Form 56-100 · Obligee: State of Texas, through the Comptroller

Texas IFTA bonds,
issued fast — when the Comptroller requires security on your license.

If the Texas Comptroller has asked you to post a bond on your IFTA license, this is it. The amount is set by the Comptroller — Texas has no statutory formula. Bonds are "not generally required of first-time applicants" (Form 56-100); they come after late returns, unpaid tax or an audit problem.

  • Texas Continuous Bond for IFTA License
  • Covers every IFTA member jurisdiction
  • Houston-based agent, statewide
Who needs one

Who gets asked for an IFTA bond.

Most Texas IFTA licensees start without a bond. The Comptroller's bond form puts it plainly: "Bonds are not generally required of first-time applicants. A bond may be required, however, if an IFTA licensee has a history of not filing tax returns on time, not remitting tax due or other problems to indicate that a bond is required to protect the interests of all member jurisdictions and the state of Texas."

The IFTA Articles of Agreement, which every member jurisdiction follows, list the same main triggers (R340). Your base jurisdiction may require a bond for:

  • Late filing or late payment — failing to file quarterly IFTA returns on time, or to pay the tax due on time.
  • Audit problems — an audit that turns up problems serious enough that the commissioner decides a bond is needed to protect the member jurisdictions.

If that describes the letter on your desk, the Comptroller is not asking you to stop operating. It is asking for a guarantee before it keeps, issues or renews your license.

What it is

What is an IFTA bond?

A Texas IFTA bond is a surety bond that guarantees you will pay "all taxes including penalty, interest and costs accruing under the Agreement" — the International Fuel Tax Agreement. The Comptroller's form is the Texas Continuous Bond for International Fuel Tax Agreement License (Form 56-100).

Under IFTA, an interstate carrier files one quarterly fuel tax return with its base jurisdiction, and that jurisdiction collects and passes on the tax owed to every other member jurisdiction the trucks drove through. Texas is the base jurisdiction for carriers based here, and the Comptroller administers IFTA under its authority to enter fuel tax agreements with other jurisdictions (Tax Code §162.003(h)). So the bond protects the other member jurisdictions as well as Texas.

Three parties sign on. You are the principal — the IFTA licensee. The State of Texas, through the Comptroller, is the obligee the bond protects. The surety is the insurance company that issues the bond. If the tax goes unpaid, the surety pays and then collects that money back from you. It protects the jurisdictions, not your business.

Bond amount

What sets the bond amount.

The Texas Comptroller sets the IFTA bond amount case by case; no Texas statute sets a formula for it.

Form 56-100 says only that "The Texas State Comptroller will determine the required bond amount." Unlike the sales tax bond, which Tax Code §151.253(b) caps, or the motor fuels bond, which §162.111 sets at two times the tax that could accrue in a reporting period, the IFTA bond has no amount written into Texas law.

You will see formulas quoted on other sites, such as a multiple of quarterly tax with a minimum. They do not appear on the Texas form, so we do not print them. The amount in the Comptroller's request is the amount your bond must carry. If the request does not state one, call the Comptroller's fuels tax line at 800-252-1383, the number printed on the form.

What you pay

What sets your premium.

You do not pay the bond amount. You pay a premium to the surety, and that premium is set by credit underwriting.

The underwriter reads the amount the Comptroller set and the reason it asked. An IFTA bond is only required after a filing, payment or audit problem, so expect the underwriter to look at your fuel tax history alongside your personal and business credit. The bond is a new obligation each calendar year, so the premium is charged for each year it stays in force.

If your credit is bruised, apply anyway. Every file is underwritten on its own, and the soft credit pull does not affect your score. Get a quote online in a few minutes, or call (281) 484-8320.

Don't mix them up

IFTA bond vs. the motor fuels tax bond.

Both are Comptroller fuel tax bonds, and both get called a "fuel tax bond." They cover different businesses.

IFTA bondMotor fuels tax bond
Who posts itInterstate carriers licensed under IFTAFuel suppliers, distributors, importers, exporters and blenders
Form56-100AP-111
When requiredAfter late filing, late payment or audit problemsWhen the Comptroller decides security is needed to protect the State
AmountSet by the Comptroller; no statutory formulaTwo times the tax that could accrue in a reporting period, $30,000 to $600,000 (Tax Code §162.111)
ReleaseNot stated on the formFour consecutive compliant years, on request (§162.111(c))

If you sell or distribute fuel rather than burn it on the road, you are looking at the motor fuels bond. Call us and we will confirm which one your letter asks for.

How to get bonded

Four steps, starting from the Comptroller's request.

  1. 01

    Send the request

    Send us the Comptroller's request and your IFTA account details. The Comptroller sets the bond amount.

  2. 02

    Get a quote

    Apply online. A soft credit pull starts underwriting, and the premium is priced on the bond amount, your credit and your filing history.

  3. 03

    Sign and pay

    Sign the application and indemnity agreement and pay the premium. Approved bonds issue the same day.

  4. 04

    Mail Form 56-100

    The surety executes Form 56-100. Mail it to the Comptroller of Public Accounts, 111 E. 17th St., Austin, TX 78774-0100 — the address printed on the form.

Legal requirements

Statute, agreement, forms.

Why Surety Bond Houston

Keep the trucks licensed and moving.

Same-day issuance

Approved bonds issue the same day, so the bond is ready to mail as soon as you have it.

40+ years of combined experience

Our team has placed Texas surety bonds for decades. We read the Comptroller's request with you and make sure it is the IFTA bond, not the motor fuels bond.

Houston-local, Texas-wide

Houston runs on freight. We write for carriers off I-10, I-45 and the Port, and for Texas-based fleets everywhere in the state.

FAQ

Texas IFTA bond questions.

What is a Texas IFTA bond?

A continuous surety bond, filed on Comptroller Form 56-100, that guarantees an IFTA licensee will pay "all taxes including penalty, interest and costs accruing under the Agreement." Texas, as your base jurisdiction, collects fuel tax for every IFTA member jurisdiction you drive in, so the bond protects them as well as the State of Texas.

Do first-time IFTA applicants need a bond?

Generally, no. Form 56-100 says "Bonds are not generally required of first-time applicants." The Comptroller asks for one when a licensee has a history of late returns, unpaid tax or other problems. The IFTA Articles of Agreement (R340) also allow a bond when an audit turns up problems serious enough to put the member jurisdictions at risk.

How is the IFTA bond amount set?

The Comptroller sets it. Form 56-100 says "The Texas State Comptroller will determine the required bond amount," and no Texas statute sets a formula. Figures you may see elsewhere, such as a multiple of quarterly tax, do not appear on the Texas form. The amount in your Comptroller request is the one your bond must carry.

How much does an IFTA bond cost?

You pay a premium, not the bond amount. The premium is set by credit underwriting on the amount the Comptroller sets, your credit and your fuel tax filing history. Because the bond is a new obligation each calendar year, the premium is charged for each year it stays in force. A quote online takes a few minutes.

How long does an IFTA bond last?

It is continuous. Form 56-100 runs from calendar year to calendar year as a new obligation each year until the surety is released. The Comptroller may also demand a new bond when your IFTA license is issued or renewed.

Is the IFTA bond the same as a motor fuels tax bond?

No. The motor fuels tax bond (Form AP-111) is for fuel suppliers, distributors, importers, exporters and blenders licensed under Tax Code Chapter 162. It equals two times the tax that could accrue in a reporting period, from $30,000 to $600,000 (§162.111), and has a four-year release clock. The IFTA bond is for interstate carriers reporting the fuel their trucks burn.

Ready when you are

Get your Texas IFTA bond today.

Send us the Comptroller's request. Same-day issuance from a Houston agent.