On January 1, 2008 the legislation replacing Oregon’s reciprocity law with a permit system for the sale and shipment of wine directly from wineries will become effective. The new law requires wineries have a Direct Shipper Permit, pay an annual license fee of $50 and maintain a bond of at least $1000. Wineries with approved Direct Shipper Permits may ship up to two nine liter cases per month directly to an Oregon resident who is at least 21 years of age, must pay excise taxes and file monthly reports with the Privilege Tax Department. Wineries will be mailed monthly report forms within in 30 days of being issued a permit. The permit application and instructions on how to apply for a bond are currently available on the Wine Institute website.
Wineries may also apply for an Oregon Self-Distribution permit at this time. Beginning January 1, 2008 Self-Distribution permit holders may ship directly to retailers in OR. In order to obtain the permit applicants must have an Oregon Certificate of Approval, pay a $100 fee and maintain a bond of at least $1000. There are additional reporting and tax requirements. More information about the Self-Distribution application process can be found on the OR Liquor Commission’s website.
Wineries applying for a Direct Shipper Permit and Self-Distribution Permit should keep the application processes separate. For example, an applicant will need to obtain one bond for the Direct Shipper permit and a second bond for the Self-Distribution permit.
Should you have any questions please contact Annie Bones in Wine Institute’s State Relations Department at abones@wineinstitute.org.