Bond the entire premise?

[Guest Bobcat Hill]

Is there any reason NOT to bond the entire premise? It seems bonding the entire area would eliminate many issue ...

[Curtis McMillan]

you can't bond gift shop and why would you waste the money to bond office area?

[Jedd Haas]

You also don't want to bond your tasting room. You have to take product "out of bond" in order to serve it to your visitors.

[bluestar]

Technically, you are not supposed to have anything in the bonded premise that are not activities needed to be conducted in bond. In particular, they would object to any regular access of the public in the normal course of business, including for general deliveries, sales, tasting, even using the bathroom! Also, your local code requirements may necessitate a separation of what is done in the bonded premises and what is done in the general premises, since the requirements for manufacture may conflict with that for service or retail sales. On the other hand, keep in mind that sometimes the bonded and general premises are not all physically isolated, just delimited. If you aren't sure, you might find your TTB field rep is willing to take a preliminary look and provide feedback on what you plan to do (mine did). Also remember the TTB has to have the ability to lock out the bonded area if necessary.

[Scott @ Twenty2Vodka]

we filed our first version of the fed license with the intent of bonding the nice rectangle our shop and offices made. Then on the advice of the TTB agent during one of the interviews, we modified it to include only what is technically the "shop". I forget the reasons exactly, but they made sense when a government employee explained them, so they can't be that bad. All in the name of the "protection of the revenue".

[bluestar]

Just finalizing our premise layout with TTB, moments away from getting our permit! The last issue was a detail on the premises, and the following was made clear: no retail sales or tasting is allowed in bonded premises OR general premises, that is, in the DSP proper. You can provide a physical separation of your retail space from your DSP with a secured access, but you can not have to cross the DSP in order to get access to other public ways (rest rooms, exit, etc.). On the other hand, there is no reason you have to have a general premises. You could have a bonded premise adjacent to a separated retail space. BUT, a retail space can not be used to hold any taxed spirits for wholesale, and a bonded premises can not be used to hold taxed spirits. So, if you want a place to hold taxed spirits for wholesale (including returns) you need a general premises. And don't forget, the DSP must have a direct exterior entrance (not through the retail or other public space).

YMMV

[Ralph at Tuthilltown]

There is a difference when it comes to what the TTB considers the bonded premises and what your insurance man bonds. Our bonded premises for the insurance company purpose is our entire premises, land and all buildings. But from the TTB and the NYS SLA viewpoints only those areas which hold tax-unpaid goods are the bonded premises.

The question of public access to bonded premises may be a State regulatory issue. In either case, Federal or State, there is no prohibition we know of which prevents public access on a conducted tour, or nearly every one of the new distillers would be in violation, since many (us included) run guided tours of the distillery and bottling room, both of which are considered part of the bonded premises. Check with your State Alcohol bureau. In some cases the laying down of simple demarcation tape on the floor is sufficient to demise the bonded from unbonded spaces in a building, and signs or a rail or chain across access points telling visitors where they may not go are sufficient. But it is true that you must not mingle "tax paid" with "tax un-paid" spirits in any space.