Brewery / Distillery Permits & Licenses in Dallas, Texas

Required for all LLCs. Additional $25 for expedited processing.

File with SOS for statewide protection or county clerk for local.

For manufacturing malt beverages >500,000 barrels/year. Local approval required.

Required for non-Texas breweries distributing in state.

For distilling spirits. Requires TABC inspection and local approval.

Required for serving mixed beverages/tastings on premises.

Required under 27 CFR § 19.132 for all distilled spirits plants. The bond amount is typically $1,000 for small producers (under 10,000 proof gallons annually). Must be filed on TTB Form 5110.21. Exemptions exist for certain government entities.

All breweries/distilleries structured as LLCs must obtain an EIN from the IRS even if they have no employees. This is used for tax reporting and TTB permit applications.

Required for all breweries and distilleries producing alcohol for commercial sale. Form TTB F 5630.1c must be submitted. Approval includes formula approval (for flavored spirits) and label approval (COLA).

Required from city/county before TABC license approval.

All LLCs must file; "No Tax Due" if revenue < $2.47M (2024 threshold).

Required if selling directly to consumers.

All businesses selling taxable goods or services in Texas must register for sales tax. Breweries and distilleries selling directly to consumers (e.g., on-site sales, tasting rooms, or retail) must collect and remit sales tax on all taxable sales. Applies to both beer and spirits sold at retail. Registration is done via the Texas Comptroller's WebFile system.

All Texas LLCs, including breweries and distilleries, are subject to the franchise tax unless exempt. The tax is based on 'margin' (revenue minus cost of goods sold, compensation, or $1M deduction). Entities with annualized revenue under $2.47 million (as of 2024) are exempt from payment but must still file a 'No Tax Due' report.

Required for any brewery/distillery that withholds state income tax from employee wages. Texas does not have a state income tax, but this registration applies if the business withholds local taxes or is required for administrative tracking. Note: Texas does not impose a state personal income tax, so this primarily applies to administrative compliance if withholding occurs for other reasons (e.g., local taxes or multi-state operations).

All breweries and distilleries must register with the TTB and pay federal excise taxes on alcohol produced. Must file Form 5110.17. Excise tax rates vary: breweries pay $16–$18 per barrel (depending on volume), distilleries pay $2.70–$13.50 per proof gallon depending on sales volume and type. Monthly filing of Form 720 required.

Breweries and distilleries must file IRS Form 720 monthly to report and pay federal excise taxes. Small producers may qualify for reduced rates: breweries producing ≤ 2M barrels/year pay $16/barrel; distillers selling ≤ 100,000 proof gallons/year and not owned by large entities pay $2.70/proof gallon.

Employers with employees in Texas must register with TWC and pay state unemployment insurance tax. Applies to all employers with at least one employee. New employers typically pay 2.7% for the first 5 years, then rate adjusts based on claims history.

Many Texas cities (e.g., Austin, Fort Worth, San Antonio) impose a local business tax or franchise fee for operating within city limits. Requirements and costs vary significantly. For example, Austin imposes a Mixed Beverage Sales Tax on businesses selling alcohol, and some cities require annual permits for breweries/distilleries. Check with city clerk or finance department.

Cities and counties in Texas may impose a local mixed beverage tax on businesses selling alcoholic drinks for on-site consumption (e.g., taprooms, distillery tasting rooms). Rates vary; for example, Tarrant County imposes 2%, while others may charge up to 20%. Must be registered and remitted through the Texas Comptroller.

Required for breweries/distilleries involving space modification or public assembly; fire and building inspections prerequisite

Breweries/distilleries classified as H-3 occupancy; specific to Travis County/Austin

Specific Use Permit (SUP) often required for alcohol production; verify via county zoning map

Applies to brewery taproom/distillery signage in Dallas County; electronic signs extra fees

Must register with IRS as an alcohol producer using Form 637 and pay federal excise tax under the Alcohol Beverage Tax (26 U.S.C. § 5001). Filing via Form 720 or electronic funds transfer (EFT).

Required for all employers with employees. Includes hazard communication, machine guarding, lockout/tagout, and maintaining OSHA 300 logs if over 10 employees. Brewery-specific risks include fermentation tanks (confined spaces), pressurized systems, and forklifts.

Distillers adding non-grain-derived ingredients must submit formulas using TTB Form 5150.31. Beer recipes generally do not require pre-approval unless containing non-traditional additives.

Required for all beer and distilled spirits labels. Must include brand name, class/type, alcohol content, net contents, and responsible alcohol consumption statement. Submitted via TTB’s COLAs Online system.

Breweries and distilleries using large boilers, generators, or fuel storage may exceed threshold. Requires SPCC Plan certified by a professional engineer if above 10,000 gallons or history of spills.

Prohibits deceptive or misleading advertising (e.g., false "organic" claims, exaggerated health benefits). Must not target minors. Works in conjunction with TTB labeling rules.

All U.S. employers must complete Form I-9 for each employee to verify identity and work authorization. Not required for independent contractors.

Requires payment of federal minimum wage ($7.25/hr), overtime (1.5x regular rate after 40 hrs/week), and proper recordkeeping. Tip credits allowed under specific conditions.

Requires eligible employees (12 months, 1,250 hrs) to receive up to 12 weeks of unpaid, job-protected leave annually for qualifying events. Posting notice required.

Houston/Harris County specific; explosion risk from distillation emphasized

Harris County/Houston; mechanical/electrical/plumbing sub-permits required for brewing equipment

San Antonio/Bexar County; excludes pure production but applies if public consumption

Bexar County/San Antonio specific; required for barrel storage areas

Applies county-wide; distinguishes from all businesses (false alarm fees)

Common for brewery taprooms with live music; not for standard operations

Workers' comp is not mandatory for all employers in Texas, but if an employer chooses not to carry it, they must file a "Non-Election" notice with TDI. However, most breweries/distilleries with employees elect coverage due to liability exposure. Employers who do not carry coverage must post a notice informing employees of their rights.

While Texas does not legally mandate general liability insurance for all businesses, most commercial leases, local alcohol licensing authorities (e.g., TABC), and lenders require it. Strongly recommended for breweries/distilleries due to public access and event hosting.

Required for any vehicle used for business purposes, including beer delivery trucks. Minimum liability limits: $30,000 bodily injury per person, $60,000 per accident, $25,000 property damage. Higher limits may be required for larger vehicles.

TABC does not explicitly mandate liquor liability insurance by statute, but strongly recommends it. However, many local jurisdictions and third parties (e.g., event venues, distributors) require proof of coverage. Given the high risk of dram shop liability in Texas (under Alcoholic Beverage Code § 101.07), insurers and legal counsel universally recommend coverage.

Not legally required by Texas, but essential for breweries/distilleries due to risk of contamination, mislabeling, or allergic reactions. Often included in general liability policies. Required by distributors, retailers, and event organizers.

A surety bond is required as part of the TABC licensing process. The bond amount varies by license type (e.g., $1,000 for a Brewer’s License, up to $10,000 for larger operations). Ensures compliance with Texas Alcoholic Beverage Code. Bond must be issued by a TABC-approved surety.

Businesses registered for Texas sales tax must file returns based on assigned frequency (monthly, quarterly, or semi-annually). Due dates vary. The Comptroller assigns frequency based on volume. See Sales Tax Filing Requirements.

Breweries and distilleries must maintain detailed records of production, taxpaid removals, and inventory. Records must be retained for at least 3 years and be available for TTB inspection. Includes logs for fermentation, distillation, taxpaid withdrawals, and formula approvals.

Licensees must keep records of alcohol purchases, sales, and inventory for at least 2 years and allow TABC inspectors access during business hours. Includes maintaining delivery receipts, invoices, and internal logs.

The current TABC license must be visibly displayed at the main entrance or point of sale. Additionally, required TABC warning posters (e.g., “No Alcohol Sales to Minors”) must be posted in visible locations.

Requires physical access, reasonable modifications, and accessible digital content (e.g., website). Applies to all public-facing areas of brewery or distillery.

All domestic facilities manufacturing, processing, packing, or holding food for human consumption in the U.S. must register with FDA. Renewal every 2 years. Registration includes brewery/distillery operations.

Exporters must ensure foreign facilities are registered. Importers must provide "prior notice" of incoming shipments. Part of Food Safety Modernization Act (FSMA) framework.

Requires Safety Data Sheets (SDS), proper labeling, and employee training on chemical hazards. Common in breweries using caustic cleaners or CO2 in carbonation.

All Texas LLCs must file the PIR as part of the franchise tax report. Due annually by May 15. Even if no tax is owed (under the no-tax-due threshold of $2.47 million in annualized total revenue for 2024), the report must be filed. The Comptroller sends a reminder notice in early January.

Federal permits for breweries and distilleries (Brewer’s Notice or DSP permit) must be renewed annually by June 30. Renewal is automatic unless revoked; however, businesses must ensure all required forms and reports are current. Source: TTB Permit Renewal Guidelines.

All TABC licenses expire September 30 and must be renewed by that date. Renewal applications are available starting July 1. Failure to renew by September 30 results in automatic expiration. See TABC License Renewal page.

All employees who serve or sell alcohol must complete TABC-approved seller-server training. Certification is valid for 2 years. Employers must keep records of training for inspection. Applies to breweries with taprooms.

Breweries and distilleries must file Form 720 quarterly to report and pay Federal Excise Taxes on alcohol production. Due one month after end of each quarter (Q1: Jan–Mar → due April 30). See IRS Form 720 instructions.

The federal permit (Brewer’s Notice or DSP permit) must be posted and available for inspection at the principal place of business. Required under 27 CFR § 25.37 and § 19.37.

Employers with 11 or more employees must display the OSHA Job Safety and Health – It’s the Law poster. Available for free download from OSHA website.

Employers must post the Texas Payday Notice, which outlines employee rights to wages and frequency of payment. Available from TWC website.

Facilities using flammable materials (e.g., ethanol in distilleries, CO2 in breweries) may be subject to annual fire code inspections. Frequency and requirements vary by city. Example: Austin requires annual inspections for high-hazard occupancies.

If the brewery/distillery operates a kitchen or serves food, it must comply with local health code inspections. Frequency depends on food handling risk level. Inspections ensure compliance with sanitation, storage, and preparation standards.

Breweries and distilleries must submit Form 5110.17 (Report of Operations) by January 31 each year, summarizing annual production, taxpaid removals, and inventory. Required under 27 CFR § 25.154 and § 19.303.

Any product containing non-traditional ingredients (e.g., flavorings, sweeteners) must have an approved formula from TTB. Once approved, formula must be maintained and available for inspection. Changes require new submission.

Employers must file Form C-4 (Contribution Report) quarterly and pay unemployment taxes. Applies to businesses with one or more employees. Tax rate varies based on experience rating.

Employers must report and pay federal income tax withholding, Social Security, and Medicare taxes quarterly using Form 941. Due one month after end of each quarter.

Required if employer paid $1,500 or more in wages in any calendar quarter. Due January 31 following the year. Can be extended if deposit requirements are met.

TABC licenses for manufacturers (breweries and distilleries) are renewed annually. This includes compliance with Texas Alcoholic Beverage Code Chapter 10 and Occupations Code Chapter 61.