Provided certain requirements are met, Ohio allows licensed Ohio manufacturers and registered suppliers to direct ship product they make to a permitted Ohio retailer (aka self-distribute) or an Ohio consumer of legal age. The below summarizes the different permits and qualifications.
A licensed Ohio A-2 or A-2f winery or a registered wine supplier can sell the wine it makes directly to an Ohio Class C or D retail permit holder. A few things to know about the B-2a are:
- The permit expires October 1 of each year.
- Each product the manufacturer or supplier wants to self-distribute must be registered for sale in Ohio. This means a label registration application and a $50 product registration fee must be filed for each product.
- Ohio has exclusive sales territories for wine products sold to retail permit holders through an Ohio wholesale distributor. As such, ONLY product that is NOT already assigned a territory with an Ohio distributor can be sold to a retailer under the B-2a.
- The B-2a Permit Holder shall collect and pay all applicable Ohio taxes and shall comply with the Ohio Revised Code (R.C.) Chapters 4301 and 4303, along with any rules adopted by the Liquor Control Commission (LCC).
- The yearly fee for the B-2a permit is $25.
If the wine maker does not hold an A-2 or A-2f permit and it wants to self-distribute, then it must register as a supplier. This includes filing the supplier application and $100 processing fee. The yearly renewal of the supplier's license with a B-2A is $76.
S-1 and S-2 Permits
S-1 and S-2 permit holders can ship beer and wine directly to Ohio residents of legal age for personal use. Here is a list of current S-1 and S-2 permit holders.
S-1 or S-2 permit holders should know:
- Permits must be renewed by October 1st each year.
- The permit holder is responsible for collecting and paying all applicable taxes.
- Prior to sending beer or wine to a personal consumer, the permit holder must make a bona fide effort to ensure the personal consumer is 21 years of age or older.
- Wine must be shipped via an H permit holder who must also verify the personal consumer is at least 21 years of age by checking the personal consumer's driver's license, commercial driver's license (CDL), or identification (ID) card issued under R.C. Sections 4507.50, 4507.501, 4507.51, and 4507.52.
- Beer or wine shall be shipped in a package that has the words 'alcohol enclosed' clearly written in bold print on the package.
- Any product sent to an Ohio consumer must be registered for sale in Ohio, including the $50 product registration fee for each product.
- Ohio has exclusive sales territories for beer and wine products sold to retail permit holders through an Ohio wholesale distributor. If you also wish to sell your products through an Ohio wholesale distributor, it will be necessary for you to complete a territory designation form for each brand you register.
- Permit holders need to annually report the shipment of beer and wine to Ohio consumers electronically to us. To do so, please complete the S Permit Holder Shipment of Wine Reporting Form – DLC4231.
Differences between the S-1 and S-2
An S-1 class permit allows...
- An A-1 or A-1c permit holder or a beer manufacturer outside of Ohio can sell beer directly to personal consumers (residents) in Ohio by receiving and filling orders the personal consumer submits to the permit holder.
- Beer manufacturers cannot direct ship product to an Ohio retailer—that must be done through an Ohio B-1 wholesale distributor.
- A winery that produces less than 250,000 gallons per year, regardless of where made, whether an A-2, A-2f permit holder, or a winery outside of Ohio, to direct ship its product to an Ohio consumer of legal age in the same manner as a beer manufacturer
- No family household shall purchase more than 24 cases of twelve 750 ml (2.375-gallon, or 9.5-quart) bottles of wine in one year for personal consumption only (see R.C. 4303.236).
An S-2 class permit allows...
- wineries producing 250,000 gallons or more of wine per year, regardless of where made, to direct ship its product to an Ohio consumer of legal age.
- $100 Non-Refundable application PROCESSING FEE for S-1 or S-2 applicants
- $25 to direct ship BEER to customers. (S-1)
- $25 to direct ship WINE and produces LESS than 250,000 gallons of wine per year regardless of where it is made. (S-1)
- $250 to direct ship WINE and produces 250,000 gallons or MORE of wine per year regardless of where it is made. Note, each year thereafter, the fee is only $100. (S-2)
Note For Ohio Consumers
Any resident of this state or any member of the armed forces of the United States, who has attained the age of 21 years, may bring into this state, for personal use and not for resale, not more than one liter of spirituous liquor, four and one-half liters of wine, or 288 ounces of beer in any 30 day period, and the same is free of any tax when the resident or member of the armed forces physically possesses and accompanies the spirituous liquor, wine, or beer on returning from a foreign country, another state, or an insular possession of the United States.
If you have any questions, please contact the Beer & Wine Section at 614-644-2411. Please keep in mind we cannot provide legal advice and the above summary may not cover all situations. If you have specific legal questions regarding your business, you should direct those to your personal attorney.