Alcohol Fuel Plant Records - Mountain Moonshine

Bond, TTB F 5110.56• Required for Medium and LargeAFPs• Bond protects the Governmentagainst default• Principal and surety are jointlyand severally liable• Regulations provide details oncomputing bond amounts (penalsums)• Surety bonds must be given withapproved sureties, as listed inTreasury Circular 570• Government securities maybe pledged and depositedin lieu of corporate surety• AFP bond amount is basedon annual production andreceipts• Although small AFPs don’tneed bonds, they do needpermits27 CFR 19.955 – 19.959