Details for requested Maryland OTP security

For an OTP wholesaler, the extra security tracks tax due in any one month above $5,000. For the separately defined out-of-state seller, it tracks any reporting period above $5,000. Match the licensed activity and assigned sum; neither is a universal $5,000 cap.

A qualifying exemption needs five years of the applicable licensing, continuous tax-law compliance and compliance with security conditions. The Comptroller must also find solvency and ability to pay potential tax liability. Five years alone does not authorize cancellation.

An exemption covers only potential liability up to the Comptroller's determined amount and may be revoked for noncompliance. For an exempt corporation, officers with direct fiscal-management control are personally liable for its tobacco tax, interest and penalties.

Use the authority's accepted instrument, legal account holder, actual period, signatures and filing directions. The statute's irrevocable-letter-of-credit alternative has its own approved amount and definite coverage date; it does not supply a universal term or cancellation clause for a surety bond.

Purchase Now opens Propeller's Maryland OTP application in a new tab. Match the actual security request, wholesale/out-of-state role, required sum and accepted dates, then complete the requesting tax authority's filing. Provider payment does not issue a license or grant an exemption.