A cigarette vendor in Iowa — a permittee selling cigarettes and tobacco through vending machines — posts a surety bond with its permit under chapter 453A. The amount is a fixed $1,000, which at our flat 3% lands at the $275 minimum, the same for every vendor.
















Fixed-amount tobacco bonds are the simplest thing in surety. Here's the whole process:
Business details and an effective date — no financials and no credit check section.
Fixed-amount tobacco bonds like this issue right after purchase for most applicants. At most, 1–2 business days.
Your executed bond arrives by email, ready to file with your cigarette vendor permit application or renewal. Wet-ink original mailed on request.
$1,000 bond × 3% = $30, below our $275 minimum — so the price is $275, one-time per term. Multi-year if you want it.
Iowa taxes cigarettes through the Department of Revenue under chapter 453A. A cigarette vendor permit authorizes selling cigarettes and tobacco through vending machines, and the permittee posts a surety bond — a fixed $1,000, the smallest of the standard cigarette permit bond tiers.
The bond runs to the State for the benefit of the Department, guaranteeing that you comply with chapter 453A and pay all cigarette taxes, fees, and costs you owe. A vendor permit is valid only for the location described, and a duplicate must be posted at each place of business where cigarettes are sold.
It is not insurance for you: if the surety pays the Department, you repay the surety. Where a person holds more than one tobacco permit, the bond requirements are cumulative. Iowa tobacco bonds run to a June 30 expiration by rule.
These are the actual issuing fields — no credit check section, because this fixed-amount bond doesn't have one.
Start the application →If yours isn't here, the bond team can usually answer within the hour.
$275 flat, five-minute application, bond often issued in the same sitting. Free until issued.