What are the penalties for selling alcohol without a license?

Selling alcohol without a license not only violates the law but also poses serious risks to businesses and the community. Lack of a liquor license can result in heavy financial penalties, suspension of business operations, and loss of reputation in the marketplace. Being licensed to sell alcohol not only ensures compliance with legal regulations but also creates trust for customers and partners, helping to develop sustainable businesses.

In what cases is a liquor business required to apply for a license?

According to the provisions of Clause 1, Article 1 of Decree 105/2017/ND-CP, alcohol business includes activities of producing, importing, distributing, wholesaling, retailing alcohol and selling alcohol for on-site consumption.  Pursuant to Article 4 of Decree 105/2017/ND-CP amended by Clause 1, Article 16 of Decree 17/2020/ND-CP, the following cases are required to apply for a liquor business license:

• Industrial wine production traders: Industrial wine production facilities on an industrial scale, meeting technical standards and regulations.
• Traders producing handcrafted wine for business purposes: Establishments producing handcrafted wine for commercial purposes, meeting food safety conditions.
• Wine distributors: Businesses that distribute wine from manufacturers to wholesale and retail locations.
• Wholesale wine merchants: Businesses that buy wine from manufacturers or distributors to resell to retail merchants.
• Retail traders of alcohol with an alcohol content of 5.5 degrees or more: Stores, supermarkets, agents… sell wine with an alcohol content of 5.5 degrees or more to consumers.

Trading alcohol without a license in the above cases will be punished according to the provisions of law.

Penalties for selling alcohol without a license

Penalties for selling alcohol without a license are specified in Decree 98/2020/ND-CP on penalties for administrative violations in commercial activities. Specifically:

1. Violations of registration for selling alcohol with an alcohol content of 5.5 degrees or more for on-site consumption, trading alcohol with an alcohol content of less than 5.5 degrees, and producing handmade wine with an alcohol content of 5.5 degrees or more Sell ​​to establishments licensed to produce alcohol for reprocessing:

• Fine from 500,000 VND to 1,000,000 VND for the act of manually producing alcohol with an alcohol content of 5.5 degrees or more and selling it to an establishment with a license to produce alcohol for reprocessing without registering with the Committee. People at the commune level where the production facility is located.
• Fine from 1,000,000 VND to 3,000,000 VND for selling alcohol with an alcohol content of 5.5 degrees or more for on-site consumption or trading alcohol with an alcohol content of less than 5.5 degrees without registering with the Chamber. Economy or district-level Department of Economics and Infrastructure according to regulations.

2. A fine from 10,000,000 VND to 15,000,000 VND shall be imposed for the act of trading alcohol in a conditional business investment industry without a business license as prescribed.

Note: The above fine applies to individuals.  For organizations, the fine will be doubled as prescribed in Clause 4, Article 4 of Decree 98/2020/ND-CP amended at Point b, Clause 1, Article 3 of Decree 17/2022/ND-CP.

In addition, a business selling alcohol without a license may also be subject to additional penalties such as:

• Confiscation of evidence of violation (alcohol).
• Suspension of business operations.

Authority to penalize establishments that do not have a liquor business license

The authority to sanction administrative violations in the field of alcohol business belongs to the following agencies:

• Presidents of People’s Committees at all levels: Have the authority to sanction violations within the scope of their management.
• Market Management Team Leader: Has the authority to sanction violations in the commercial field, including alcohol business.

Service for applying for a liquor business license in Long Phan

Long Phan provides a comprehensive liquor business license application service, supporting customers from A to Z during the licensing process. Services include:

• Advice on licensing conditions and procedures.
• Instructions for preparing documents.
• Prepare a profile.
• Submit application and track results.
• Representing customers in working with authorities.
• Receive and return results to customers.

Benefits when using Long Phan’s services:

• Save time and costs.
• Ensure documents are valid and in accordance with regulations.
• Improve efficiency of licensing applications.
• Minimize risks.

Contact Long Phan today for detailed advice and service use.

>>> Reference: Full package liquor business license application service.

Selling alcohol without a license is a violation of the law and can result in heavy penalties. Customers need to comply with regulations and apply for full licensing before selling alcohol. Long Phan with a team of experienced experts is ready to assist customers in completing procedures, ensuring legal and effective business operations. Contact the hotline 0906735386 for detailed advice.