Distillery Tracker

Audit

Why ATO Audit Readiness Matters

Every Australian distillery, big or small is required to keep accurate, traceable and complete excise records. The ATO expects consistency, transparency and the ability to produce records quickly. Being audit‑ready isn’t about fear. It’s about confidence. Distillery Tracker helps you stay organised so you can focus on making great spirits, not paperwork.

What the ATO Looks For

When the ATO reviews a distillery, they typically check:

1. Production Records

  • Fermentations
  • Distillations
  • Cuts
  • Batch logs
  • Alcohol yield calculations

2. Stock Control

  • Bulk spirit volumes
  • Bottled stock
  • Losses and wastage
  • Transfers between vessels

3. Raw Materials

  • Grain, sugar, molasses, botanicals
  • Usage vs. output
  • Reasonable yield patterns

4. Movement Permissions

  • Spirit moved off‑site
  • Samples
  • Contract bottling
  • Storage locations

5. Excise Returns

  • Accuracy
  • Alignment with production
  • Alignment with stocktake

6. Sales & Dispatch

  • Bottles sold
  • Wholesale vs retail
  • Duty‑paid vs duty‑free
  • Reconciliation with production volumes

7. Utility Usage (Electricity & Water)

ATO Officers May Request

  • Electricity usage statements (monthly or quarterly)
  • Water usage statements
  • Any sub‑metering records (if you track brewhouse/still usage separately)
  • Evidence of unusual spikes or drops
  • Explanations for periods of high or low consumption

Why They Ask This

Utility data helps the ATO cross‑check:

  • Whether your production volumes are consistent with expected energy and water usage
  • Whether declared fermentations, distillations and yields align with real‑world inputs
  • Whether there are unreported production periods
  • Whether losses or inefficiencies are reasonable

This ties directly into their review of production records, raw material usage, and yield patterns

What You Must Be Able to Produce Quickly

ATO officers expect you to provide:

  • A clear production history
  • Vessel‑by‑vessel stock levels
  • Batch traceability
  • Movement records
  • Excise return summaries
  • Supporting documents (invoices, dispatch notes, etc.)
  • Electricity usage statements (to validate distillation activity)
  • Water usage statements (to validate mashing/fermentation activity)
  • Utility invoices or downloads from your provider portal
  • Any internal logs showing energy/water usage per batch or per run

These documents help demonstrate that your declared production aligns with your actual operational footprint. If you can produce these in minutes, you’re already ahead of most distilleries.

How to Know You’re Audit Ready

You’re in a strong position if you can answer YES to these:

  • I can show every batch from raw material → bottle.
  • I know exactly how much spirit is in each vessel.
  • I can explain losses and yield variations.
  • My excise returns match my production and stocktake.
  • I can produce all records within minutes.

If not, Distillery Tracker fixes that.