If a bonded brewery fails to pay taxes appropriately, the bond amount can be used to pay the owed taxes as well as any other fees that might accompany the unfulfilled payment.

The brewer's bond is the cost of admission. They are known by a number of names; alcohol tax bonds, liquor license bonds, ATF bonds, and TTB bonds, but they all perform the same function. Government agencies that regulate breweries require bonds to ensure all taxes are paid appropriately. A knowledgeable insurance provider can help you navigate the bonding process.