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Michigan tobacco products bonds.
From $100.

The bond a Michigan tobacco wholesaler or unclassified acquirer files with the Department of Treasury under the Tobacco Products Tax Act. Treasury sets the amount — generally no more than your 3-month tax liability — and the price is 1% of the bond amount, $100 minimum.

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Required for a MI tobacco wholesaler or unclassified acquirer license under the Tobacco Products Tax Act
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Amount set by Treasury — not more than your anticipated 3-month tax liability — so it scales with your volume
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1% of the bond amount, $100 minimum — exact price in the on-page calculator
1% of amount$100 minimum, priced by the calculatorFastinstant underwritingNo SSNin the application
Trusted by industry leaders
New York City Economic Development Corporation (NYCEDC)
Blumenfeld Development Group (BDG)
Capital Development Partners
McKinney Properties
Terra Capital
JLL (Jones Lang LaSalle)
Triple Five Group
The Georgetown Company
New York City Economic Development Corporation (NYCEDC)
Blumenfeld Development Group (BDG)
Capital Development Partners
McKinney Properties
Terra Capital
JLL (Jones Lang LaSalle)
Triple Five Group
The Georgetown Company
How it works

Three steps. One sitting.

No underwriting queue for the standard tobacco bond — enter your amount, pay, and file with the Department of Treasury. Here is the whole thing:

TODAY · ONLINE

Apply online

Your business details, the bond amount Treasury required, and the effective date — that is the entire application.

INSTANTLY

Issued on the spot

The application collects no credit information, and no waiting — the executed bond is generated as soon as you pay. Larger amounts may get a quick review.

SAME DAY

File with the Department of Treasury

Submit the executed bond with your tobacco products license application. Wet-ink originals mailed whenever the state insists.

About this bond

What it is and who needs it.

What the tobacco bond actually covers

Michigan licenses tobacco wholesalers and unclassified acquirers through the Department of Treasury under the Tobacco Products Tax Act (Act 327 of 1993). A wholesaler stamps and distributes tobacco products and owes tax to the state; an unclassified acquirer imports or acquires product from a source other than a licensed wholesaler. Both can be required to post a bond securing the tax.

The bond stands behind the tobacco tax the licensee collects or owes. Treasury sets the amount — generally not more than the applicant's anticipated 3-month tax liability — so a high-volume distributor posts more than a small acquirer. If your volume changes, Treasury can adjust the required amount.

If the licensee fails to remit tax and the surety pays Treasury, the licensee repays the surety — it is not insurance for the business. Whatever amount Treasury named, we issue the bond with premiums starting from $100 and no credit fields in the application.

Tobacco Products Tax Act (Act 327 of 1993)Michigan licenses tobacco wholesalers and unclassified acquirers under the Tobacco Products Tax Act (Act 327 of 1993, MCL 205.421 et seq.), administered by the Department of Treasury. When a bond is required, Treasury sets the amount, generally not more than the applicant's anticipated 3-month tax liability. Confirm your required amount on your Treasury application or notice.

You need this bond if you are

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Applying for a MI tobacco wholesaler license through the Department of Treasury
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Licensing as an unclassified acquirer importing tobacco from a non-licensed source
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Renewing a tobacco license that requires a surety bond
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Changing your volume and filing a replacement bond for the new Treasury-set amount

One application, issued on the spot.

Submit the application with your required bond amount — the executed bond is generated instantly, ready to file with the Department of Treasury.

Start the application →
FAQ

Common questions.

How much is the Michigan tobacco bond?The premium is 1% of the bond amount, $100 minimum — priced by the amount, not a credit or underwriting tier. The bond amount itself is set by the Department of Treasury — generally not more than your anticipated 3-month tobacco tax liability, so it scales with your volume. Enter that figure and apply to see your exact price.
Who needs this bond?Tobacco wholesalers and unclassified acquirers licensed by the Department of Treasury under the Tobacco Products Tax Act. An unclassified acquirer imports or acquires product from a source other than a licensed Michigan wholesaler.
Is there a credit check?The application collects no credit information, and most applications approve instantly. Larger bond amounts may get a quick soft-pull review, which never affects your credit score.
What does the bond guarantee?It backs the tobacco tax the licensee collects or owes. If the licensee fails to remit and the surety pays Treasury, the licensee repays the surety.
What amount should I enter if I'm not sure?Use the figure on your Treasury application or notice — generally not more than your anticipated 3-month tax liability. If you have not been given a number yet, send us your situation and we will confirm.
Which A-rated carriers underwrite these bonds?Typically Arch Insurance Company (A.M. Best A+) or Nationwide Mutual Insurance Company (A.M. Best A). Which one writes your bond depends on the bond type and your state. The carrier's name and official signature are printed on the bond you receive.
How do I contact Light RFP about this bond?Email insurance@lightrfp.com. It reaches the bond team at Light RFP Risk Management Services LLC (NY DFS License # PC-1978982). Write to us about quotes, applications, bond forms or certificates. We will respond within 24 hours.
Related bonds

Other Michigan bonds.

Tobacco bond, issued today.

Premiums from $100. Enter the amount Treasury required and file the same day.

Your premiumfrom $100
Apply now →