Get An Instant Quote on Connecticut Motor Vehicle Fuels Bond Now
| Connecticut – Motor Vehicle Fuels Distributor Bond |  |
| Connecticut – Motor Vehicle Fuels Exporter Bond | |
| Connecticut – Tax-Paid Motor Vehicle Fuels Distributor Bond | |
Introduction
Connecticut Motor Vehicle Fuels are taxable fuels used to power cars on public highways, such as gasoline, diesel, and alternative fuels. Businesses involved in the distribution, importation, production, or export of these fuels are subject to Connecticut General Statutes Chapter 222 and must be licensed by the Connecticut Department of Revenue Services. These entities must additionally post a Motor Vehicle Fuels Bond to ensure that fuel taxes are paid on time and in accordance with state rules.
Explanation: Connecticut Motor Vehicle Fuels Bond
The Connecticut Motor Vehicle Fuels Bond is a surety bond required by the Connecticut Department of Revenue Services (DRS) for individuals or businesses involved in the distribution, sale, importation, or manufacturing of motor vehicle fuels in the state. This bond ensures compliance with tax laws and regulations governing fuel transactions and guarantees that the bonded entity will pay all motor fuel taxes, penalties, and interest due to the state.
Purpose of the Bond
The bond provides a financial guarantee to the State of Connecticut that the bonded fuel company will:
-
-
Accurately report and pay motor fuel taxes
-
Comply with Connecticut General Statutes, Chapter 222 (Motor Vehicle Fuels Tax Act)
-
Fulfill all financial obligations arising from fuel activities
-
Prevent loss of tax revenue due to fraud, underreporting, or non-payment
-
If the taxpayer fails to comply, the DRS may file a claim against the bond to recover unpaid taxes or damages.
Need our Connecticut Money Transmission Licensee Bond.
Who Must Obtain This Bond?
The bond is typically required for the following license types:
-
-
Fuel Distributors
-
Motor Fuel Importers
-
Motor Fuel Exporters
-
Motor Fuel Manufacturers
-
Licensed Motor Vehicle Fuel Taxpayers
-
Bond Parties
Read our Connecticut Debt Negotiator Bond.
Process to Obtain the Connecticut Motor Vehicle Fuels Bond
The Connecticut Motor Vehicle Fuels Bond is mandatory for businesses involved in the distribution, importation, manufacture, or export of motor vehicle fuels. Here is the concise, step-by-step process to obtain and file this bond:
Step 1: Identify Your Business Type and Bond Requirement
Determine which fuel license category you fall under:
-
-
Fuel Distributor
-
Fuel Importer/Exporter
-
Fuel Manufacturer
-
Motor Vehicle Fuels Taxpayer
-
Step 2: Request Bond Amount from DRS
-
-
Contact the Connecticut Department of Revenue Services (DRS) to confirm the required bond amount.
-
Step 3: Contact a Licensed Surety Company
Step 4: Complete and Execute Form OR-131
-
-
Obtain Form OR-131 – Surety Bond for Motor Vehicle Fuels Tax
-
The surety will complete and sign the bond form
-
You, the applicant, must also sign the form as principal
-
Step 5: Submit Bond to DRS
-
-
File the original signed Form OR-131 with: Connecticut Department of Revenue Services
-
Conclusion
The Connecticut Motor Vehicle Fuels Bond is a critical financial safeguard that ensures fuel-related businesses comply with state tax laws and meet their tax obligations. By securing this bond, fuel distributors, importers, and manufacturers demonstrate accountability and help protect Connecticut’s tax revenue from potential losses due to non-compliance or underpayment.
See our Connecticut Motor Vehicle Dealer Bond.
Frequently Asked Questions (FAQs)
What happens if I fail to maintain the bond?
Your license may be revoked or suspended, and you may face penalties, interest, or enforcement actions from the Department of Revenue Services.
How long does it take to get the bond issued?
Most bonds are issued within 1 to 3 business days, depending on your business’s credit history, financial strength, and the responsiveness of the surety company.
Will my credit score affect the bond premium?
Yes. Surety companies evaluate your personal or business credit, industry experience, and financials. Higher credit scores generally lead to lower bond rates.
How much does the bond cost?
The annual premium typically ranges from 1% to 5% of the total bond amount.
Does the bond automatically renew each year?
No. The bond must be renewed annually before the applicable deadline (e.g., June 15). It’s your responsibility to ensure continuous bond coverage to maintain your license.
What happens if a claim is filed against my bond?
If DRS files a valid claim—such as for unpaid taxes or penalties—the surety company may pay out up to the bond amount. You (the principal) are legally obligated to repay the surety for any amounts paid.
Get our Connecticut Mortgage Bond.