Starting January 1, 2017, if you are a TTB-permitted entity owing less than $50,000 in excise taxes in the previous year and expect to owe less than $50,000 in the current year on beer, distilled spirits, or wine, you will no longer be required to hold a bond.
Because the bond exemption does not go into effect until January 1, 2017, if you submit applications to operate breweries/brewpubs, distilled spirits plants, or wineries before that date, you must submit a bond with the application even if you expect to be eligible for the bond exemption when it goes into effect in 2017. Based on current processing times, it is not expected that any application received before January 1, 2017 will be processed before that date.
A new data field was added in Permits Online allowing you to indicate whether or not you expect to owe less than $50,000 in excise taxes in 2017. If so, you would be exempt from bond requirements. If you are confirmed to be eligible for the bond exemption, your application will be processed so that you can operate without a bond upon approval. Any bond-related materials will be returned to you when we take final action on the application.
If you applied to operate a brewery/brewpub, distilled spirits plant, or winery before the new field was added to Permits Online, but your application is not processed before January 1, 2017, we will work with you to determine if a bond will be required, and if not, we will return all bond-related materials to you.
Learn more about the elimination of bonds for small taxpayers.
