An Idaho fuel distributor bond is required and must be filed with a distributors license application before commencing operations within the state. “Distributor” means any person who receives motor fuel in to Idaho. This includes a special fuels dealer, however any person who sells or receives gaseous fuels will not be considered a distributor unless the gaseous fuel is delivered into the fuel supply tank or tanks of a motor vehicle not then owned or controlled by him. The Idaho bond of a licensed fuel distributor is ordinarily valued at approximately sixty day’s worth of accrued tax liability. The bond must be duly executed by a surety company licensed and authorized to do business in Idaho and conditioned upon faithful performance of all requirements of Title 63 Chapter 24, including the payment of all taxes, penalties and other obligations arising out of the provisions of the same Chapter. The Idaho fuel distributor bond must be submitted to the Idaho Tax Commission and must be in be equivalent to at least twice the estimated average tax liability for the reporting period for which the applicant will be required to file a distributor’s report under section 63-2406, Idaho Code. The surety bond required by law can in no case be less than one thousand dollars ($1,000) nor more than two hundred thousand dollars ($200,000). Based on prior years’ experience, the total amount required to be secured by the Idaho fuel distributor bond may be increased or reduced by the Commission at any time. Any surety bond posted with a fuel distributor application is considered “continuous” in nature. The bond covers the period during which the license is in effect, unless the surety on the bond is released or discharged by the commission. A surety company can be discharged and released from any and all liability to the state accruing on the Idaho fuel distributor bond after the expiration of thirty (30) days from the date on which the surety delivers a written request to be released and discharged. Unless the distributor posts a new bond with the commission in the amount provided for in the statute before the expiration of the thirty (30) day period, the commission must cancel the license. Idaho surety leader writes fuel distributor surety bonds for airline, maritime and ground transportion enterprises. No surety underwriter is more efficient at putting your bond in your hands! We welcome applications from domestic and foreign operations. Visit us at SuretyOne.com, call (787) 333-0222 or (800) 373-2804, or email Underwriting@SuretyOne.com for an Idaho fuel distributor bond application or information regarding any bonding need.
