Alcohol Distributor Bond cost
If you act as a distributor of alcoholic beverages within the State of New York, you are required to post a surety bond. Distributor acts include:
- Importing beer or wine
- Storing beer or wine in a warehouse within NY and purchasing warehouse receipts
- Brewing, producing, distilling or manufacturing beer or wine
This specific bond type has a varying bond amount. This means that your bond amount is determined by the amount of alcohol you import, store or produce. To find out the bond amount you are mandated to post, contact the Department of Taxation and Finance.
Prior to contacting a surety expert, be sure to know your given bond amount. Providing this information can help speed up your bonding process and might lower your premium.
Bond amounts that exceed $10,000 are subject to underwriting, meaning that the premium of your bond is determined by the financial credentials of your credit report.
Why this bond
By posting a bond, the principal (distributor) guarantees to faithfully discharge all duties under Article 18 and any regulations dictated by the Department of Taxation and Finance. Furthermore, the principal promises to account for and pay all sums due to the Department.
Alcohol Distributor Bond details
All bonds will remain in full force unless canceled by the surety. If the surety chooses to cancel this bond, a written cancellation notice must be mailed to the Department of Taxation and Finance 30 days prior to the deemed cancellation date.
Become an alcoholic beverage distributor
All distributors of alcoholic beverages must be registered with the State of New York prior to doing business. To register with the state, file Form TP-215 and Form TP-229.
To be approved, you must be licensed by the State Liquor Authority and register as a sales tax vendor.
For additional information contact the Department of Taxation and Finance.
Apply for your surety bond
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