KY watercraft fuel refund bonds.
$275. Five minutes.

Kentucky lets a watercraft (marine) fuel seller claim a refund of the motor fuels tax on fuel sold for use in boats — and the Department of Revenue conditions that refund permit on a $1,000 surety bond under KRS 138.344 to 138.355. Ours is $275, our minimum premium, and this fixed bond issues fast.

Required for a KY motor fuels watercraft refund permit — under KRS 138.344 to 138.355
Fixed amount, fixed price — $1,000 bond, $275 minimum premium, no quote process
Multi-year terms available — set it up once and keep your refund permit active
A-ratedA.M. Best carriersFastoften same purchase1–3 yrterms available
Trusted by industry leaders
NYCEDC
BDG
Capital
McKinney
Terra
JLL
Triple Five
Georgetown
NYCEDC
BDG
Capital
McKinney
Terra
JLL
Triple Five
Georgetown
How it works

Three steps. One sitting.

Small fixed-amount tax bonds are the simplest thing in surety. Here's the entire process:

NOW · 5 MINUTES

Apply online

Business details and an effective date. That is the application — no financials, no credit check section.

MINUTES, USUALLY

Pay & e-sign

Fixed-amount bonds like this are among the thousands of bond types that issue right after purchase. At most, 1–2 business days.

SAME DAY

File with the Department of Revenue

Your executed bond arrives by email, ready to file with your motor fuels watercraft refund permit application. Wet-ink original mailed on request.

The whole pricing page.

$1,000 bond × 3% = $30, which is below our $275 minimum, so the premium is $275 per term. Fixed amount, fixed price.

1-year term
$275
2-year term
$550
3-year term
$825
About this bond

What it is and who needs it.

What the bond actually guarantees

Kentucky taxes gasoline and special fuels at the pump, then lets certain users claim a refund of that tax when the fuel is used off-highway — including fuel sold through a public boat dock for use in watercraft. To get a refund permit, the Department of Revenue requires a $1,000 surety bond under KRS 138.344 to 138.355.

The bond guarantees that the permit holder will faithfully comply with the refund statutes — and protects the state if a refund is claimed and paid that the permit holder was not entitled to. It is a three-party arrangement: you (the principal), the surety carrier, and the Kentucky Department of Revenue (the obligee).

It is not insurance for you — if the Department recovers an improper refund against the bond, you repay the surety. For most marine fuel sellers the bond is a small, fixed formality that lets the refund money flow.

KRS 138.344 to 138.355Kentucky's motor fuels tax refund provisions (KRS 138.344 to 138.355) let qualifying users claim back the tax on fuel used off-highway, including fuel sold for watercraft through a public boat dock. The Department of Revenue requires a $1,000 surety bond conditioned on faithful compliance with the refund statutes, protecting the state against refunds paid in error. Confirm your refund category and bond amount on your Department of Revenue permit application.

You need this bond if you're

Operating a public boat dock selling fuel for use in watercraft and claiming the tax refund
Applying for a KY motor fuels refund permit in the watercraft (marine) category
Renewing a refund permit and your current bond is expiring or non-renewing
Re-entering the refund program after a permit lapse that reset your bond requirement

Five minutes. The whole thing.

These are the actual issuing fields — no credit check section, because this bond doesn't have one.

Start the application →
FAQs

Common questions.

If yours isn't here, the bond team can usually answer within the hour.

How much is the Kentucky watercraft fuel refund bond? +
The bond amount is fixed at $1,000 by the Department of Revenue, and 3% of that is $30 — below our $275 minimum, so the premium is $275. Same number for every permit holder.
Do I pay the $1,000? +
No. You pay $275. The $1,000 is the surety's maximum liability if an improper refund is recovered against the bond — it's not a deposit, and nobody holds your money.
What does the bond guarantee? +
That you faithfully comply with the motor fuels refund statutes (KRS 138.344 to 138.355). If a refund is paid that you were not entitled to, the state can recover against the bond — and if the surety pays, you repay the surety.
Is there a credit check? +
Not on this bond — the application has no credit section at all. Small fixed-amount tax bonds like this one don't need one.
When does it renew? +
The bond must stay active for as long as you hold the refund permit. You can buy a 1, 2, or 3-year term; we send renewal notices 60 and 30 days out, with autopay available.
Related bonds

Other New York bonds.

Watercraft refund bond, issued today.

$275 flat, five-minute application, bond often issued in the same sitting. Free until issued.

Your premium @ 3%$275
Apply now →