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Georgia bonds

Georgia — Cigar, Cigarette, And Vapor Products Distributors License Bond

Georgia's distributor-license bond is not always $1,000. Current rule 560-8-3-.01 sets $5,000 for an initial license and a sales-based renewal amount. Confirm your resident or nonresident status and Revenue's required sum before applying.

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Recorded state
Georgia
Bond type
Cigarette / Tobacco Tax Bond
Category
Business operations & taxes

What this bond does

The license-performance and tax-liability undertaking supports the distributor's Georgia tobacco/vapor license. It is a different selection from the Tobacco Distributors Tax Stamp Bond listed on the same standard form.

Who needs it
Businesses seeking or renewing the relevant Georgia distributor license, including nonresident applicants subject to the separate reciprocity and security provisions. A retail dealer or vending-machine operator should not assume this distributor class applies.
Who it protects
The model binds principal and surety jointly and severally to Georgia. It covers sums due from operating the business, including taxes, license fees, rental charges, penalties, interest and state collection expenses, plus faithful compliance with Georgia laws, Revenue rules and required conditions. It protects the state rather than insuring the distributor's stock or customer debts.

Your bond option

This is the option on record for this bond.

The bond amount describes the limit of the bond obligation, not the price. A listed amount does not establish what the requesting party requires. The premium is what you pay and must be confirmed for the actual option. An E&O limit, where listed, is separate errors and omissions insurance.

Details for Georgia distributor-license security

Current rule 560-8-3-.01 distinguishes initial applications from renewals. Its initial bond is $5,000. For renewal, it uses one percent of the preceding license year's gross sales of the listed regulated products, never less than $1,000. That is a gross-sales calculation, not one percent of tax liability.

Revenue's general bond page displays $1,000, and the selected model states a $1,000 minimum. Those figures do not establish the correct amount for every initial or renewal application. Use the operative rule and Revenue's account-specific direction; have the Department confirm the amount for your products, period and location.

Rule 560-8-3-.02 separately addresses nonresident applicants. It requires reciprocal licensing privileges and a Commissioner-determined bond of at least $1,000, with tax, penalty, interest and regulatory-compliance conditions. Do not assume the resident initial sum or renewal formula automatically resolves a nonresident request.

Use the Cigar, Cigarette, and Vapor Products Distributors License Performance and Tax Liability selection on the standard form. The current rule requires separate licensing for each place of business and uses the Georgia Tax Center for applications and annual renewal. A different tax-stamp undertaking does not automatically replace license security.

The instructions say the bond runs with the distributor's license and remains in force for one year after expiration or revocation. The model also allows principal, surety or obligee to cancel by sixty days' written notice to each other party, preserving liability occurring before that notice expires. Match the actual licensed period and accepted form; do not substitute a notice only to Revenue or assume June 30 ends all exposure.

Complete the authorized principal and surety execution and seal requirements. The surety's official or attorney-in-fact must attach a certified copy of current authority to bind the company. Review the model's collection-expense and forfeiture wording before signing rather than treating it as a simple stamp-purchase receipt.

Purchase Now opens Propeller's Georgia distributor-license application in a new tab. Match the legal distributor, location, license year and Revenue's required amount, then complete state licensing and bond submission separately. Provider payment does not grant a distributor license or certify every product for sale.

Sources

Have these ready

  1. Legal distributor name, business location and Georgia account/license information.
  2. Initial or renewal status and the preceding license year's relevant gross sales.
  3. Resident/nonresident status and any applicable reciprocity determination.
  4. Revenue's required amount and accepted license-period/one-year-tail wording.
  5. Authorized execution, surety's certified authority and current Georgia Tax Center/submission instructions.

Questions about this bond

Can I simply order $1,000 because the bond page shows it?

Confirm the actual requirement first. Current rule 560-8-3-.01 sets $5,000 for an initial application and one percent of relevant prior-license-year gross sales for renewal, with a $1,000 floor. A separate rule governs nonresident security.

Is the renewal amount based on tax liability?

The current rule uses gross sales of the listed regulated products during the preceding license year. Obtain Revenue's required sum rather than substituting a monthly-tax calculation.

Is this the same as the tobacco tax-stamp bond?

The standard form lists separate license-performance/tax-liability and tax-stamp selections. Match the undertaking in Revenue's request; do not assume one automatically satisfies the other.

Does the bond end with the June 30 license period?

The instructions retain it for one year after license expiration or revocation, and the model has a separate notice provision involving all parties. Follow the accepted instrument and Revenue's directions rather than assuming automatic release on June 30.

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