State-by-state guide for shipping spirits DTC

Though wine makes up the lion’s share of the direct-to-consumer (DTC) market in the United States, eight states and Washington, D.C., allow DTC shipments of spirits.

As of this writing, distilleries can ship DTC to the following states:

• Alaska (allowed by state law but prohibited in dry communities)
• Arizona (only craft distilleries that produce less than 20,000 gallons of spirits annually) 
• California (only California-based craft distillers holding a Type 74 license, and only until January 1, 2026)
• Kentucky
• Nebraska
• New Hampshire (allowed by state law but prohibited in dry communities)
• New York (only for craft distilleries based in New York or a reciprocal state; see below for details)
• North Dakota
• Washington, D.C.

Rhode Island also allows direct shipping, but only for on-site shipments. This means the purchaser must be on the premises of the producer when ordering the spirits.

Alaska, California, Nevada, and New York are among the states that have changed DTC shipping rules for distilleries.

Alaska  

As of January 1, 2024, Alaska requires distilled spirits producers with no physical presence in the state to obtain an Alaska direct shipment license to ship. Prior to 2024, out-of-state distilleries didn’t need a license to ship to consumers in Alaska.  

To qualify for a direct shipment license, a manufacturer must be licensed in another state. The Alaska Alcoholic Beverage Control Board (ABC) will not issue a license to a manufacturer producing more than 50,000 proof gallons in total of distilled spirits annually.

Direct shipments of other beverage alcohol are also subject to the Alaska alcoholic beverage tax as of January 1, 2024.

DTC shippers cannot ship alcohol into dry or moist local option jurisdictions that have prohibited DTC shipments.  The ABC is required by law to publish a list of ZIP codes that are located within local option areas, and to notify direct shipper licensees when any change is made to the list.

California

California craft distillers holding a Type 74 license have been able to ship directly to California consumers since September 29, 2022. The DTC privileges for California craft distillers were set to end in January 2025, but the repeal date was extended.

Until January 1, 2026, Type 74 licensees can directly ship the distilled spirits they manufacture or produce in California as long as:

1. The amount shipped does not exceed the equivalent of 2.25 liters per day per consumer and is solely for the consumer’s personal use.
2. The licensed craft distiller maintains adequate records of the shipments and provides those records to the department upon request.
3. The licensed craft distiller requires the common carrier to obtain the signature of any individual 21 years of age or older before delivering any distilled spirits.
4. The containers are conspicuously labeled with the words: “Contains alcohol: Signature of person age 21 years or older required for delivery.”

Nevada

Nevada used to be on the short list of states where distilleries could ship directly to consumers. However, as of July 1, 2021, distilled spirits can no longer be shipped directly to consumers in Nevada.

Breweries and retailers also lost DTC shipping rights in Nevada, though wineries may continue to ship wine to Nevada consumers.

New York

Like California, New York state now allows New York–based distilleries to ship directly to consumers in New York and other states. Allowing DTC shipments of craft spirits was initially a temporary COVID relief measure, but lawmakers permanently authorized DTC shipments for craft distilleries in August 2024.

Certain out-of-state manufacturers can also ship DTC to New York consumers. To qualify for a New York Direct Shipper’s License, a distillery must be in a state that affords similar direct shipping privileges to New York producers and must meet gallonage limitations.

New York also allows DTC shipping for certain in-state and out-of-state manufacturers of craft cider, mead, and braggot (a hybrid of beer and mead). See the New York State Liquor Authority for more details.

It’s worth noting that DTC shipping is different from alcohol delivery.

DTC shipments are generally shipped across state lines via a common carrier. As noted above, direct shipments of spirits are only permitted in a handful of states.

Alcohol delivery generally occurs within state lines. It became popular during the COVID pandemic, after many state and local governments restricted in-house dining and drinking. Think cocktails to go.

More than 30 states have permanently authorized delivery and takeout sales of alcohol. Another handful of states, including New York, are temporarily allowing alcohol delivery and takeout sales but aren’t ready to make their policies permanent. For state-specific details, check out our blog post on cocktail-to-go laws.

There is one thing all alcohol shipments and deliveries do have in common, whether we’re talking about a margarita from a local Mexican restaurant or a bottle of whiskey from an out-of-state distillery: Alcohol cannot be delivered to minors.

Where direct shipments of spirits are allowed, the direct shipper is generally responsible for ensuring products aren’t delivered to minors. This is true even if the delivery is made by a third party.

There are four ways to verify the age of consumers:

1. Affirm the age of the consumer by restricting access to digital content
2. Collect the purchaser’s date of birth (DOB)
3. Verify the purchaser’s age with an online verification service or by inspecting a government-issued ID
4. Require the deliverer to inspect identification and obtain a signature at the point of delivery

Some states specify how age verification must be done. Other states are more vague, requiring age be verified but not specifying how.

Enforcement also varies by state. The California Department of Alcoholic Beverage Control sometimes runs sting operations, and the Massachusetts Alcoholic Beverages Control Commission has conducted Minimum Purchase Age Compliance Checks on direct wine shippers. 

When additional states open DTC shipping to manufacturers of spirits, age verification will be paramount for that industry. Using an age verification service like Avalara Age Verification for Beverage Alcohol allows you to obtain the information you need to verify the age of consumers without the added burden of storing that information in your business systems. Visit Avalara for Beverage Alcohol to learn more.

This blog post was originally published in July 2022.