for your bond. Your bond will be issued as soon as your payment is processed.
- Receive your bond. You’ll receive a copy of your bond via email. Your original bond form will arrive in the mail according to your shipping preferences. If you’re in a rush, choose our overnight shipping option, and you can have the original bond in your hands the next business day.
Learn More About Surety Bonds.
Although elected or hired to serve the public, some tax collectors still choose to behave unethically. Every state requires tax collectors to be bonded to ensure that all laws regulating the performance of tax collectors are upheld and that all business - ranging from billing and cashier services to reports and remittance - is conducted ethically.
A tax collector bond is a type of surety bond that’s underwritten by many insurance companies. A surety bond is a type of insurance instrument that involves three parties.
- The principal is the individual applying for the bond. In this case the principal is the individual who will perform the duties of tax collector.
- The obligee is the entity that requires the bond. In this case the obligee is a governing agency, whether it be at the municipal, county, state or federal level.
- The surety is the insurance underwriter that issues the bond and assures the principal will fulfill his or her duties as required by the governing agency. In this case the surety sells a surety bond to the tax collector.
Tax collectors must perform many duties while collecting taxes. Should an individual fail to perform the duties of the position appropriately, the tax collector surety bond acts as a safety net for both the government and the general public. With these bonds in place, we can be assured the government is doing everything it can to provide the public with ethical tax collection services.