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Iowa bonds

Iowa — Retail Sales Tax Bond

If Iowa Revenue has requested a retail sales tax bond, use the notice for your permit or account to prepare the application. Have the required security amount ready, then select Purchase Now to begin.

Continue to our secure checkout partner, Propeller (opens in a new tab).

Recorded state
Iowa
Bond type
Sales & Use Tax Bond
Category
Business operations & taxes

What this bond does

The bond provides security for the retailer's tax obligation. Iowa's sales and use tax guide describes bond requests for both permit applicants and existing permit holders in specified circumstances involving filing or payment history.

Who needs it
Retailers asked by the Iowa Department of Revenue to post a surety bond for a sales tax permit or existing account.
Who it protects
The security supports the tax obligation to the Iowa Department of Revenue. The retailer continues to owe its required returns and tax payments.

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.

Use the amount requested for your filing situation

Iowa's guide relates bond amounts to tax liability and filing frequency, and says the Department may require a larger amount. Have the Department's amount ready rather than estimating security from your sales alone.

This page offers one surety bond application through Propeller. It has no fixed amount or term displayed. If your notice offers other forms of security, keep that decision separate: this purchase route is for the surety bond.

Sources

Have these ready

  1. Find the Department's bond notice and the sales tax permit or account it names.
  2. Have the legal retailer name, business address and account identifier ready.
  3. Keep your requested amount, filing frequency and relevant tax-liability information available for application questions.

Questions about this bond

Can Iowa ask an existing retailer for a bond?

Yes. The Department's guide discusses both applicants and existing permit holders. Use the notice to understand the request for your business rather than assuming a bond concerns only new permits.

Does this bond replace filing or paying my sales tax?

Your reporting and payment duties continue. The bond supplies security for the obligation; it does not file returns or settle your account.

What should I do when I am ready to apply?

Purchase Now opens Propeller in a new tab. Review the retailer, tax account, form, amount and dates before completing the application. After issuance, complete the required signing and deliver the bond according to the Department's request.

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