A permissive supplier — an out-of-state supplier who elects to collect Alabama’s motor fuel tax on fuel destined for Alabama — posts a bond with the Department of Revenue, sized at roughly twice the average monthly tax liability (capped at $2 million). Enter the figure and we issue it — priced at 1% of the bond amount, $100 minimum, your exact price at the 60-second application. The application collects no credit information.
















Enter your amount, pay, and file with the Department of Revenue. Larger bonds may get a quick review — here is the whole thing:
Your business details, the bond amount the Department set, and the effective date — that is the entire application.
Smaller amounts issue on payment. Large permissive supplier bonds may get a quick underwriter review within 48 hours.
Submit the executed bond with your permissive supplier license election. Wet-ink originals mailed whenever the Department insists.
Under Alabama’s Terminal Excise Tax Act (Code of Alabama Title 40, Chapter 17, Article 12), an out-of-state supplier can elect to collect Alabama’s motor fuel tax on fuel it sells for import into Alabama — that election makes it a permissive supplier. Choosing to collect the tax means the state requires a bond standing behind it.
Under §40-17-335, the permissive supplier bond is set at approximately twice the average monthly tax liability, not to exceed $2 million — the same sizing rule as the in-state supplier. It is a three-party arrangement: you (the principal), the surety carrier, and the Department of Revenue (the obligee).
It is not insurance for you — if the surety pays the state, you repay the surety. We issue the amount the Department named — premiums from $100, exact price at the application. The application collects no credit information; large amounts may get a quick soft-pull review that never affects your score.
Submit the application with the bond amount the Department set — smaller amounts issue instantly, large bonds may get a 48-hour review.
Start the application →If yours isn't here, the bond team can usually answer within the hour.
Five-minute application, premiums from $100 — your exact price appears at the 60-second application. Enter the amount the Department set and file the same day.