Tax Bonds (alcohol, fuel, tobacco, sales, etc.)
Tax Bonds (alcohol, fuel, tobacco, sales, etc.) InformationA sales tax bond is a type of surety bond which guarantees that a business will pay sales tax to the state or local government. The bond further guarantees that businesses will report their earnings within the relevant deadlines as they are determined in the state. Failure to pay collected funds or incorrect reporting can result in a bond claim. The purpose of the sales tax bond is to serve as a protection for the state and the public and guarantee compensation. Sales tax bonds are usually requested by local governments and apply to different businesses depending on local regulations and laws. Unlike most financial guarantee bonds, the sales tax bond requires no collateral by bonding companies which makes it easier to obtain.
Listed below are the 3 absolutes in surety.
- Most be a US Citizen
- Cannot be in current bankruptcy
- Cannot be behind in child support
Three party agreement
Surety Bond Definition: The definition of a surety bond is as follows: A surety bond is a binding agreement between three parties. This agreement sets forth a financial guarantee by one party ( “surety” ) to another party ( “obligee” ) that a third party ( “principal” ) will fulfill required obligations to the obligee, and that state, federal, and local laws and applicable regulations will be adhered to. Let’s examine each of the three parties.Learn more about surety bonds
Bad Credit – Fast Approvals – Lowest Rates Available.
- Credit below 650 and/or have blemishes on credit report.
- Average cost is 5-15% of the bond amount.
- Available for all commercial bonds.
Why does credit matter? Applying for a surety bond is similar to applying for a loan. You are asking a surety company to back you financially. Reviewing credit is the best method for the surety to understand their risk. All sureties review credit as a view only and should have no effect on your credit score. While it is true that bad credit makes it harder to obtain a competitive quote, we are committed to making sure all of our customers have access to the best possible rates. While we can’t guarantee that we can provide a bond for the most extreme bad credit situations, we strive to make sure no stone is unturned! In other words, if you are insurable, we will get it written. Contact us today and let us put together an online quote for you that will exceed your expectations.