Illinois DTC compliance

Compliance reference

• volume_limit_basis

  Preliminary

  per_consumer_per_year

• ncsl_statute_citation

  Preliminary

  Type of Alcohol and Whether License or Permit Required: Ill. Rev. Stat. ch. 235, §5/5-1 Wine; requires winery shipping license Direct Shipping License or Permit: Ill. Rev. Stat. ch. 235, §5/5-1 (r) A winery shipper's license shall allow a person with a first-class or second-class wine manufacturer's license, a first-class or second-class wine-maker's license, or a limited wine manufacturer's license or who is licensed to make wine under the laws of another state to ship wine made by that licensee directly to a resident of this state who is 21 years of age or older for that resident's personal use and not for resale. Prior to receiving a winery shipper's license, an applicant for the license must provide the Commission with a true copy of its current license in any state in which it is licensed as a manufacturer of wine. An applicant for a winery shipper's license must also complete an application form that provides any other information the Commission deems necessary. The application form shall include all addresses from which the applicant for a winery shipper's license intends to ship wine, including the name and address of any third party, except for a common carrier, authorized to ship wine on behalf of the manufacturer. The application form shall include an acknowledgement consenting to the jurisdiction of the Commission, the Illinois Department of Revenue, and the courts of this state concerning the enforcement of this Act and any related laws, rules, and regulations, including authorizing the Department of Revenue and the Commission to conduct audits for the purpose of ensuring compliance with Public Act 95-634, and an acknowledgement that the wine manufacturer is in compliance with §6-2 of this Act. Any third party, except for a common carrier, authorized to ship wine on behalf of a first-class or second-class wine manufacturer's licensee, a first-class or second-class wine-maker's licensee, a limited wine manufacturer's licensee, or a person who is licensed to make wine under the laws of another state shall also be disclosed by the winery shipper's licensee, and a copy of the written appointment of the third-party wine provider, except for a common carrier, to the wine manufacturer shall be filed with the State Commission as a supplement to the winery shipper's license application or any renewal thereof. The winery shipper's license holder shall affirm under penalty of perjury, as part of the winery shipper's license application or renewal, that he or she only ships wine, either directly or indirectly through a third-party provider, from the licensee's own production. Except for a common carrier, a third-party provider shipping wine on behalf of a winery shipper's license holder is the agent of the winery shipper's license holder and, as such, a winery shipper's license holder is responsible for the acts and omissions of the third-party provider acting on behalf of the license holder. A third-party provider, except for a common carrier, that engages in shipping wine into Illinois on behalf of a winery shipper's license holder shall consent to the jurisdiction of the State Commission and the state. Any third-party, except for a common carrier, holding such an appointment shall, by Feb. 1 of each calendar year and upon request by the State Commission or the Department of Revenue, file with the State Commission a statement detailing each shipment made to an Illinois resident. The statement shall include the name and address of the third-party provider filing the statement, the time period covered by the statement, and the following information: (1) the name, address, and license number of the winery shipper on whose behalf the shipment was made; (2) the quantity of the products delivered; and (3) the date and address of the shipment. If the Department of Revenue or the State Commission requests a statement under this paragraph, the third-party provider must provide that statement no later than 30 days after the request is made. Any books, records, supporting papers, and documents containing information and data relating to a statement under this paragraph shall be kept and preserved for a period of 3 years, unless their destruction sooner is authorized, in writing, by the Director of Revenue, and shall be open and available to inspection by the Director of Revenue or the State Commission or any duly authorized officer, agent, or employee of the State Commission or the Department of Revenue, at all times during business hours of the day. Any person who violates any provision of this paragraph or any rule of the State Commission for the administration and enforcement of the provisions of this paragraph is guilty of a Class C misdemeanor. In case of a continuing violation, each day's continuance thereof shall be a separate and distinct offense. The State Commission shall adopt rules as soon as practicable to implement the requirements of Public Act 99-904 and shall adopt rules prohibiting any such third-party appointment of a third-party provider, except for a common carrier, that has been deemed by the State Commission to have violated the provisions of this Act with regard to any winery shipper licensee. A winery shipper licensee must pay to the Department of Revenue the State liquor gallonage tax under §8-1 for all wine that is sold by the licensee and shipped to a person in this State. For the purposes of §8-1, a winery shipper licensee shall be taxed in the same manner as a manufacturer of wine. A licensee who is not otherwise required to register under the Retailers' Occupation Tax Act must register under the Use Tax Act to collect and remit use tax to the Department of Revenue for all gallons of wine that are sold by the licensee and shipped to persons in this state. If a licensee fails to remit the tax imposed under this Act in accordance with the provisions of Article VIII of this Act, the winery shipper's license shall be revoked in accordance with the provisions of Article VII of this Act. If a licensee fails to properly register and remit tax under the Use Tax Act or the Retailers' Occupation Tax Act for all wine that is sold by the winery shipper and shipped to persons in this state, the winery shipper's license shall be revoked in accordance with the provisions of Article VII of this Act. A winery shipper licensee must collect, maintain, and submit to the Commission on a semi-annual basis the total number of cases per resident of wine shipped to residents of this state. A winery shipper licensed under this subsection (r) must comply with the requirements of Section 6-29 of this Act. Pursuant to paragraph (5.1) or (5.3) of subsection (a) of §3-12, the State Commission may receive, respond to, and investigate any complaint and impose any of the remedies specified in paragraph (1) of subsection (a) of §3-12. As used in this subsection, “third-party provider” means any entity that provides fulfillment house services, including warehousing, packaging, distribution, order processing, or shipment of wine, but not the sale of wine, on behalf of a licensed winery shipper. Type of Alcohol and Whether License or Permit Required: Ill. Rev. Stat. ch. 235, §5/6-29 Wine Maximum Amount for Shipping: Not more than 12 cases of wine per year. Direct Shipping License or Permit: Ill. Rev. Stat. ch. 235, §5/6-29 (a) The General Assembly declares that the following is the intent of this section: (1) To authorize direct shipment of wine by an out-of-state maker of wine on the same basis permitted an in-state maker of wine pursuant to the authority of the state under the provisions of §2 of the 21st Amendment to the U.S. Constitution and in conformance with the U.S. Supreme Court decision decided on May 16, 2005, in Granholm v. Heald. (2) To reaffirm that the General Assembly's findings and declarations that selling alcoholic liquor through various direct marketing means such as catalogs, newspapers, mailings, and the internet directly to consumers of this state poses a serious threat to the state's efforts to further temperance and prevent youth from accessing alcoholic liquor and the expansion of youth access to additional types of alcoholic liquors. (3) To maintain the state's broad powers granted by §2 of the 21st Amendment to the U.S. Constitution to control the importation or sale of alcoholic liquor and its right to structure its alcoholic liquor distribution system. (4) To ensure that the General Assembly, by authorizing limited direct shipment of wine to meet the directives of the U.S. Supreme Court, does not intend to impair or modify the state's distribution of wine through distributors or importing distributors, but only to permit limited shipment of wine for personal use. (5) To provide that, in the event that a court of competent jurisdiction declares or finds that this section, which is enacted to conform Illinois law to the U.S. Supreme Court decision, is invalid or unconstitutional, the Illinois General Assembly at its earliest general session shall conduct hearings and study methods to conform to any directive or order of the court consistent with the temperance and revenue collection purposes of this Act. (b) Notwithstanding any other provision of law, a wine shipper licensee may ship, for personal use and not for resale, not more than 12 cases of wine per year to any resident of this state who is 21 years of age or older. (b-3) Notwithstanding any other provision of law, sale and shipment by a winery shipper licensee pursuant to this section shall be deemed to constitute a sale in this state. (b-5) The shipping container of any wine shipped under this section shall be clearly labeled with the following words: "CONTAINS ALCOHOL. SIGNATURE OF A PERSON 21 YEARS OF AGE OR OLDER REQUIRED FOR DELIVERY. PROOF OF AGE AND IDENTITY MUST BE SHOWN BEFORE DELIVERY." This warning must be prominently displayed on the packaging. A licensee shall require the transporter or common carrier that delivers the wine to obtain the signature of a person 21 years of age or older at the delivery address at the time of delivery. At the expense of the licensee, the licensee shall receive a delivery confirmation from the express company, common carrier, or contract carrier indicating the location of the delivery, time of delivery, and the name and signature of the individual 21 years of age or older who accepts delivery. The Commission shall design and create a label or approve a label that must be affixed to the shipping container by the licensee. (c) No broker within this state shall solicit consumers to engage in direct wine shipments under this section. (d) It is not the intent of this section to impair the distribution of wine through distributors or importing distributors, but only to permit shipments of wine for personal use. Type of Alcohol and Whether License or Permit Required: Ill. Rev. Stat. ch. 235, §5/6-29.1 Wine Direct Shipping License or Permit: Ill. Rev. Stat. ch. 235, §5/6-29.1 (a) The General Assembly makes the following findings: (1) The General Assembly of Illinois, having reviewed this Act in light of the U.S. Supreme Court's 2005 decision in Granholm v. Heald, has determined to conform that law to the constitutional principles enunciated by the Court in a manner that best preserves the temperance, revenue, and orderly distribution values of this Act. (2) Minimizing automobile accidents and fatalities, domestic violence, health problems, loss of productivity, unemployment, and other social problems associated with dependency and improvident use of alcoholic beverages remains the policy of Illinois. (3) To the maximum extent constitutionally feasible, Illinois desires to collect sufficient revenue from excise and use taxes on alcoholic beverages for the purpose of responding to such social problems. (4) Combined with family education and individual discipline, retail validation of age, and assessment of the capacity of the consumer remains the best pre-sale social protection against the problems associated with the abuse of alcoholic liquor. (5) Therefore, the paramount purpose of this amendatory Act is to continue to carefully limit direct shipment sales of wine produced by makers of wine and to continue to prohibit such direct shipment sales for spirits and beer. For these reasons, the Commission shall establish a system to notify the out-of-state trade of this prohibition and to detect violations. The Commission shall request the attorney general to extradite any offender. (b) Pursuant to the 21st Amendment of the U.S. Constitution allowing states to regulate the distribution and sale of alcoholic liquor and pursuant to the federal Webb-Kenyon Act declaring that alcoholic liquor shipped in interstate commerce must comply with state laws, the General Assembly hereby finds and declares that selling alcoholic liquor from a point outside this state through various direct marketing means, such as catalogs, newspapers, mailers, and the internet, directly to residents of this state poses a serious threat to the state's efforts to prevent youths from accessing alcoholic liquor; to state revenue collections; and to the economy of this state. Any person manufacturing, distributing, or selling alcoholic liquor who knowingly ships or transports or causes the shipping or transportation of any alcoholic liquor from a point outside this state to a person in this state who does not hold a manufacturer's, distributor's, importing distributor's, or non-resident dealer's license issued by the Liquor Control Commission, other than a shipment of sacramental wine to a bona fide religious organization, a shipment authorized by §6-29, subparagraph (17) of §3-12, or any other shipment authorized by this Act, is in violation of this Act. The Commission, upon determining, after investigation, that a person has violated this section, shall give notice to the person by certified mail to cease and desist all shipments of alcoholic liquor into this state and to withdraw from this state within 5 working days after receipt of the notice all shipments of alcoholic liquor then in transit. Whenever the Commission has reason to believe that a person has failed to comply with the Commission notice under this section, it shall notify the Department of Revenue and file a complaint with the state's attorney of the county where the alcoholic liquor was delivered or with appropriate law enforcement officials. Failure to comply with the notice issued by the Commission under this section constitutes a business offense for which the person shall be fined not more than $1,000 for a first offense, not more than $5,000 for a second offense, and not more than $10,000 for a third or subsequent offense. Each shipment of alcoholic liquor delivered in violation of the cease and desist notice shall constitute a separate offense.

• excise_return_frequency

  Cross-source verified

  monthly

• sales_tax_collected_by

  Cross-source verified

  shipper

• permit_term_years

  Cross-source verified

  1

• reporting_frequency_threshold_gallons

  Single source

  0

• reporting_frequency

  Cross-source verified

  monthly

• permit_required

  Cross-source verified

  true

• permit_expiration_anchor

  Cross-source verified

  anniversary

• age_verification_required

  Cross-source verified

  true

• volume_limit_unit

  Preliminary

  cases_9l

• volume_limit_value

  Cross-source verified

  12

• common_carrier_allowed

  Cross-source verified

  true

• direct_ship_allowed

  Preliminary

  true

• excise_tax_collected_by

  Preliminary

  shipper

• permit_fee_usd

  Cross-source verified

  350

Sales-tax rate

Rate facts

Data coming soon. Sales and excise rates, volume limits, and reporting cadences will appear here as we add them.