Ohio Dealer in Motor Vehicle Fuel Bond

An Ohio Dealer in Motor Vehicle Fuel Bond is a type of surety bond required by the Ohio Department of Taxation for any person or business that imports, acquires, or sells motor fuel within the state. It acts as a financial guarantee to ensure that the dealer fulfills their tax obligations and other legal requirements. For More information, visit the Ohio Department of Taxation – Pertinent Facts Pertaining to Motor Fuel Dealers: https://tax.ohio.gov/business/ohio-business-taxes/excise/motor-fuel.

The bond amount is determined by the Department of Taxation based on factors like the dealer’s annual fuel volume and tax liability, subject to a minimum amount of $5,000. The cost of the surety bond is usually between 1% and 3% of the bond amount, subject to a minimum premium and fees of $150. Surety1 will shop its many markets to procure the right price at the right terms.

How to Get a Ohio Dealer in Motor Vehicle Fuel Bond

At Surety1.com we make it easy to obtain this surety bond. Our simple, three step process is:

1. Complete the easy to navigate and secure online application. ¹
2. Review the free, no obligation quote from one of Surety1’s professional surety bond agents, usually within one business day. ²
3. Sign some paperwork and pay the bond premium

Once these steps have been completed, the Ohio Dealer in Motor Vehicle Fuel Bond will be shipped to the bond applicant.
^{1 -The name of the applicant on the surety bond application must match exactly the full legal business name of applicant for the license.
2- Subject to underwriter approval, based on aggregate surety bond exposure, additional underwriting information may be required}

Surety1.com is a service of AssuredPartners one of the largest and fastest growing insurance agencies in the nation. Representing over a dozen surety bond companies, Surety1.com is the premier online provider of surety bonds nationwide since 2003.

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Who Needs the Surety Bond?

• Anyone importing motor fuel into Ohio: This includes importing from another state or foreign country, either in bulk or for subsequent sale and distribution.
• Those acquiring motor fuel by any means into a terminal in Ohio: This encompasses various methods like pipeline, truck, or barge.
• Dealers selling motor fuel within Ohio: This covers retail stations, wholesalers, and distributors.

Exemptions:

• Consumers purchasing fuel for personal use: Individuals buying fuel for their own vehicles are not required to obtain the Ohio Dealer in Motor Vehicle Fuel Bond.
• Government agencies and non-profit organizations: These entities typically have different tax regulations and are usually exempt.

What does the Bond Do?

• Ensures tax payments: The bond guarantees that the dealer pays all motor fuel excise taxes collected from customers to the Ohio Department of Taxation.
• Protects creditors: If the dealer defaults on any financial obligations related to motor fuel transactions, the bond can be used to compensate creditors.
• Promotes compliance: The financial stake represented by the bond incentivizes dealers to adhere to Ohio’s motor fuel tax laws and regulations.

If the surety company pays a claim on the bond, it will seek restitution from the bond principal (licensee).