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Senate rejects bill to allow direct-to-consumer wine shipments after floor debate

2628701 · February 12, 2025
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Summary

A proposed law to allow wineries and manufacturers to ship wine directly to Mississippi consumers failed in the State Senate after extended floor debate and a 25–21 vote.

The Mississippi State Senate voted down a proposal to allow direct shipment of wine to state residents after extended debate over taxes, impacts on local package stores and safeguards against underage delivery. The bill, presented by Senator England as a committee substitute with a later “strike-all” amendment, would have required out-of-state wine manufacturers to obtain a direct-wine-shipper permit, report quarterly to the Department of Revenue and limit shipments to 12 nine-liter cases per year per address.

Senator England, explaining the substitute and later amendment on the floor, said the measure would require direct shippers to label packages as alcohol, obtain an adult signature on delivery, maintain records for three years and consent to Mississippi jurisdiction for enforcement. “This is a bill that allows a direct shipment of wine to consumers in Mississippi,” England said, adding the bill would tax those shipments at 15.5 percent in addition to applicable sales taxes and would allow the Department of Revenue to promulgate rules and audit permit holders.

Senator England also emphasized changes from earlier drafts: the amendment narrowed eligible permit holders to manufacturers (removing retailers and wholesalers), reduced the per-address annual limit from 24 to 12 cases, and required permit renewals and the possibility of revocation for violations. England noted carriers such as UPS and FedEx already ship wine to the 47 other states that permit direct shipments.

Opponents pressed several concerns on the floor. Senator Michelle questioned enforcement and whether the bill would prevent circumventing rules by routing shipments through neighboring states; England replied that the amendment limited permits to manufacturers and that the permitting and reporting requirements would address tax collection and age verification. Senator McMahon and others emphasized penalties and enforcement powers for ABC and the Attorney General’s Office; a later amendment added additional penalties language but the sponsor and floor also discussed that the Department of Revenue would continue to collect taxes and perform audits.

Supporters argued the cost of shipping and taxes would make routine substitution from local package stores economically unattractive and that the measure would enable Mississippians to obtain wines only available out of state. Opponents, including some senators representing smaller, rural districts and local package stores, warned the change could harm local retailers and questioned whether it would truly expand consumer choice or instead shift distribution in unintended ways.

After floor debate and several amendments, the Senate used a morning roll-call vote. The measure failed 25–21.

Votes and action: The motion to adopt the final version of the committee substitute (as amended on the floor) failed on a roll-call vote, 25 yes, 21 no. The vote tally recorded on the floor was 25–21, outcome: failed.

Where this matters: The rejection keeps Mississippi among the small number of states that restrict direct outbound manufacturer shipments to consumers; supporters said it cost consumers and local business opportunity, while opponents emphasized protecting local package stores and enforcing tax/age-verification rules.

What’s next: Sponsors said they would consider revisions and work with the Department of Revenue, ABC and stakeholders before reintroducing a proposal; the vote closed this session’s effort.