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Federal Distilled Spirits Bond

Also known as a TTB bond, a distilled spirits surety bond is a type of liquor license bond that can be required by both the federal government and the state of operation. The bond is often required as a guarantee to the state that distillers will pay all government and state taxes, which vary from state to state. The Alcohol and Tobacco Tax and Trade Bureau (TTB) is the regulatory agency that requires the bond of distillers and warehousers, and it is a prerequisite for proper licensing. If a distiller is convicted of tax fraud or a similar offense, a claim can be levied against the bond.

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