Iowa — Cigarette Distributing Agent Permit Bond
Iowa's distributing-agent permit concerns storage of unstamped cigarettes received in interstate commerce for fulfillment of interstate orders. It is not a general cigarette-wholesaler permit. The current bond rule sets distributing-agent security at $2,500.
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- Recorded state
- Iowa
- Bond type
- Cigarette / Tobacco Tax Bond
- Category
- Business operations & taxes
What this bond does
Section 453A.17 supports the in-state agent's specified interstate storage and delivery role. Each place of business needs its own application and permit, and interstate stock must remain separate from intrastate stock.
- Who needs it
- In-state agents storing an out-of-state manufacturer's cigarettes and fulfilling the manufacturer's transmitted orders. A business making ordinary first sales or retail sales should not assume this permit authorizes those activities.
- Who it protects
- Section 453A.17 incorporates the applicable bond provisions of section 453A.14. Security is payable to Iowa for taxes, damages, fines, penalties and costs adjudged against the person for violation of the cigarette-subchapter requirements affecting that person. It protects the state, not the manufacturer's inventory or the agent's delivery contracts.
Your bond option
This is the option on record for this bond.
- Bond optionPurchase Now (opens in a new tab)Continue to our secure checkout partner, Propeller (opens in a new tab).
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.
Sources
- Iowa2026 — complete453A.17 (opens in a new tab)Checked October 27, 2026
- Iowa2026 — complete selected453A.1 distributing-agent definitions (opens in a new tab)Checked October 27, 2026
- Iowa2026 — complete453A.14 (opens in a new tab)Checked October 27, 2026
- Iowa — complete selected current231.1–3 (opens in a new tab)Checked October 27, 2026
Have these ready
- Legal agent name, Iowa principal office and each storage location.
- Out-of-state manufacturer and actual interstate-order fulfillment arrangement.
- Officers/members and electronic permit-application information.
- Revenue's required bond, accepted period and execution directions.
- Separate-stock procedures and documents for the actual permitted transport activity.
Questions about this bond
Is this the same as a cigarette distributor or wholesaler?
The distributing-agent role concerns specified interstate storage and fulfillment for an out-of-state manufacturer. Ordinary intrastate first sales, wholesaling and retail activity must be matched to their actual permit requirements.
Is the current amount $1,000 or $2,500?
The current rule lists $2,500 for a distributing-agent permit. The incorporated interstate statute's minimum does not replace that role-specific requirement.
Can I mix interstate stock with ordinary inventory?
Section 453A.17 requires separation. Cigarettes not kept separate are treated as intrastate stock and become subject to the corresponding first-sale requirements.

