Tax bond cost
The required amount for sales and use tax bonds in Wisconsin is based on the volume of sales at each business location. Applicants should verify their required surety bond amounts with the state prior to bonding.
If the bond amount you need is $10,000 or less,We can issue your bond for just $100 – no credit check required. If your required bond amount exceeds $10,000, your bond is subject to underwriting.
Why this bond
Wisconsin sales and use tax surety bonds are put in place to ensure that principals have applied for or obtained a permit to engage in the business subject to taxes according to the provisions of Chapters 66, 71, 77, 78 or 139 of the Wisconsin Statutes. The principal must adhere to any applicable amendments and satisfy any demands made upon the principal by the Wisconsin Department of Revenue for security for payment of taxes imposed under those chapters. Specifically, the bond guarantees that the principal (business professional) will comply with all of the provisions of the Wisconsin Statutes and pay all taxes, interest and penalties promptly when due, including taxes, interest and penalties due now and in the future.
If the principal is delinquent in the payment of the taxes imposed under the Wisconsin Statutes indicated above, the Department of Revenue can, upon 10 days’ notice, recover the taxes, interest and penalties from the surety.
The surety can choose to withdraw liability at any time by giving the Department of Revenue 60 days’ notice prior to termination of the bond. The bond will remain in full force and effect until otherwise canceled.
The Wisconsin A-133 surety bond form is used to ensure the payment of the following types of taxes:
- alcohol beverage
- tobacco products
- sales and use
- nonresident entertainer
Applicants should be sure to indicate the appropriate license type on the bond form.
Acquire a tax bond
There are several types of alcohol beverage licenses in Wisconsin. The options include:
- “Class A” fermented malt beverage licenses allow retail sale of fermented malt beverages (beer) for consumption off the premises. Examples: grocery or convenience stores.
- “Class A” liquor licenses allow retail sale of intoxicating liquor (including wine) for consumption off the premises. Examples: liquor stores or grocery stores with full liquor sales sections.
- “Class B” fermented malt beverage licenses allow retail sale of fermented malt beverages (beer) for consumption on or off the premises. Examples: restaurants, “beer bars.”
- “Class B” liquor licenses allow retail sale of intoxicating liquor (including wine) for consumption on the premises, and wine in original sealed containers for consumption off the premises. If the community elects to, it may also permit sale of not more than four liters of intoxicating liquor (there are no limits on wine), in the original sealed container, for consumption off the premises. Check local ordinances for the allowance. State law also allows carryout of a single, opened (resealed) bottle of wine if sold with a meal. Examples: taverns and restaurants with full alcohol service.
- “Class C” wine licenses allow the sale of wine for consumption only on the premises and allow the carryout of a single opened (resealed) bottle if sold with a meal.
- Temporary “Class B” licenses (often called picnic licenses) allow retail beer and/or wine sales, at temporary events like fairs and festivals. Only certain organizations qualify for such a license. They must be bona-fide clubs, county or local fair associations, churches, lodges, or societies that have been in existence for at least six months, and may not operate for pecuniary gain, selling alcohol beverages only incidental to their operation.
There are several other locally-issued licenses or state-issued permits that allow retail sale of alcohol beverages under certain circumstances. However, the license types listed above are the most common.
Apply for your surety bond
Get a FREE Wisconsin Sales and use Tax Bond Quote Today! Click here to begin