PrintPermit
DTC Permit
- Required: Yes
- Fee: $526
- Expiration: 2 yrs from issue date
Sales Tax
- Required: Yes
- State: 6.25%
- Local: Yes – see Alert
- Tax on Shipping: Yes
Excise Tax
- Required: Yes
- Wine ≤ 14%: $.204/gal
- Wine >14%: $.408/gal
- Sparkling Wine $.516/gal
Volume Limit
Limits per Winery
- Monthly: 9 gal/person
- 12 mos: 36 gal/person
- State Aggregate: 35K gal/yr
Reporting
Reporting Requirements
- Required: Yes
- Sales Tax: Quarterly by the 10th
- Excise Tax: Monthly by the 15th if > 5,000 gal/yr shipped; Quarterly by the 15th if < 5,000 gal/yr
- Direct Shipment:Monthly by the 15th if > 5,000 gal/yr shipped; Quarterly by the 15th if < 5,000 gal/yr
- Record Retention: At least 5 years
Product Requirements
Product Restrictions
- ONLY wines produced or bottled by the permittee may be sold and shipped to consumers
Additional Information
An Out-of-State Direct Winery Shipper permit is required to ship wine to consumers. This permit may only be issued to a person who holds all state and federal permits necessary to operate the winery at the permitted location and holds a Texas use tax permit. The TABC will notify the applicant if a bond is required. The appropriate tax collection forms will be mailed to all wineries when they receive their respective permits.
- Before applying for the TABC’s “Out-of-State Winery Direct Shipper’s Permit”, a winery must obtain a Texas Use Tax Permit from the state.
- Wineries are advised to complete the “Texas Nexus Questionnaire” with their sales tax permit application and submit all completed forms via U.S. Mail.
- Out-of-state wineries shipping directly to consumers in Texas are obligated to collect and remit local sales tax. Out-of-state wineries with no physical presence in Texas may elect to collect and remit a single local use tax rate. Out-of-state wineries with a physical presence in Texas are obligated to collect and remit local use taxes at the individual rates of the jurisdictions where wine is shipped.
- Note wineries do not have to register with the Secretary of State’s Office in Texas.
- Effective Jan 1, 2019, permittees shipping 5,000 gallons or more to TX consumers per calendar year are required to report shipments and pay excise taxes monthly and permittees shipping less than 5,000 gallons to TX consumers annually are required to report shipments and pay excise taxes quarterly. Prior to this change, the reporting threshold was 4,000 gallons annually and the filing frequencies were quarterly and annual.
- Effective Jan. 1, 2019, the name of the common carrier and common carrier tracking number for each shipment must be included on the DTC report.
- All wine sold or shipped by an out-of-state winery direct shipper’s permittee must be in a package that is clearly labeled as containing wine.
DTC Tax Updates for Out-of-State Wineries Shipping Directly to Texas Consumers
August 28, 2020Updated on Sept. 11, 2020 Franchise Tax: The State of Texas requires wineries located outside the state to file and pay franchise tax if the winery has nexus with the state. Nexus is established if the winery has a physical presence based on various criteria or if the winery has economic nexus in Texas. Economic … Read More ⟶
CONTACT INFORMATION
Texas Alcoholic Beverage Commission
5806 Mesa Dr.
Austin, TX 78731
Phone: (512) 206-3333
Fax: (512) 206-3449
5806 Mesa Dr.
Austin, TX 78731
Phone: (512) 206-3333
Fax: (512) 206-3449
Texas Comptroller of Public Accounts
PO Box 13528
Capitol Station
Austin, TX 78711-3528
Phone: (800) 252-5555
PO Box 13528
Capitol Station
Austin, TX 78711-3528
Phone: (800) 252-5555
