(a) If the application shall be approved by the Commissioner of the Department of Revenue, the applicant shall file with the Department of Revenue a bond in the approximate sum of twice the average monthly excise tax estimated by the Commissioner of the Department of Revenue which will be due by the applicant; provided, that in no case shall the bond be less than $1,000 or more than $25,000, except as herein provided. The bond shall be in such form and amount as may be approved by the Commissioner of the Department of Revenue, shall be executed by a surety company licensed and duly authorized to do business in Alabama, shall be payable to the State of Alabama and shall be conditioned upon the prompt filing of true reports, the payment by the applicant to the Department of Revenue of any and all excise taxes accrued or accruing on the sale, distribution or withdrawal from storage of gasoline which may now or may hereafter be levied or imposed by the State of Alabama, together with all penalties and interest thereon and generally upon faithful compliance with the provisions of this article. In lieu of a guaranty bond, the applicant may post Alabama state coupon bonds or United States government coupon bonds, under such terms, rules, and regulations as may be approved by the Commissioner of the Department of Revenue.
(b) The commissioner may require a new or additional surety bond from a distributor if: (1) the commissioner determines that the surety on an existing bond is unsatisfactory; (2) a surety notifies the department that it intends to cancel a bond as provided in subsection (d); or (3) the commissioner, after reviewing the financial condition of the distributor, determines that the existing bond of the distributor is insufficient in amount to insure the prompt payment of all excise taxes that are due or may become due the state by the distributor upon the sale or withdrawal of gasoline. However, in no case shall a new or additional bond be more than the average monthly excise tax owed by the distributor.
(c) The department shall notify a distributor at his last known address by first class U.S. mail or, at the option of the department, certified mail, return receipt requested, that it is requiring such new or additional bond for any reason as provided above, and the distributor must, within 30 days from the date such notice is mailed by the department, either (1) file the new or additional bond as requested by the department, or (2) file a notice of appeal with the Administrative Law Division as allowed in Chapter 2A of Title 40. The department may immediately cancel the distributor's license upon the expiration of the 30-day period set out above if the distributor fails to either provide the new or additional bond requested by the department or timely appeal to the Administrative Law Division.
(d) Any surety on any existing bond furnished by a distributor may notify the department in writing of its intent to cancel the bond. The department shall immediately notify the distributor of the intent of the surety to cancel and the distributor shall have 30 days from the date such notice is mailed by the department to provide a sufficient replacement bond as requested by the department. The department may immediately cancel the distributor's license upon expiration of the 30-day period set out above if the distributor fails to either provide a new replacement bond as requested by the department or appeal the proposed revocation to the Administrative Law Division within the 30 days as allowed by Chapter 2A of this title. The surety requesting to be released shall remain liable for any liability already accrued or which shall accrue during the 30-day period set out above, but shall not be responsible for any liability which accrues after said 30-day period.
(Acts 1932, Ex. Sess., No. 55, p. 57, §5; Acts 1939, No. 608, p. 974, §1; Code 1940, T. 51, §670; Acts 1992, No. 92-186, p. 349, §26.)
(a) If the application shall be approved by the Commissioner of the Department of Revenue, the applicant shall file with the Department of Revenue a bond in the approximate sum of twice the average monthly excise tax estimated by the Commissioner of the Department of Revenue which will be due by the applicant; provided, that in no case shall the bond be less than $1,000 or more than $25,000, except as herein provided. The bond shall be in such form and amount as may be approved by the Commissioner of the Department of Revenue, shall be executed by a surety company licensed and duly authorized to do business in Alabama, shall be payable to the State of Alabama and shall be conditioned upon the prompt filing of true reports, the payment by the applicant to the Department of Revenue of any and all excise taxes accrued or accruing on the sale, distribution or withdrawal from storage of gasoline which may now or may hereafter be levied or imposed by the State of Alabama, together with all penalties and interest thereon and generally upon faithful compliance with the provisions of this article. In lieu of a guaranty bond, the applicant may post Alabama state coupon bonds or United States government coupon bonds, under such terms, rules, and regulations as may be approved by the Commissioner of the Department of Revenue.
(b) The commissioner may require a new or additional surety bond from a distributor if: (1) the commissioner determines that the surety on an existing bond is unsatisfactory; (2) a surety notifies the department that it intends to cancel a bond as provided in subsection (d); or (3) the commissioner, after reviewing the financial condition of the distributor, determines that the existing bond of the distributor is insufficient in amount to insure the prompt payment of all excise taxes that are due or may become due the state by the distributor upon the sale or withdrawal of gasoline. However, in no case shall a new or additional bond be more than the average monthly excise tax owed by the distributor.
(c) The department shall notify a distributor at his last known address by first class U.S. mail or, at the option of the department, certified mail, return receipt requested, that it is requiring such new or additional bond for any reason as provided above, and the distributor must, within 30 days from the date such notice is mailed by the department, either (1) file the new or additional bond as requested by the department, or (2) file a notice of appeal with the Administrative Law Division as allowed in Chapter 2A of Title 40. The department may immediately cancel the distributor's license upon the expiration of the 30-day period set out above if the distributor fails to either provide the new or additional bond requested by the department or timely appeal to the Administrative Law Division.
(d) Any surety on any existing bond furnished by a distributor may notify the department in writing of its intent to cancel the bond. The department shall immediately notify the distributor of the intent of the surety to cancel and the distributor shall have 30 days from the date such notice is mailed by the department to provide a sufficient replacement bond as requested by the department. The department may immediately cancel the distributor's license upon expiration of the 30-day period set out above if the distributor fails to either provide a new replacement bond as requested by the department or appeal the proposed revocation to the Administrative Law Division within the 30 days as allowed by Chapter 2A of this title. The surety requesting to be released shall remain liable for any liability already accrued or which shall accrue during the 30-day period set out above, but shall not be responsible for any liability which accrues after said 30-day period.
(Acts 1932, Ex. Sess., No. 55, p. 57, §5; Acts 1939, No. 608, p. 974, §1; Code 1940, T. 51, §670; Acts 1992, No. 92-186, p. 349, §26.)
(a) If the application shall be approved by the Commissioner of the Department of Revenue, the applicant shall file with the Department of Revenue a bond in the approximate sum of twice the average monthly excise tax estimated by the Commissioner of the Department of Revenue which will be due by the applicant; provided, that in no case shall the bond be less than $1,000 or more than $25,000, except as herein provided. The bond shall be in such form and amount as may be approved by the Commissioner of the Department of Revenue, shall be executed by a surety company licensed and duly authorized to do business in Alabama, shall be payable to the State of Alabama and shall be conditioned upon the prompt filing of true reports, the payment by the applicant to the Department of Revenue of any and all excise taxes accrued or accruing on the sale, distribution or withdrawal from storage of gasoline which may now or may hereafter be levied or imposed by the State of Alabama, together with all penalties and interest thereon and generally upon faithful compliance with the provisions of this article. In lieu of a guaranty bond, the applicant may post Alabama state coupon bonds or United States government coupon bonds, under such terms, rules, and regulations as may be approved by the Commissioner of the Department of Revenue.
(b) The commissioner may require a new or additional surety bond from a distributor if: (1) the commissioner determines that the surety on an existing bond is unsatisfactory; (2) a surety notifies the department that it intends to cancel a bond as provided in subsection (d); or (3) the commissioner, after reviewing the financial condition of the distributor, determines that the existing bond of the distributor is insufficient in amount to insure the prompt payment of all excise taxes that are due or may become due the state by the distributor upon the sale or withdrawal of gasoline. However, in no case shall a new or additional bond be more than the average monthly excise tax owed by the distributor.
(c) The department shall notify a distributor at his last known address by first class U.S. mail or, at the option of the department, certified mail, return receipt requested, that it is requiring such new or additional bond for any reason as provided above, and the distributor must, within 30 days from the date such notice is mailed by the department, either (1) file the new or additional bond as requested by the department, or (2) file a notice of appeal with the Administrative Law Division as allowed in Chapter 2A of Title 40. The department may immediately cancel the distributor's license upon the expiration of the 30-day period set out above if the distributor fails to either provide the new or additional bond requested by the department or timely appeal to the Administrative Law Division.
(d) Any surety on any existing bond furnished by a distributor may notify the department in writing of its intent to cancel the bond. The department shall immediately notify the distributor of the intent of the surety to cancel and the distributor shall have 30 days from the date such notice is mailed by the department to provide a sufficient replacement bond as requested by the department. The department may immediately cancel the distributor's license upon expiration of the 30-day period set out above if the distributor fails to either provide a new replacement bond as requested by the department or appeal the proposed revocation to the Administrative Law Division within the 30 days as allowed by Chapter 2A of this title. The surety requesting to be released shall remain liable for any liability already accrued or which shall accrue during the 30-day period set out above, but shall not be responsible for any liability which accrues after said 30-day period.
(Acts 1932, Ex. Sess., No. 55, p. 57, §5; Acts 1939, No. 608, p. 974, §1; Code 1940, T. 51, §670; Acts 1992, No. 92-186, p. 349, §26.)
