Beginning Jan. 1, 2021, winery shipper licensees that do not have a physical presence in Illinois and meet either of the Wayfair tax remittance thresholds are required to collect and remit all state and local imposed sales taxes, also known as Retailers’ Occupation Tax (ROT), on sales shipped to Illinois consumers at the destination rate […]
Wineries Must Pay the Chicago Liquor Tax on DTC sales Beginning July 1, 2020
Earlier this year the Chicago City Council approved Mayor Lightfoot’s proposal to extend the city liquor tax to include remote and online sales shipped into Chicago. Prior to this change, the city liquor tax only applied to sales physically occurring in Chicago. Under the amended ordinance, any winery that ships direct-to-consumer (DTC) sales to a […]
Chicago Liquor Tax Registration Application Instructions for Direct Wine Shipper Licensees
Effective July 1, 2020, any Illinois Winery Shipper’s Licensee that ships wine to a consumer at a Chicago address is required to register with the City of Chicago Department of Finance and collect and remit the city liquor tax. Winery shipper’s licensees outside of Chicago are advised to wait to submit a new account registration […]
New Illinois DTC Report Due Feb. 1
Wineries are reminded that the Illinois direct shipping law was amended, effective Jan. 1, 2017, to require third-party providers shipping wine on behalf of an Illinois direct-to-consumer (DTC) licensee to file an annual statement with the Illinois Liquor Control Commission (ILCC). The statement must detail each shipment made to an Illinois consumer on behalf of […]
Direct-to-Consumer Shipping Updates: IL, LA and MA
Illinois On Aug. 26, 2016, Illinois Governor Bruce Rauner signed legislation (“SB 2989”) into law that establishes strict penalties for direct wine shipping violations and imposes new reporting requirements on common carriers and fulfillment houses related to direct wine shipping. Under the new law, the holder of an IL Wine Shipper license will be required […]
Proposed Regulations Offer Guidance on IL Shipping Charges, May Help Resolve False Claims Act Legal Cases
SAN FRANCISCO — The Illinois Department of Revenue (DOR) has just issued proposed regulations to clarify its position on the issue of charging sales taxes on shipping charges on direct-to-consumer wine shipments into that state. Wine Institute and several member wineries recently filed a lawsuit to fight the spate of false claims act lawsuits targeting […]
Wine Institute and Member Wineries File Suit to Stop Illinois False Claims Act Lawsuits
SAN FRANCISCO — Wine Institute, and three of our member wineries (Chimney Rock Winery, the Miner Family Winery, and Staglin Family Vineyard), have filed suit in Illinois to fight the spate of “Illinois False Claims Act” (IFCA) lawsuits that have been filed against wineries selling directly to consumers in that state. Brought by a private […]
New Tax Information for Illinois DTC Shippers
In the wake of recent litigation in Illinois accusing wineries of failing to pay the sales tax on shipping charges for wine being shipped directly to consumers in the state, we have updated the tax information on our website with the following information: The taxability of shipping charges in Illinois is not clear. However, there […]
Illinois Direct-to-Consumer Permit Applications Available
The Illinois Direct-to-Consumer Permit applications are now available on the Wine Institute website. Beginning June 1, 2008 wineries will be required to have an “Out-of-State Winery Shipper’s License,” file reports, obtain a bond and pay sales and excise tax in order to ship wine to consumers in Illinois. Wineries with a valid Shipper’s License issued […]
Governor of Illinois Signs HB-429
The Governor of Illinois signed HB-429 on October 3, 2007. The bill transitions Illinois from a reciprocity state to a permit state for direct-to-consumer wine shipments. HB 429 will become effective on June 1, 2008. Wineries with an approved permit will be able to ship 12 cases to a consumer and required to pay sales […]
