Section R865-20T-5 - Bonding Requirements For Cigarette and Tobacco Products Dealers Pursuant to Utah Code Ann. Sections 59-14-210 and 59-14-301(1) Dealers who only sell tobacco products upon which the taxes imposed by this act have been paid by a previous seller are not required to post a bond.(2) Subject to Subsections (3) and (4), the commission shall calculate the amount of a bond required under Title 59, Chapter 14, Cigarette and Tobacco Tax and Licensing ("Chapter 14"), on the basis of:(a) for an applicant:(i) commission estimates of the applicant's tax liability under Chapter 14; and(ii) the amount of a tax owed under Chapter 14 by any of the following:(B) a fiduciary of the applicant; and(C) a person for which the applicant is required to collect, truthfully account for, and pay over a tax under Chapter 14; and(b) for a licensee: (i) commission estimates of the licensee's tax liability under Chapter 14; and(ii) the amount of a tax owed under Chapter 14 by any of the following: (B) a fiduciary of the licensee; and(C) a person for which the licensee is required to collect, truthfully account for, and pay over a tax under Chapter 14.(3) If the commission determines it is necessary to ensure compliance with Chapter 14, the commission may require a licensee to increase the amount of a bond filed with the commission.(4) A licensee that does not purchase cigarette stamps on credit may not make any single purchase of cigarette stamps that exceeds 90% of the amount of the bond the licensee has filed with the commission.Utah Admin. Code R865-20T-5