sort by

Arizona DTC Change Opens State to Larger Wineries

Matthew Mann
Sep 11, 2016   |   Matthew Mann Recommended for:   Wine Shipping & Fulfillment, DTC Compliance
Arizona 1 Arizona 1

With the passage of SB 1381 in March, 2016, Arizona effectively expanded DTC shipping privileges to any U.S. winery holding a federal basic permit.  Previously, only small wineries producing less than 20,000 gallons annually were eligible for the direct shipper license.  That restriction will be removed completely, so the production size of the winery will no longer be an issue to getting the license.  The new law also eliminates the old “onsite” visitation requirement that permitted a shipment without a shipper license of up to 2 cases when a purchaser visited the winery tasting room.  The law requires the AZ LLC to begin issuing licenses by January 1, 2017.

The new law creates an interesting staggered volume limitation on shipments of 9-liter cases to purchasers, increasing each of the first three years from 6 cases in 2017; to 9 cases in 2018; to 12 cases in 2019 and beyond.

Arizona’s change to its DTC law is welcome and beneficial for everyone.  Large wineries may ship to Arizona consumers without a visit by the consumer; and of course that means large winery wines are now available to Arizona consumers.  The new volume limitations are generous enough that most Arizona consumers should be able to satisfy their desire for a particular favorite winery’s wines without overshooting the limit.  The state LLC and Department of Revenue should reap the accountability and tax benefits of providing a reasonable and rational direct shipment process that encourages producers to ship legally, and remit sales and excise taxes on those shipments.  This change is an excellent example of well-considered legislation designed for everyone’s best interests.

New Call-to-action

Find more resources from this category.

Winery Pos Software
The Best Winery POS Software for Your Business

The best winery POS software is one that offers you flexibility to go above and beyond for your guests.

Wine Club, Marketing, Tasting Room & Hospitality, DTC Compliance

Blog 744Px X 446Px Integrated Payments Carousel Refunds 1
Free Guide — How to Evaluate a New DTC Software Partner for Your Winery

A checklist of must-have features and recommended questions to ask as you go through the buying process.

Wine Club, Marketing, Tasting Room & Hospitality, DTC Compliance

How To Manage Special Requests 750X450
How to Manage Special Requests From Wine Club Members

When wine club members have unique needs, it's important to try to accommodate them. Here's how.

Wine Club, Wine Shipping & Fulfillment

This website stores cookies on your computer. These cookies are used to improve your website experience and provide more personalized services to you, both on this website and through other media. To find out more about the cookies we use, see our privacy policy.