Untangling the complex world of wine direct shipping and compliance

Vermont opens for direct wine shipment

May 13th, 2006
By Jeff Carroll - VP of Compliance, ShipCompliant

We love to see a purple state turn blue! Vermont officially moved from a prohibited state to a limited direct state on Thursday when Governor Jim Douglas signed into law S.58. In-state and out-of-state wineries can now apply for a $300 direct shipping license and ship up to 12 cases annually to Vermont consumers. Wineries will be required to file direct shipping, excise, and sales tax reports regularly.

The bill also establishes a $200 self-distribution license for in-state and out-of-state wineries. This establishes a means for wineries to “sell up to 2,000 gallons of vinous beverages a year directly to first or second class licensees” provided the winery ships “no more than 40 gallons of vinous beverages per month to any single first or second-class licensee.”
We’ll post more details as they become available…

6 Responses to “Vermont opens for direct wine shipment”

  1. Brent Stiffler says:

    Congrats to the VT legislators for writing up new wine shipping laws. Too bad very very few
    wineries will be able to afford the steep tariff. You may have passed laws that now comply with
    the Supreme Court ruling but you haven’t done justice to the people of VT. This is either a case
    greedy politician’s trying to raise more tax revenues or the wholesalers once again getting too
    close to our legislators. OUCH!

  2. [...] Mountain Toasts Vermont is now accepting wine shippments. While direct shipping is not as simple as calling to order your favorite bottle, the door is at least starting to open. (Ship Compliant) [...]

  3. JP Eastridge says:

    There must be a balance between wholesaler’s need to exist, and small wineries need to reach consumers. I think this may be a good compromise.
    If the cost seems too high for a winery to pay for access to consumers (and restaurants and retailers, it seems), maybe their business model needs adjusting. I think the amount traded to a wholesaler in exchange for distribution would at least equal the $500 annual cost, if not be worth several times that. If not, the winery may not want direct access.

  4. Tricia Houston says:

    I knew I should have stayed in Vermont. Well, this is a model we can take to the next legislative session in Kentucky and see if we can get some changes made to the present restrictive laws. Any move that can be made to open up concumer choice and wineries ability to reach out in their sales is a step in the right direction.

  5. [...] Vermont’s consumer direct legislation actually went into effect in May of this year, but this is the first time that a carrier has been approved to ship into Vermont. Licensed wineries can now officially begin shipping. The application requirements and license restrictions are spelled out pretty clearly in Vermont’s instructions on the permit application. In a nutshell, the permit costs $300, there are sales tax, excise tax, and reporting requirements, and a twelve case per calendar year per customer volume limit applies. [...]

  6. [...] channel: Tennessee is the first state to reverse its stance on direct shipments for wine since Vermont in 2006. The effective date of this legislation is less than a month away, however, there is no [...]

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