A friend recently asked about this and contacted the ATO for more details.
This is their reply to his enquiry, he decided not to proceed:
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Thanks for your enquiry about selling your home brewed beer. Unfortunately it is not legal to sell home brewed beer commercially under any circumstances.
There are no fees for the licence itself, so the costs involved are in setting up the brewery to the standard required. We do not licence breweries in advance, so you will need to have all your equipment, records, security etc in place before you apply. It is therefore advisable to check state and local government regulations prior to applying to us for the licence. We usually will make a decision on your application within 28 days of receiving a complete application - however this means that all the attachments and other information have been provided in full when you apply. If the case officer needs you to provide further information, the 28 days begins only when we have received all the further information.
You may want to read other information available on our web-site here: Please also feel free to call us on 1300 137 290 (alcohol option) if you have any questions while working through the information above. This number will put you through to Licensing rather than the ATO generally. If you are requested to leave a message because we are all on calls, we will get back to you as soon as possible.
If you wish to sell commercially, even on a small scale, you will need to meet the requirements and be granted a manufacturer's licence for your brewery. The form is available here:
http://www.ato.gov.au/Forms/Licence-to-manufacture-alcohol/
Please also take a look at the requirements for record keeping for breweries, which are extensive:
http://www.ato.gov.au/Business/Excise/In-detail/Record-keeping/Record-keeping-and-related-requirements-for-breweries/
You should also take a look at the requirements for alcohol strength testing and alcohol volume testing:
Strength -
http://law.ato.gov.au/atolaw/view.htm?Docid=ELD/ED20091/00001
Volume -
http://law.ato.gov.au/atolaw/view.htm?Docid=ELD/ED20092/00001
You will also need to complete these background check forms:
Company (for the company holding the licence, as applicable) -
http://www.ato.gov.au/Forms/Consent-to-obtain-information---company/
Individual (for all the directors and senior managers of the company holding the licence) -
http://www.ato.gov.au/Forms/Consent-to-obtain-information---individual/
Criminal history check (for all staff who will have unsupervised access to the brewery and / or its records) -
http://www.ato.gov.au/Forms/Consent-to-criminal-history-record-check/
You can find the excise rates applicable to beer here (scroll down to the table): Please be aware they are reviewed and may change on the 1 Feb and 1 Aug each year.
Information on excise returns is here: Excise returns are usually processed within 48 hours, Monday to Friday, during business hours and excluding public holidays. Usually you will start on prepayment excise returns until you are familiar with excise requirements.