Details for Iowa cigarette wholesalers

Rule 701—231.3 specifies $2,500 for a wholesaler permit. Use that class and Revenue's required amount rather than treating the statute's $500 floor as the applicable order amount. The Director can require increased or replacement security when an existing bond becomes insufficient or its surety unsatisfactory.

A retail chain's warehouse does not become a wholesaler merely by storing cigarettes and transferring them to its own outlets. Rule 231.2 gives that example expressly. Describe your actual buyers, sales and business entities so Revenue can determine the correct permit.

Identify every business location and any additional functions. If you operate as both distributor and wholesaler at the same place, section 453A.13(8) requires one state permit there; retail sales require a separate retail permit. Do not automatically add two wholesaler/distributor bond amounts for that same-place arrangement.

Where additional permit types are genuinely required, the rule permits separate bonds or an eligible bond covering the aggregate requirement. Confirm the accepted combination with Revenue. A wholesaler permit does not automatically authorize another regulated distribution or retail activity.

Subchapter permits expire June 30. Current sections 453A.13 and 453A.14 require electronic application documents and bond filing on the Department's prescribed forms. Keep the approved security current and follow Revenue's execution and renewal directions. The ten days in section 453A.14 concern responding to a demand for new or additional security, not an ordinary cancellation notice.

Purchase Now opens Propeller's Iowa cigarette-wholesaler application in a new tab. Match the legal applicant, actual permit class and required amount, then complete Revenue's permit and bond-submission steps. Provider payment does not issue the state permit or authorize sales.