Issue link: http://read.dmtmag.com/i/52520
COMPLIANCE DIRECT-TO-CONSUMER SHIPPING LAWS FOR WINERIES State Does State Allow Shipping? If Yes Cost of Permit Listed. KY $100 per year (may be prorated) Only wineries producing 50,000 gallons or less eligible for permit -- Wine Institute recommends no shipments due to lack of carrier approval Does the Legal Amount State Collect Excise Tax? 2 cases per consumer Yes Does the State Collect Sales Tax? % Sales Tax Collected Yes Is Brand Registration Required? Is a Bond Required? Notes Restrictive Direct-to-consumer bill passed with capacity caps, 2 case limit. Effective 1/1/07.Difficulty identifying dry/wet areas NO COMMON CARRIERS LA $150.00 12 cases per year per adult Yes Yes 4.00% No No Wineries with a distributor in LA are able to obtain a permit, but are limited to brands not consigned to a LA wholesaler only. Volume limit increased 7/29/11 from 4 cases per person per year to 12 cases per person per year. Change from monthly to quarterly reporting periods 1/1/12 ME MD MA MI MN MS MO MT NE NV NH NJ NM NY NC Prohibited $50.00 2 cases per consumer per month $125.00 up to 36 cases per person per calendar year $0.00 2 cases per consumer per month Prohibited $0.00 2 cases per month per consumer consumer can apply for a Connoisseur's permit- Wine Institute recommends no shipments due to lack of carrier approval $500.00 $50.00 9 liters per consumer per month 12 cases per person per year $100.00 12 9-liter cases per calendar year per consumer $200 permit fee + $100 registration fee (Annual Renewal Fee is $50.00) $200.00 $100 Permit Fee - Due to lack of common carrier and consumer aggregate volume limit rules Wine Institute advises wineries not to ship. $100.00 $0.00 12 cases per address per year 18 cases per address per year "households" limited to a combined total of 26 cases per year from all direct shippers. 1500 cases per winery per year 2 cases per calendar year per consumer Yes Yes Yes Yes No na Yes Yes Yes Yes Yes No na No No No PERMIT REQUIRED AS OF 8/28/07. permit law replaced reciprocity. quantity limit increased from 2 cases per year to 2 cases per month. na na Yes Yes na na Yes Yes Yes Yes Yes Yes (Markup Tax instead of Sales or Excise Tax) na Yes (Gross Receipts Tax) Yes Yes 5.13% Determined by Address being shipped to (4% state tax plus local tax) Determined by Address being shipped to state and local tax paid (6.75- 7.25%) No No Brands must be registered. No fee is required. No No No Permit Fee was removed transitioned from reciprocity to permit. Permit legislation (SB445) effective 7/1/2011. Determined by Address being shipped to (5.5% State tax plus local taxes) Determined by Address being shipped to (6.35% state tax plus local tax) 8% markup tax The common carriers will not ship to consumer's with a MT connoisseur's permit. No Yes No No No No A $500 permit is required after 200 cases are shipped. Rules changed Jan.1, 2011. new $100 permit fee for wineries. Increased volume limit, no reports for months with zero activity Yes, 1 gallon 5.00% 9.00% Determined by Address being shipped to 6.00% Brands must registered, no fee required. No No No No Yes, $1000 Permit law effective Sept. 4, 2009 legislation allowing DTC effective 7/1/2011, permit and taxes required In 2010 First Circuit Court of Appeals in Boston ruled in favor the plaintiff in Massachusetts FWC v. Jenkins. Capacity caps and wholesaler exclusion struck. NO COMMON CARRIERS due to complex carrier licensing requirements Age Verification Required Federal On-Site Information current as of December 1, 2011 COMPLIANCE C-4 The 2012 Vineyard & Winery Management Winedex® www.vwm-online.com