Form TTB F 5200.26 TTB F 5200.26 Tobacco Bond - Surety

OMB No. 1513-0103 (9/30/2008)

DEPARTMENT OF THE TREASURY
ALCOHOL AND TOBACCO TAX AND TRADE BUREAU (TTB)

TOBACCO BOND - SURETY
GENERAL INSTRUCTIONS
A. When must I complete and file this bond? The provisions of
26 U.S.C. Chapter 52 require a bond for a person who conducts
business as a manufacturer of tobacco products, proprietor of an
export warehouse, or manufacturer of cigarette papers and tubes.
This bond shows that you have a bond with a corporate surety and
that you and the corporate surety are responsible for the terms and
conditions of this bond. As an alternative, you may file a bond using
certain government obligations of the United States or forms of cash
on TTB F 5200.25, Tobacco Bond – Collateral.
B. What is a corporate surety? A corporate surety promises to pay
your liability incurred under this bond up to the amount stated on
this bond. The Secretary of the Treasury authorizes qualified
companies to give bonds and to act as corporate surety to protect
the revenue. You may find authorized corporate sureties in
Treasury Department Circular 570, available from the Surety Bond
Branch, Financial Management Service, Department of the
Treasury, Washington, DC 20220 or at http://www.fms.treas.gov .
C. May I use more than one corporate surety? We prefer that you
not use more than one corporate surety. However, if you use more
than one corporate surety, you and the corporate sureties must
modify this bond. The modifications include additions and
modifications to the terms and conditions of this bond. You should
contact TTB before you submit this bond with more than one
corporate surety.
D. Where can I get assistance with this form? Contact a specialist
at the National Revenue Center by phone at 1-877-882-3277 or

1-513-684-6882, by fax at 1-513-684-2226, or send an e-mail to
[email protected] or [email protected] . Please
visit our website at http://www.ttb.gov/tobacco/index.htm for
additional information.
E. How do I make corrections to the bond if I make a mistake? If
you or the corporate surety make any alteration or erasure to this
bond, you and the corporate surety must identify, initial, and date the
correction.
F. May I submit this bond on more than one sheet? We prefer that
you submit this bond on a single sheet. However, if that is not
possible, put your employer identification number and TTB permit
number (if assigned) on any additional sheets.
G. Must I submit two copies and must each copy have original
signatures? You must submit two identical copies of this bond and
all individuals required to sign the bonds must sign them in ink. If
we approve the bonds, we will keep one copy and return the other
copy to you for your records.
H. Where do I send this bond? Send both signed copies of the bond
and necessary attachments to:
TTB, National Revenue Center
550 Main St
Ste 8002
Cincinnati, OH 45202-5215

STEP BY STEP INSTRUCTIONS
Item 1: What Is my business's legal name?

If your business is a:

Your legal name is:

Sole proprietorship

Your full name
The name of each partner, or the name
of the partnership as filed with a State
or local government

Partnership

Corporation, association,
The name as stated on your documents
limited liability company, or
filed with a State or local government
other business
Item 2: What is my Employer Identification Number (EIN)? This is
the nine-digit number that the Internal Revenue Service assigns to
your business. If you do not have an EIN, you must obtain one from
the Internal Revenue Service (IRS). Use an IRS Form SS-4 and
follow instructions on the form to apply for an EIN.

Bond for:
One factory of a
manufacturer of
tobacco
products cont.
More than one
factory of a
manufacturer
of tobacco
products
(blanket bond)

Item 3: What is my premises address? This is the address where
your factory(ies) is(are) located.
Item 4: What type of business do I operate? Check the box next to
the description that corresponds to your type of operation.
Item 5: What is my TTB permit number for this business? DO
NOT complete this item if you do not know the TTB permit number
assigned to your business as a manufac turer of tobacco products,
manufacturer of cigarette papers and tubes, or export warehouse
proprietor. Only a manufacturer of tobacco products who has more
than one factory may enter more than one TTB permit number.

Dollar ($) amount

One factory of a Minimum: $1,000 Maximum: $250,000 when
manufacturer of manufacturing and/or receiving in bond:
tobacco
• Cigarettes; or
products
• Any combination of tobacco products.

TTB F 5200.26 (/200)

1) Determine the amount for each factory as
described above, AND
2) If the total amount for all the factories is:
• $250,000 or less, then the total amount of the
bond will be the total for all the factories.
•

More than $250,000 but not more than
$500,000, then $250,000 plus 50 percent of
the total amount exceeding $250,000.

•

More than $500,000, then $375,000 plus 25
percent of the total amount exceeding
$500,000.

Proprietor of
export
warehouse

Minimum: $1,000 Maximum: $200,000
Estimated amount of tax at any time that may
constitute a charge against the bond. This includes
the amount of tax on tobacco products and cigarette
papers and tubes at your export warehouse.
Also, include the amount of tax on tobacco products
and cigarette papers and tubes for which satisfactory
evidence of exportation has not been received by
TTB.

Manufacturer
of cigarette
papers and
tubes

Minimum: $1,000 Maximum: $20,000
Bond must equal or exceed the maximum tax liability
for the total amount of cigarette papers and tubes
manufactured and received in bond during any
calendar month.

Item 6: How do I determine the bond amount?

Bond for:

Dollar ($) amount
Maximum: $150,000 when manufacturing and/or
receiving in bond only one type of tobacco product
except cigarettes.

PREVIOUS EDITIONS OF FORM 5220.5 ARE OBSOLETE

OMB No. 1513-0103 (9/30/2008)
Item 7: What is the effective date of this bond? If this is your original
bond, this is the date on which or before you begin operating your
business. You must have an approved bond before you can operate.
You may not operate before this date.
If this is a strengthening bond, this is the date the coverage is
effective.
If this is a superseding bond, this date should be on or before the date
your current bond is terminated.

If your business
is a:
Partnership

Item 8: What is the Corporate Surety name? This is the name of the
company providing the bond coverage for your business.
Item 9: What does my bond cover? If you only have one location,
select an individual bond. A blanket bond may only be filed by a
manufacturer of tobacco products who has more than one factory with
an assigned permit number covered by the bond.
Item 10: What type of bond do I file?
• You file an original bond when you start or acquire a business to
operate a tobacco products or cigarette papers and tubes factory, or
an export warehouse.
• You file a strengthening bond to add more coverage to your
existing bond.
• You file a superseding bond to replace your previous bond(s) or to
change the collateral filed with your bond.
Item 11a: Must I provide a date when I sign the bond? Yes, the date
on the bond form is the date you and the surety company sign the
bond agreeing to the terms of the bond.
Items 11b:

Sole proprietorship

a. Each partner; OR
b. The partner who has been given
the authority to sign by the Articles
of Partnership or similar
agreement of all the partners that
you have filed with your application
for a TTB permit; OR
c. An individual for whom you have
filed TTB F 5000.8, Power of
Attorney, that grants the authority
to sign this bond.
a. An officer who has authority by the
business documents that you have
filed with your TTB application for
a TTB permit; OR
b. An individual for whom you have
filed TTB F 5000.8, Power of
Attorney, that grants the authority
to sign this bond.

Item 11c: How must the corporate surety sign this form? An
authorized individual must sign for the corporate surety, in item 11c,
and affix the corporate surety's seal in the area below Item 11e. Also,
the corporate surety must attach a power of attorney authorizing the
individual who signs on its behalf.
The Power of Attorney Certification date must be the same or later
than the date the bond is signed.

How do I sign this bond?

If your business
is a:

Corporation,
association, limited
liability company
or other business

Signature:

Signature:
a. Your full name; OR
b. An individual for whom you have
filed TTB F 5000.8, Power of
Attorney, that grants the authority
to sign this bond.

Item 11d. Do I need a seal? If your business is a corporation,
association, or other business, you may have a seal. A seal is adopted
and used by a business for authenticating its corporate acts and
executing legal instruments. If your business has a seal, affix it on the
form in the area below Item 11d.
Item 11f. When do I need two witnesses and what must they do? If
your business has no seal, two witnesses must sign and testify to the
fact that you signed the bond in their presence.

PAPERWORK REDUCTION ACT NOTICE
This request is in accordance with the Paperwork Reduction Act of 1995. We use this information to determine whether you are qualified to operate as a
manufacturer of tobacco products, an export warehouse proprietor, or a manufacturer of cigarette papers and tubes. We must identify you as the manufacturer
or proprietor, the corporate surety, and the penal sum of the bond. The information we request is required for you to obtain a benefit and is mandatory by law
(26 U.S.C. § 5711).
We estimate the average burden associated with this collection to be 1 hour and 40 minutes per manufacturer or proprietor, depending on individual
circumstances. Address your comments concerning the accuracy of this burden and suggestions to reduce this burden to: Reports Management
Officer, Regulations and Rulings Division, Alcohol and Tobacco Tax and Trade Bureau, Washington, DC 20220.
An agency may not conduct or sponsor, and you are not required to respond to, a collection of information unless it displays a current, valid OMB control
number.
PRIVACY ACT INFORMATION
We provide this information to comply with Section 3 of the Privacy Act of 1974 (5 U.S.C. 552a(e)(3)):
1. What is TTB's authority to ask for this information? We require this information under the authority of 26 U.S.C. 5711. You must disclose this
information to obtain authority to conduct manufacturing or export warehousing operations.
2. What is the purpose of this information collection? You provide this information to give us a bond for your compliance with requirements to
establish a factory or warehouse, so that we may identify you as a manufacturer or proprietor, and to identify your surety company.
3. How does TTB routinely use this information? We use this information to make determinations for the purposes described in paragraph 2. Also, we
may disclose the information to other Federal, State, foreign, and local law enforcement and regulatory agency personnel to verify information on the
form where such disclosure is not prohibited by law. We may disclose the information to the Justice Department if it appears that the furnishing of false
information may constitute a violation of Federal law. Finally, we may disclose the information to members of the public in order to verify information on
the form where such disclosure is not prohibited by law.
4. What is the effect of my not supplying the information TTB requests? If you fail to supply complete information, then we will delay processing
and may disapprove your bond and pending application(s).
PREVIOUS EDITIONS OF FORM 5220.5 ARE OBSOLETE

TTB F 5200.26 (12/2007)

OMB No. 1513-0103 (9/30/2008)

DEPARTMENT OF THE TREASURY
ALCOHOL AND TOBACCO TAX AND TRADE BUREAU (TTB)

TOBACCO BOND - SURETY
(Please read instructions carefully.)
1.

My business's legal name is:

3.

My premises address is:

2. My Employer Identification Number (EIN) is:

4. My business for this bond is (check one box only):
Manufacturer of Tobacco Products
Export Warehouse Proprietor
Manufacturer of Cigarette Papers and Tubes

5.

My TTB permit number for this business is:

6. The amount of this bond is:

7.

The effective date of this bond is:

8.

9.

This bond is (check one box only):

10. This bond is (check one box only):

$
The name of the corporate surety is :

An individual bond

Original

Strengthening

Superseding

A blanket bond (6HH,WHP,QVWUXFWLRQ)
11a. We agree to all terms and conditions of the bond as listed on page 2 of this form (read statements on this form).
We witness our hands and seals this

day of

,

Signed, sealed, and delivered in the presence of –
11b. Signature for my business:

11c. Signature for Corporate Surety :

Printed Name and Title:

Printed Name and Title:

11d. Affix Business Seal:

11e. Affix Surety Seal:

(Business Seal)

(Surety Seal)

No Business Seal (Check box and complete 11f.):

11f. Witnesses:

Signature 1:

Signature 2:

Printed Name 1:

Printed Name 2:

FOR TTB USE ONLY
On behalf of the United States of America, I approve and accept this bond.

12a.

12b.
Authorized TTB Official (Signature and Title)

TTB F 5200.26 (12/2007)

Date Approved
PREVIOUS EDITIONS OF FORM 5220.5 ARE OBSOLETE

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OMB No. 1513-0103 (9/30/2008)

Terms and Conditions of this Bond
1. Premises: The person who is engaged, or intends to engage, in a business as a manufacturer of tobacco products, an export warehouse proprietor,
or a manufacturer of cigarette papers and tubes is identified in items 1 through 5. Item 3 identifies the premises where such person is engaged, or
intends to engage, in business as a manufacturer or an export warehouse proprietor. We, the manufacturer of tobacco products, export warehouse
proprietor, or manufacturer of cigarette papers and tubes, and the corporate surety, stated in item 8 on this bond promise to pay the amount of this
bond in lawful money of the United States to the United States of America. This bond firmly binds us individually, our heirs, executors, administrators,
successors, and assigns.
2. Effectiveness of this bond: This bond is effective when TTB accepts this bond and is effective without notice to me. The effective date of this bond
is the date stated in item 7 of this bond; however, if no date is listed on the front of the bond, the date of execution in item 11a will be the effective
date.
3. Liability: I, as the person who is engaged, or intends to engage, in the business as a manufacturer of tobacco products, an export warehouse
proprietor, or a manufacturer of cigarette papers and tubes, agree to pay the taxes, including penalties and interest, for which I become liable to the
United States under Chapter 52 or Section 7652 of Title 26 of the United States Code and promulgating regulations. Until such payments have been
made, this bond remains in full force and effect for the business identified in items 1 through 5 of this form. Furthermore, I agree that an installment
agreement to pay such taxes between the United States and myself does not affect the United States' ability to pursue remedies against me under
this bond.
4. Compliance: If I or the corporate surety do not comply faithfully in all respects with such laws and regulations identified in the above paragraph, this
bond remains in full force and effect for the business identified in items 1 through 5 of this form.
5. Changes while bond is in effect: As a manufacturer of tobacco products or an export warehouse proprietor, I agree that this bond extends and
applies to any change that requires me to file an application for a new or amended permit. As a manufacturer of cigarette papers and tubes, I agree
that this bond extends and applies to any change which would require me to file an extension of coverage of bond, which would include a change in
location.
6. United States action: If I or the corporate surety breach any condition of this bond, the United States may pursue remedies against me and/or the
corporate surety. I and the corporate surety waive any right or privilege that the United States must first start an action or otherwise exhaust its
remedies against either me or the corporate surety before pursuing such remedies.
7. Relief of corporate surety: TTB may relieve a corporate surety from liability under this bond if the corporate surety complies with the applicable
regulations; however, the corporate surety remains liable for any obligations incurred before the date that TTB relieves the corporate surety in writing
from liability under the bond. The surety may at any time give notice in writing to the principal and to TTB that it desires to be relieved as to any
future liability incurred by the principal. The notice must be executed for the surety by an authorized officer or by an empowered attorney-in-fact.
The notice must be accompanied by proof of service on the principal. The bond must be terminated as to future liability upon the expiration of 90
days after the date on which TTB acknowledges in writing to the surety that TTB has received proof that the principal has been properly notified.
The surety must not be liable for any obligations that the principal incurs on and after the termination date of the bond. After the bond is terminated,
the surety must remain bound with respect to any liability for unpaid taxes, penalties and interest, not in excess of the amount of this bond, incurred
by the principal prior to the termination date of this bond.

Complete if your bond is submitted on two separate pages:
My business’s legal name in item 1 is:
My TTB Permit Number in item 5 is:
My Employer Identification Number (EIN) in item 2 is:
The Execution Date in item 11a of this bond is:

PREVIOUS EDITIONS OF FORM 5220.5 ARE OBSOLETE

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TTB F 5200.26 (12/2007)