How do I calculate a sufficient bond for a medium AFP?
As stated in § 19.700, to find the required amount of a bond for a medium AFP, estimate the total proof gallons of spirits to be produced and received in a calendar year. The amount of the bond is $1,000 for each 10,000 proof gallons (or fraction), subject to a minimum of $2,000 and a maximum of $50,000. The following table provides some examples:
Medium alcohol fuel plant bond amounts
| More than | But not over | Amount of Bond |
|---|---|---|
| 10,000 | 20,000 | $ 2,000 |
| 20,000 | 30,000 | 3,000 |
| 90,000 | 100,000 | 10,000 |
| 190,000 | 200,000 | 20,000 |
| 490,000 | 500,000 | 50,000 |
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