Maryland International Fuel Tax | International Fuel Tax Surety Bond

Type of Bond

A Maryland International Fuel Tax Agreement (IFTA) bond is a type of surety bond that may be required for motor carriers engaged in interstate fuel operations in the state of Maryland. It serves as a financial guarantee that the bonded motor carrier will comply with the IFTA regulations and accurately report and pay the fuel taxes owed to the participating jurisdictions. The purpose of the bond is to ensure that motor carriers fulfill their obligations related to fuel tax reporting and payment under the IFTA. It provides assurance that the bonded motor carrier will maintain accurate records of fuel purchases, mileage traveled, and fuel consumed in each participating jurisdiction. The bond helps protect the interests of the jurisdictions involved and prevents tax evasion or non-compliance by motor carriers. By obtaining the bond, the motor carrier agrees to adhere to the requirements set forth by the Maryland Comptroller of the Treasury or other relevant authorities. This includes filing timely fuel tax reports, remitting the appropriate tax payments to each jurisdiction, and maintaining proper documentation for auditing purposes. If the motor carrier fails to meet their obligations or violates the terms of the bond agreement, a claim can be filed against the bond. This allows the jurisdictions or regulatory bodies to seek financial compensation for any unpaid fuel taxes or non-compliance issues resulting from the motor carrier's actions. The bond amount for a Maryland IFTA bond is typically determined based on the state's requirements and may vary depending on factors such as the carrier's estimated fuel usage and the number of qualified vehicles in their fleet. Motor carriers should consult with the Maryland Comptroller of the Treasury or a surety bond provider to understand the specific bond amount and requirements applicable to their IFTA obligations.