Alabama sales tax bonds.
$875 flat.
Alabama's Department of Revenue can require a retailer to post a sales tax bond — most commonly after a final assessment goes unpaid. The statutory minimum is $25,000 for a two-year period; ours is $875 flat for that bond — the price you see is the checkout price — with one soft credit pull.
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How much does an Alabama sales tax bond cost?
$875 at the $25,000 amount, the same for every applicant.
Three steps to filed.
The Department of Revenue is waiting on this bond. Here's the entire process — no broker phone tag:
Apply once, online
Business details, owner information, effective date, and whether the bond is due to non-compliance. The only extra step is a one-time consent to a soft credit pull.
Approved
Most are approved as soon as you apply. One soft credit pull, never a hard inquiry, and it never affects your score. If it needs a second look, one to two business days at most.
E-sign & file with the Department of Revenue
Pay online and receive the executed bond ready to file on the department’s Sales Tax Surety Bond form. Wet-ink originals mailed whenever the state insists.
What it is and who needs it.
What the sales tax bond actually covers
Alabama's Department of Revenue can require a retailer to post a sales tax bond under Ala. Code §40-23-6. The bond is filed on the department's Sales Tax Surety Bond form and is conditioned on the licensee collecting and remitting sales tax — it is payable to the Commissioner of Revenue.
The most common trigger is non-compliance: if a sales tax balance is still due once a final assessment is no longer subject to appeal, the taxpayer is deemed non-compliant and must post a one-time bond for a two-year period. Under §40-23-6(c)(1), the amount is the actual sales tax liability for the three months before the non-compliant period, but not less than $25,000.
Certain new or reinstating retailers also post a one-time $25,000 two-year bond on licensing. The bond stands behind the tax you owe — if you fail to remit, the state can recover against it, and if the surety pays, you repay the surety. We issue the $25,000 bond at $875 flat with one soft credit pull.
You need this bond if you're
Claims, renewal, filing, and what sets the price.
If a claim is made
A claim comes from the party the bond protects, the obligee named on the form, when the duty the bond guarantees is not met.
The surety investigates and pays a valid claim, up to the $25,000 bond amount. You then repay the surety: a surety bond is a guarantee of your performance, not insurance for you.
Renewal and term
The carrier issues this bond for a single two-year term; the term cannot be changed at checkout.
Renew before the expiry date to keep the bond in force: the license, permit or contract it backs expects continuous coverage.
How to file it
E-sign & file with the Department of Revenue. Pay online and receive the executed bond ready to file on the department’s Sales Tax Surety Bond form. Wet-ink originals mailed whenever the state insists.
What sets the price
The premium is fixed at $875 at the $25,000 amount for every applicant: the carrier’s rate book prices this bond by the form, not by your credit or your business profile.
One soft credit pull, never a hard inquiry, and it never affects your score.
Where a check runs, it decides approval; the rate is the same for everyone approved.
One application, issued instantly.
These are the actual underwriting fields, including a one-time consent to a soft credit pull. Submit once and your bond is issued when you pay.
Start the application →Common questions.
Other Alabama bonds.
The same bond in nearby states.
Been told you need a different amount?
Price and requirements checked on the carrier’s application, . Page updated .
The Department of Revenue is waiting on one document.
$875 flat for the $25,000 bond, short application, bond issued when you pay. Free until issued.