Last Updated: February 25, 2018

Permit

DTC Permit
  • Required:Yes
  • Fee:$175 – $225 (Series 17W)
  • Expiration:Feb. 28th of each year

Sales Tax

  • Required:Yes
  • State:5.60%
  • Local:Yes
  • Tax on Shipping:No

Excise Tax

  • Required:Yes
  • Wine: $.84/gal

Volume Limit

The amount of wine that can be shipped per person, per winery holding a 17W DTC License, per year is phased in over three years:
  • 6 cases through 2017
  • 9 cases in 2018
  • 12 cases beginning in 2019 and thereafter

Reporting

Reporting Requirements
  • Required: Yes
  • Sales Tax: Monthly by the 20th
  • Excise Tax: Monthly by the 20th
  • Direct Shipment: Annually by Jan 31st
  • Record Retention: At least 2 years

Product Requirements

Product Restrictions
  • ONLY wines produced by the permittee may be sold and shipped to consumers

Additional Information

On March 31, 2016 Arizona enacted legislation, SB 1381 – removing the winery visitation requirement and opening shipping to wineries of all sizes. The new law provides for limited, regulated, tax-paid wine shipping by wineries in the United States that obtain a DTC (series 17W) license. The new law does not impact wineries producing not more than 20,000 gallons of wine annually that hold Out-of-State Farm Winery licensees. The renewal period for 17W licenses is Feb. 1 to Feb. 28th.

  • The amount of wine that can be shipped per 17W license holder per person, per year, is phased in over three years: 6 cases through 2017; 9 cases in 2018; and 12 cases beginning in 2019 and thereafter.
  • There is no limit on the amount of wine that an Out-of-State Farm Winery license holder producing up to 20,000 gallons of wine per year may ship to AZ consumers.
  • The Transaction Privilege Tax (TPT) rate is determined by the address being shipped to.
  • Some municipalities may charge a TPT license fee.
  • Out-of-State wineries only shipping to AZ consumers should not be required to obtain municipal business licenses.
  • Licensees must verify the age of the purchaser by using an Online Age Verification Service or obtaining a copy of the purchaser’s government issued photo ID.
  • Wine sold and shipped directly to a person must be shipped in containers that are conspicuously labeled with the words: “Contains alcohol: Signature of person 21 years of age or older required for delivery.”

Wineries that do not hold a 17W or Out-of-State Farm Winery license are prohibited from making on-site or off-site direct-to-consumer wine shipments into the State of Arizona.

Filing Deadline for Arizona DTC Report Was Jan. 31

February 16, 2018

According to the Arizona Department of Liquor Licenses & Control (DLLC), fewer than half of Direct-to-Consumer (DTC) licensees have filed the annual report due Jan. 31, 2018. Wineries that hold an Arizona DTC Wine Shipment (series 17W) License should file the 2017 Shipment Report immediately, if they have not already done so, through the Direct-to-Consumer … Read More ⟶

CONTACT INFORMATION

Arizona Department of Liquor Licenses and Control
800 W. Washington 5th Floor
Phoenix, AZ 85007-2934
Phone: (602) 542-5141
Fax: (602) 542-5707
Arizona Department of Revenue
Transaction Privilege Tax
PO Box 29010
Phoenix, AZ 85038-9019
Phone: (800) 843-7196