A document preparer bond protects your customers and the state from financial harm in case of fraud or unlawful practices on your business’s part. Should a court uphold a claim filed against your bond, it will be used to pay out damages up to your bond amount. As the policyholder, you must then pay back that amount to the surety company.
Nevada law requires all document preparation service professionals to have a surety bond. The bond amount differs for individual sole proprietorships and companies of varying sizes.
|Company (2 to 25 registrants)||$50,000||$400-$500|
|Company (26 to 75 registrants)||$50,000||$600-$750|
* Cost can vary depending on the bond amount required and your credit rating
For highly qualified applicants, the annual premium for Nevada’s document preparation service bond is between 1% and 3% of the bond amount, on average.
The state made changes to Assembly Bill 280, effective May 25, 2019, that expanded what qualifies as a document preparation service. With those changes, the following professions fall within this category:
Because of the law change, this bond may be known by other names. Legal document assistants in Nevada may refer to this bond as an LDA surety bond. It may also be called a tax preparer bond, a bankruptcy petition preparer bond, an immigration assistant bond, or a document preparation service bond.
Properly bonding your document preparation service can be easy. For example, if your tax preparation company is looking to cover this bonding requirement for your tax preparer employees, we can provide a company-wide bond for as little as $400 to $750 per year.
Whether you need a bond for yourself or your company, simply follow these steps to meet Nevada’s surety bond requirement: