Wash. Admin. Code § 314-19-015

Current through Register Vol. 24-23, December 1, 2024

Section 314-19-015 - What are the reporting and tax payment requirements?

(1) The required beer and/or wine tax reports must be:

(a) On a form furnished by the board or in a format approved by the board;

(b) Filed every month, including months with no activity or taxes due. A winery or wine certificate of approval holder with total taxable sales of wine in Washington state of 6,000 gallons or less during the calendar year may elect to file annually;

(c) Submitted, with the tax due, to the board on or before the 20th day of the month following the end of the reporting period, for the previous reporting period (for example, a monthly report listing transactions for the month of January is due by February 20; an annual report listing transactions for 2012 is due by January 20, 2013). When the twentieth day of the month falls on a Saturday, Sunday, or a legal holiday, the filing must be postmarked by the U.S. Postal Service no later than the next postal business day; and

(d) Filed separately for each type of liquor license or permit held.

(2) Wineries, wine certificate of approval holders and wine shippers who elect to file annually:

(a) Must have taxable sales of wine in Washington state of 6,000 gallons or less during the calendar year;

(b) New licensees who anticipate taxable sales of wine in Washington state of less than 6,000 gallons must request by notifying the liquor and cannabis board within 30 days of license issuance that they would like to file annually;

(c) May only change reporting frequency (to annual filing or off annual filing) at the beginning of a calendar year, effective month must be January;

(d) Are required to file multiple reports in the event of a midyear tax rate change (for example, the tax rate changes June 1st; annual filer will submit two reports. One for January 1st through May 31st and one for June 1st through December 31st. Both are due January 20th following the end of the reporting period);

(e) Must submit a report the month following the month the license has been discontinued or business closed (for example, annual filer closes business/discontinued license May 25th, report is due June 20th).

Type of Licensee	Tax Payment Requirements
(3) Washington beer and/or wine distributor	(a) Distributors must pay taxes on all beer and/or wine received during the preceding calendar month, including samples received at no charge (see WAC 314-64-080 and 314-64-090 for more information). The total tax due (per barrel for beer and per liter for wine) is to be paid by the first distributor to receive the product and must be included with the monthly report. (b) Distributors do not pay taxes on beer and/or wine received from another instate licensed distributor who has already paid the Washington state tax on the product. (c) Distributors may claim a tax refund or credit, provided that they have paid the taxes prior to claiming the credit, for the following (see WAC 314-19-030 for information on claiming a tax refund or credit): (i) Shipments exported directly to a point outside the state of Washington, including sales to interstate common carriers; (ii) Sales to any military reservation in Washington state; (iii) Product that is deemed unsalable due to freight damage, product quality, or other causes that occurred prior to receipt by the distributor, subject to the following conditions: (A) The unsalable product must be destroyed within the state of Washington (per RCW 66.24.305); (B) The licensee must notify their local liquor enforcement officer in advance for destruction of more than 50 cases of wine or 200 cases of beer; (C) The licensee must report the destroyed product on the next required monthly report; (D) The licensee must keep records showing the reason for the destruction and an inventory of products destroyed. These records must be kept on the licensed premises and available for inspection by board employees for a period of two years; and (E) The licensee must provide documentation from the freight company with the report if they are claiming a credit due to freight damage.
(4) Washington beer and/or wine importers	Importers must pay taxes on samples received during the preceding calendar month, as follows: (a) If the samples are used by the importer within the state of Washington, the importer must pay the tax. (b) If samples are provided to a distributor, the distributor must pay the tax.
(5) Domestic breweries, microbreweries, and domestic wineries	(a) Domestic breweries, microbreweries, and domestic wineries must list production for the current reporting period only. The brewery that the domestic brewery/brand owner contracts with is required to include any products they produce for the brand owner in their production count. (b) Domestic breweries, microbreweries, and domestic wineries must pay taxes on beer and/or wine that is: (i) Sold at retail on the licensed premises (or shipped to additional winery locations as authorized by RCW 66.24.170(4)), including retail sales to out-of-state residents; (ii) Sold to retail licensees; (iii) Furnished as samples to retail licensees as authorized by RCW 66.28.040, WAC 314-64-080, and 314-64-090 (does not include samples provided to distributors); (iv) Provided as donations to qualifying 501 (c)(3) or (6) nonprofit organizations per RCW 66.28.040 or to the Washington wine commission per RCW 66.12.180 and 66.24.210; (v) Received via an interplant transfer if used as outlined in above subsections (i), (ii), (iii), or (iv); (vi) Sold at farmers markets as authorized by RCW 66.24.170(5), 66.24.240(4) and/or 66.24.244(5); or (vii) Wine that has been shipped out-of-state as nontax paid export and returned to Washington state if used as outlined in (b)(i), (ii), (iii), (iv), or (vi) of this subsection. (c) Domestic breweries, microbreweries, and domestic wineries do not pay tax on beer and/or wine that is: (i) Sold to or furnished as samples to distributors; (ii) Shipped out of a particular location for an interplant transfer; (iii) Exported directly to a point outside the state of Washington, including sales to interstate common carriers; (iv) Sold to any military reservation in Washington state; or (v) Provided as a tasting on the brewery or winery premises or at additional winery locations at no charge, as authorized by RCW 66.24.170(4). See WAC 314-19-010(3) for the definition of "tastings."
(6) Domestic brewery -Brand owners	(a) Domestic brewery-brand owners must file a report showing the quantity of all beer sold or delivered to each licensed beer distributor, or beer exported directly to a point outside the state of Washington, during the preceding reporting period. (b) Domestic brewery-brand owners are not responsible for the tax on beer that is contract produced.
(7) Out-of-state beer and/or wine certificate of approval holders	(a) Certificate of approval holders must file a report showing the quantity of all beer and/or wine sold or delivered to each licensed beer or wine distributor or importer, including samples, during the preceding reporting period. (b) Tax is due from the certificate of approval holder: (i) On samples shipped to licensed agents, and (ii) On donations to the Washington wine commission per RCW 66.12.180 and 66.24.210 or to 501 (c)(3) nonprofit charitable associations within Washington state per RCW 66.28.040.
(8) Out-of-state United States beer and/or wine certificate of approval holders with a direct shipping to Washington retailer endorsement	(a) Certificate of approval holders with this endorsement must file an addendum report showing the quantity of beer and/or wine sold or delivered to each licensed retailer, including samples, during the preceding reporting period. (b) Tax is due from the certificate of approval holder on beer and/or wine sold or delivered to retail licensees and on sales to nonprofit charitable associations.
(9) Out-of-state United States wine certificate of approval holders with a direct shipping to consumers endorsement	(a) A certificate of approval holder with this endorsement must report the total quantity of wine sold to consumers in Washington state during the preceding reporting period. (b) Tax is due from the certificate of approval holder on wine sold or delivered to Washington state residents.
(10) Authorized representative certificate of approval holders-United States and/or foreign produced beer or wine	(a) Authorized representative certificate of approval holders must file a report showing the quantity of all beer and/or wine sold or delivered to each licensed beer or wine distributor or importer, including samples. They must list the brewery and/or winery that they represent and that had shipments into Washington state during the preceding month. (b) Tax is due from the authorized representative beer and/or wine certificate of approval holders only on samples shipped to licensed agents, directly to retailers per WAC 314-64-080 and 314-64-090, donations to the Washington wine commission per RCW 66.12.180 and 66.24.210, or to 501 (c)(3) nonprofit charitable associations within Washington state per RCW 66.28.040.
(11) Public house licensees	Public house licensees must pay taxes on all sales of their own product during the preceding calendar month.
(12) Retailer with an endorsement allowing receipt of direct shipment of beer or wine from a United States brewery, microbrewery, or winery	A Washington retailer who receives shipments directly from a United States brewery, microbrewery, or winery, outside Washington, must file a report showing the quantity of beer and wine received by direct shipment from each licensed beer or wine producer, including samples, during the preceding month.
(13) Wine shipper permit holder	(a) An out-of-state winery must file a report showing the total quantity of wine sold or delivered to consumers during the preceding reporting period. (b) Pay the tax due for sales of wine to Washington state residents.

Wash. Admin. Code § 314-19-015

Amended by WSR 24-16-064, Filed 7/31/2024, effective 8/31/2024

Statutory Authority: RCW 66.08.030. 12-24-091, § 314-19-015, filed 12/5/12, effective 1/5/13. Statutory Authority: RCW 66.08.030 and 66.28.320. 10-01-090, § 314-19-015, filed 12/16/09, effective 1/16/10. Statutory Authority: RCW 66.08.030, 66.20.360 through [66.20].380,66.20.390 , 66.24.170, 66.24.206, 66.24.210, 66.24.240,66.24.244 , 66.24.270, 66.24.290, 66.28.170, 66.28.180, and42.56.270 . 07-02-076, § 314-19-015, filed 12/29/06, effective 1/29/07. Statutory Authority: RCW 66.08.030, 66.24.206, 66.24.210, 66.24.230, 66.24.290, 66.24.305, 66.24.215, and 66.24.580. 04-24-007, § 314-19-015, filed 11/19/04, effective 12/20/04. Statutory Authority: RCW 66.08.030, 66.24.210, 66.24.230, 66.24.290, 66.24.305, 66.24.270, 66.24.215, 66.24.580, 66.24.206. 00-17-065, § 314-19-015, filed 8/9/00, effective 9/9/00.