New Jersey — Distributor's Cigarette Tax Stamp Credit Bond
New Jersey bases a licensed distributor's bond on the average monthly value of the cigarette stamps it uses. Confirm Revenue's required amount and current stamp-credit bond form before applying; an older packet's fixed $6,000 instruction may not cover your obligation.
Continue to our secure checkout partner, Propeller (opens in a new tab).
- Recorded state
- New Jersey
- Bond type
- Cigarette / Tobacco Tax Bond
- Category
- Business operations & taxes
What this bond does
N.J.A.C. 18:5-6.6 requires each licensed cigarette distributor to furnish a bond guaranteeing proper performance of its duties and discharge of liabilities under the Cigarette Tax Act. The current rule names the Distributor's Cigarette Tax Stamp Credit Bond and directs filing with the Division of Revenue and Enterprise Services.
- Who needs it
- Licensed New Jersey cigarette distributors arranging the bond required for their distributor account. The current rule applies to licensed distributors; its stamp-credit form name should not be read as a general waiver for distributors that pay for stamps without credit.
- Who it protects
- The security protects New Jersey's interest in the distributor's proper performance and discharge of all liabilities under the Cigarette Tax Act. Its condition is broader than merely replacing a missing stamp shipment or insuring the distributor against unpaid customers.
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
- New Jersey Register2017 — complete selected18:5-6.6 base and6.4 (opens in a new tab)Checked October 27, 2026
- 2024 adopted cigarette-tax rules — selected18:5-6.6 and stamp-order changes (opens in a new tab)Checked October 27, 2026
- Taxation-linked CWD-P packet — complete pertinent instructions and CD-3 model (opens in a new tab)Checked October 27, 2026
- New Jersey cigarette-tax programme, updated September2026 (opens in a new tab)Checked October 27, 2026
Have these ready
- Exact licensed distributor name, address and New Jersey account information.
- Stamp-usage information supporting Revenue's required bond amount.
- Current Distributor's Cigarette Tax Stamp Credit Bond form and filing directions.
- License period, required effective date and any continuation instructions.
- Authorized principal/surety execution and the state's approved stamp-payment arrangement.
Questions about this bond
Should I simply order the older packet's $6,000 bond?
Obtain Revenue's required amount first. N.J.A.C. 18:5-6.6 sets a minimum based on the average monthly value of stamps used, rather than stating a flat amount for every distributor.
Why does the current form name differ from CD-3?
The 2024 adopted amendment names the Distributor's Cigarette Tax Stamp Credit Bond and filing with Revenue and Enterprise Services. The older application packet contains a performance bond. Follow Revenue's current instructions for your account.
Does paying cash for stamps automatically remove the distributor bond requirement?
No. The current rule requires a bond from each licensed distributor. Ask Revenue how your payment arrangement affects its required security; do not infer a waiver from the stamp-credit form's title.
Does checkout place a stamp order or approve my credit?
No. It opens the provider's bond application. State stamp orders, acceptable payment methods, credit arrangements and acceptance of the executed bond remain separate.