Get An Instant Quote on Texas Motor Fuels Tax Continuous Bond Now
| Texas – Motor Fuels Tax Continuous (Gasoline) Bond |  |
| Texas – Motor Fuels Tax Continuous (Compressed Natural Gas) Bond | |
| Texas – Motor Fuels Tax Continuous (Diesel Fuel) Bond | |
Introduction
Texas Motor Fuels Tax Continuous Gasoline, Compressed Natural Gas (CNG), and Diesel Fuel refers to the regulatory framework under which the Texas Comptroller of Public Accounts oversees the taxation and licensing of entities involved in producing, distributing, selling, or using these fuels. Businesses must register and comply with reporting and tax payment requirements to operate legally in Texas.
Explanation: Texas Motor Fuels Tax Continuous Bond
This is a surety bond required by the Texas Comptroller of Public Accounts for various entities involved in motor fuel operations—such as suppliers, distributors, importers/exporters, blenders, CNG/LNG dealers, and dyed diesel users. It guarantees compliance with fuel tax laws and ensures timely payment of all taxes, penalties, interest, and costs.
Purpose of the Bond
The bond protects the state and its taxpayers by ensuring funds are available if a licensee fails to pay motor fuel taxes. If the licensee defaults, the Comptroller can make a claim against the bond. The surety will cover the claim, and the licensee must reimburse the surety.
Get our Town of Anthony, TX – Blanket Building Contractor Bond.
How to Get the Texas Motor Fuels Tax Continuous Bond?
Here is a step-by-step process to obtain the Texas Motor Fuels Tax Continuous Bond:
1. Determine Your License Type
-
- Apply for a license with the Texas Comptroller of Public Accounts based on your fuel-related operations.
- Each activity has specific bonding requirements.
2. Calculate the Required Bond Amount
-
- The Texas Comptroller sets the bond amount.
- You can contact the Texas Comptroller’s Enforcement Division to confirm the exact bond amount required.
3. Choose a Licensed Surety Bond Provider
Find a surety company authorized to issue bonds in Texas. Provide:
-
-
Your business and tax details
-
Owner/partner information
-
Credit check authorization
-
4. Apply and Pay the Premium
-
-
Complete the bond application specific to Texas motor fuel taxes.
-
Premiums range from 1% to 3% of the bond amount per year.
-
Upon approval, the surety issues a signed/sealed Continuous Motor Fuels Tax Bond.
-
5. Submit the Bond to the Texas Comptroller
-
- Send the original bond to: Texas Comptroller of Public Accounts
Conclusion
The Texas Motor Fuels Tax Continuous Bond for gasoline, CNG, and diesel fuel is essential for ensuring tax compliance and financial accountability within the fuel industry. It protects the state by guaranteeing that licensed businesses meet their tax obligations, helping maintain integrity in fuel operations across Texas.
Read our Texas Manufactured Housing Bond.
Frequently Asked Questions (FAQs)
Here are Frequently Asked Questions (FAQs) about the Texas Motor Fuels Tax Continuous Bond:
How long is the bond valid?
It is a continuous bond, remaining active year to year until canceled or released by the Comptroller.
Are there penalties for operating without a valid bond?
Yes. Operating without an active bond violates Texas Tax Code and may result in:
-
-
License suspension or revocation
-
Fines or interest
-
Legal action by the Comptroller
-
How long does it take to get a bond?
Most surety providers can issue a bond within 1–3 business days, depending on your credit and business documentation.
Do new applicants need to post a bond before approval?
Yes. The Texas Comptroller requires the bond before a license is issued. Delays in bond submission will delay your license approval.
Can a bond be renewed automatically?
Yes. Most bonds are continuous and renewable annually, with the surety automatically extending coverage unless canceled with 30 days’ notice to the Comptroller.
See our Texas Wage and Welfare Bond.