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Why is an Alabama Sales Tax Bond Required?
The purpose of the sales tax surety bond is to provide a limited guarantee that those in the business of selling at retail beer, wine or tobacco products in Alabama as defined in Title 40, Chapter 23, Article 260, Code of Alabama pay all sales taxes, penalties, interest and fees as required by the state. The sales tax surety bond also ensures prompt filing with the Alabama Department of Revenue true reports, as required by law and complies with the applicable provisions of Title 40, Chapter 23, Article 1, of the Code of Alabama.
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