AL permissive supplier fuel bonds.
Flat 3%. Enter your amount.
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 at a flat 3% with no credit check.
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Apply to filed in one sitting.
Enter your amount, pay, and file with the Department of Revenue. Larger bonds may get a quick review — here is the whole thing:
Apply online
Your business details, the bond amount the Department set, and the effective date — that is the entire application.
Issued or quickly reviewed
Smaller amounts issue on payment. Large permissive supplier bonds may get a quick underwriter review within 48 hours.
File with the Department of Revenue
Submit the executed bond with your permissive supplier license election. Wet-ink originals mailed whenever the Department insists.
The whole pricing page.
Bond amount × 3% = your premium, one-time, $275 minimum. Enter the figure the Department of Revenue set and the premium updates.
What it is and who needs it.
What the permissive supplier bond actually covers
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 at a flat 3% with no credit check; large amounts may get a quick underwriter review.
You need this bond if you are
Five minutes, then issued or quickly reviewed.
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 →Common questions.
If yours isn't here, the bond team can usually answer within the hour.
What is a permissive supplier? +
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Other New York bonds.
Permissive supplier bond, issued today.
Five-minute application, flat 3%, $275 minimum. Enter the amount the Department set and file the same day.