North Dakota Century Code — Title 57 (Taxation)
N.D.C.C. § 57-43.2-07
Bond or letter of credit required
As a condition precedent to the issuance of a single or multiple license, a supplier, distributor, retailer, or importer shall furnish a surety bond, a cash bond, or an approved letter of credit as security to guarantee the payment of the special fuel taxes imposed by this chapter. A terminal operator or an exporter who is not also licensed as a supplier or distributor is exempt from this requirement.
# 1.
The surety bond, cash bond, or letter of credit must be in an amount prescribed by the commissioner but not less than one thousand dollars. If the commissioner requires a separate license for liquefied petroleum gases, a separate security is required for that license, and the surety bond, cash bond, or letter of credit must be in an amount prescribed by the commissioner but not less than five hundred dollars.
# 2.
The surety bond, cash bond, or letter of credit is subject to approval by the commissioner.
# 3.
After a single or multiple license has been in effect for five or more years, the commissioner may review the person's records and may waive the requirement for a security. The requirement for a security may be reinstated at the discretion of the commissioner.
# 4.
A surety bond or letter of credit provided as security must be kept in the custody of the commissioner and may be used by the commissioner, without notice to the principal, if it becomes necessary to cover the special fuel tax, penalties, and interest due.
# 5.
Money deposited with the commissioner as a cash bond must be made in the form of a cashier's check or bank money order payable to the commissioner. The money received must be paid by the commissioner to the state treasurer and credited by the treasurer into a special fund to be known as the motor fuel tax security trust fund. The money deposited may be used by the commissioner, without notice to the depositor, if it becomes necessary to cover tax, penalties, and interest due. If the money deposited is used to cover unpaid liabilities, the commissioner shall certify the information to the director of the office of management and budget. The office of management and budget shall transmit the money to the commissioner who shall apply as much of the money deposited by the person as is necessary to satisfy the liabilities. When in the commissioner's judgment it is no longer necessary to require the deposit to be maintained, the commissioner shall certify the information to the director of the office of management and budget who shall pay the unused money to the depositor.
Source: view the official PDF
In this chapter (40 sections)
- 57-43.2-01 · Definitions
- 57-43.2-02 · Tax imposed
- 57-43.2-02.1 · Additional special fuel tax
- 57-43.2-02.3 · Exemptions
- 57-43.2-02.4 · Special fuels tax exemption for hydrogen
- 57-43.2-03 · Special excise tax levied
- 57-43.2-03.1 · Dyed special fuel use by a city
- 57-43.2-04 · Tax chargeable to consumer
- 57-43.2-04.1 · Tax collection allowance
- 57-43.2-04.2 · Refund to prevent taxation by multiple jurisdictions
- 57-43.2-04.3 · Refund of tax on tax-exempt sales
- 57-43.2-04.4 · Credit for taxes paid on worthless accounts and refunds
- 57-43.2-04.5 · Refund - Emergency medical services operation - Fire…
- 57-43.2-04.6 · Refund of tax for fuel used for a refrigeration unit on…
- 57-43.2-06 · License, fee, and bond
- 57-43.2-07 · Bond or letter of credit required
- 57-43.2-07.1 · Qualification for exporter license
- 57-43.2-07.2 · Qualification for importer license
- 57-43.2-08 · Application for license - Issuance of license - Denial of…
- 57-43.2-09 · Revocation of license - Hearing to show cause -…
- 57-43.2-10 · Retention of records - Subject to inspection
- 57-43.2-11.1 · Report by terminal operator required
- 57-43.2-12 · Monthly returns and payments
- 57-43.2-13 · Presumption
- 57-43.2-14 · Commissioner to audit report and assess tax
- 57-43.2-14.1 · Determination if no report is filed
- 57-43.2-15 · Penalty and interest - Violations
- 57-43.2-16 · Determination if no return made
- 57-43.2-16.1 · Corporate officer liability
- 57-43.2-16.2 · Governor and manager liability
- 57-43.2-16.3 · Lien of tax - Collection - Action authorized
- 57-43.2-16.4 · Liability of a general partner in a limited liability…
- 57-43.2-17 · Fraudulent return
- 57-43.2-18 · Distribution of tax
- 57-43.2-19 · Transfer, deposit, and distribution of funds
- 57-43.2-20 · Erroneously or illegally collected taxes
- 57-43.2-21 · Inventory gains - Losses
- 57-43.2-22 · Administration - Assistance authorized - Rules
- 57-43.2-23 · Violations
- 57-43.2-24 · Penalties