The enforcement and interpretation of various state laws for Direct-to-Consumer wine shipments continue to evolve. Following are three recent updates that wineries should be aware of.
Connecticut: Wineries of any size are eligible to apply for an Out-of- State Shippers Permit in CT. The cost of the permit is $250 and there is a $100 filing fee. Wineries producing 100,000 gallons a year or less that have an approved Out-of-State Shippers Permit are allowed self-distribution privileges in addition to shipping direct-to-consumers.
Georgia: Wineries shipping direct-to-consumers in Georgia are not required to pay sales tax, unless they have a nexus (an office or employees) within the state. The Special Order Direct Shipping License in GA does not trigger a sales tax requirement.
North Carolina: Wineries that have an approved Direct Shippers Permit for NC are allowed to ship direct-to-consumers throughout the entire state, including dry counties. Direct-to-consumer shipments are legal in the 4 dry counties because the transaction is not taking place outside of the restricted area.
South Carolina: Wineries who want to direct ship to SC must complete the Out-of-State Wine Shipper’s License (Form ABL-571). The application costs $600 and is good for two years. The license expires 8/31 during the even years so if you apply now renewal will not be required until 8/31/08. Wineries are NOT required to complete the Application for Producer of Beer and Wine Certificate of Registration and pay $400. However, wineries must still register with the SC Department of Revenue