The Domestic Winery License

License Overview

A domestic distillery is a distillery located in Montana. This license allows the manufacturer to legally import, manufacture, distill, rectify, blend, denature, and store spirits of an alcoholic content greater than 0.5 percent alcohol by volume for sale to the Cannabis & Alcohol Regulation Division (CARD) or, in some cases, sell liquor out of Montana for sale in another state. It may also allow some distilleries to provide samples of spirits they produce for consumption on their premises with or without charge in an approved sample room.

Any domestic winery licensed in the state may own, lease, maintain, and operate a department-approved storage depot in any city or town in Montana. Wineries may use the depots for receiving, handling, storing, selling, and distributing their wine. They may not use storage depots for manufacturing or consumption.

How To Apply

A domestic winery license may be applied for directly from the Department of Revenue (DOR) Cannabis and Alcohol Regulation Division (CARD) and does not need to be purchased from an existing licensee unless you are buying the business and the wine inventory.

You may apply electronically through the TransAction Portal (TAP).

Fees

  • One-time domestic winery license processing fee: $200.
  • Annual domestic winery license: $400.
  • Annual domestic winery direct shipment endorsement fee: $50 (when shipping directly to the consumer in Montana).
  • Fingerprint card fee for each individual with 15% or more ownership interest in the business: $30 each. Price subject to change.

Application Requirements

When applying for a domestic winery license, provide the following general information:

You must submit Certificate of Label Approval (COLA) approvals or exemptions from the TTB for each brand and variety of table wine over 7% alcohol content by volume (abv) to be manufactured.

Note: All wine products in Montana must have label approval through CARD, even those under 7% abv, and even if you only sell your products in your approved sample room.

Label approvals must be filed online through TAP, after approval of your domestic winery application, for CARD to approve. More information regarding TTB COLA can be found at www.ttb.gov.

Provide a floor plan that includes, but is not limited to, the following: the business name, physical address, license number (if known), alcohol storage area(s), drive-through window (if applicable), sample room (if applicable), manufacturing area, external dimensions, entryways, and any patio or deck area (if applicable).

Do not send in the original blueprints or architect drawings, and only submit an 8½″ x 11″ size copy of the floor plan. See the Floor Plan webpage for more details.

When applying for a domestic winery license, you need to provide the following financial information showing the “intent to purchase” the alcoholic beverage license (if buying an existing license), inventory, and building, if applicable.

Note: Do not exchange funds for the alcohol beverage license (if applicable) beyond earnest money of 5 percent of the license price without prior CARD TA or license approval.

  • Copies of any loan agreements, contracts, notes, and all related security agreements, guarantees, and trust indentures.
  • If funds come from somewhere other than a loan, the last 6 months of bank statements from the bank account you are using to pay for the alcoholic beverage license, building, and/or start-up operating funds for the business.
  • Copies of lease, rent, purchase options, financing agreements, or other evidence showing possessory interest in the building.
  • Financial statements, such as a balance sheet, income statement, or tax return for the business. If it is a new business, projected balance sheet and income statements are acceptable.
  • Copy of business’s bank signature card.
  • Purchase/transfer documents for the alcoholic beverage license, such as a buy/sell agreement, contract for deed, warranty deed, and bill of sale, if applicable.
Other sources of funding

File the Non-Institutional Loan (NIL) Form (PDF) with the application if any lenders or other sources of financing are not state or federally-regulated financial institutions, including gifting statements.

Each NIL also requires a Personal Criminal History Statement Form, plus two fingerprint cards and fees.

When applying for a domestic winery license, provide the following ownership information (based on entity type applying), including:

  • Copy of partnership agreement documentation.
  • Copy of articles of incorporation and amendments or addenda.
  • Copy of bylaws and amendments or addenda.
  • Copy of certificate of fact (for LLCs and LLPs).
  • LLC organizational information.
  • Copy of stock certificates, corporate minutes, and attachments.
  • Stock ledger or register.
  • Copy of certificate of existence (for in-state corporations).
  • Copy of authority to conduct business in Montana (for out-of-state corporations).
  • Copy of documentation from the Secretary of State verifying approved assumed business name (ABN).
  • Copy of federal employer identification number (FEIN) verification from IRS.
  • Completed Personal Criminal History Statement Form for each individual with 15% or more ownership interest in the business, plus two fingerprint cards and fees for each of those individuals.

When applying for a domestic winery license, you must provide the following management information, including:

Application Process

The application process takes on average 90 days and begins when CARD receives a complete application package and all supporting documents.

  1. The application is reviewed by CARD.
  2. The applicant will receive a letter requesting any additional documents, if needed.
  3. When all required documents are received, CARD notifies local agencies with jurisdiction over the area of the application in process.
  4. Prior to final approval of any new location, the applicant contacts local building, health, and fire code officials to schedule inspections.
  5. After the completion of the audit and investigation, CARD conducts a final review of the application. If necessary, any additional or closing documents may be requested.
  6. Final approval is granted when the licensing specialist receives all finalized documents and inspections, and any outstanding issues or violations (if any) have been resolved.

It is the responsibility of the applicant to contact local building, health, and fire code officials to schedule inspections. CARD may not approve an application until local officials have given notice that the licensed premises meet their requirements, and until a background check of the applicant(s) and a premises inspection have been completed for CARD to determine if the applicant(s) and location meet suitability requirements.

Wine and Hard Cider Taxes

The following rates apply per liter on sales to retailers, sacramental wine licensees, agency liquor stores, special permit holders, and directly to consumers:

Tax rate per liter by product type
Product Tax rate per liter
Sacramental wine and table wine $0.27
Hard cider $0.037

Wineries are required to electronically file and pay on a quarterly basis. For purposes of this tax, a tax year begins on July 1, and a “quarter” means a tax reporting period which begins July 1, October 1, January 1, and April 1 of each tax year.

You must file and pay (if applicable) a wine income tax (WIT) and/or hard cider tax (HCT) return on or before the 1st of each quarter for sales in the previous quarter. You must file your WIT and/or HCT return even if you have had no sales. Returns must be filed electronically through the TransactionPortal (TAP).

Need help filing?

Call the CARD Liquor Auditor at (406) 444-2909 or email CARD at DORCARD@mt.gov

Compliance Rules

All licensees, their agents, and employees must conduct the licensed premises in compliance with all:

All licensees must keep up on any changes to Title 16 MCA and the ARM.

Note: These may change from time to time. Contact CARD if there are any questions.

Winery Permissions

A domestic winery licensee may:

  • Sell and serve wine it produces for on-premises and off-premises consumption between the hours of 8 a.m. and 2 a.m.
  • Sell wine it produces at the winery directly to the consumer for on-premises consumption only in an approved sample room shown on the floor plan submitted to and approved by the department.
  • Sell for off-premises consumption at the premises in an approved sample room, at an approved curbside area, or a drive-through window.
  • Serve their wine on an approved patio, deck, or lawn, subject to the outdoor area conditions below.
  • Sell product at a discounted rate to non-profit organizations and special permit holders so long as you do not violate any existing distributor agreements.
  • Distribute wine through a licensed table wine distributor, deliver it directly, or use a common carrier, within the limits described below.
  • Apply for twelve (12) winery special permits per calendar year to sell wine that was fermented or blended at the winery’s licensed premises at a special event. The wine may be sold for consumption at their special event, or for off-premises consumption in original packaging at their special event.
  • Obtain a direct shipment endorsement, as described below.
  • Ship products outside of Montana but must adhere to the receiving state laws.

Outdoor Service Areas

A winery may serve on an approved patio, deck, or lawn if:

  • The outdoor area(s) are designated on the floor plan you submitted with your application.
  • It is immediately accessible from the sample room.
  • Building, health, and fire approval has been obtained.
  • It has an approved perimeter barrier.

What counts as a perimeter barrier

A perimeter barrier is a barricade enclosing the perimeter of the patio/deck. The barrier must be constructed in a manner that impedes foot traffic and clearly defines the boundary of the exterior portion of the premises. The barrier must be a solid structure that is at least three feet high and have a single six-foot entrance permitting public access from an unlicensed area to the patio/deck. The barrier may be constructed of materials such as lattice or wrought iron that do not form a solid structure, have a portion of it be water, and/or have additional entrances permitting public access to the patio/deck. If there are questions relating to this, contact CARD.

Permissions by Distillery Size

  • Provide samples of distilled spirits that were distilled on the premises, with or without charge, between 10 a.m. and 8 p.m. in an approved sample room. Customers may stay on the premises and continue to consume until 9 p.m. No more than two ounces total per customer per day.
  • Sell prepared servings for off-premises consumption between 10 a.m. and 8 p.m. (prepared servings [drinks to go] count towards sample room limits).
  • Sell distilled spirits in original packaging that were distilled on the premises for off-premises consumption between the hours of 8 a.m. and 2 a.m. at the distillery. No more than 4.5 liters per customer per day.
  • Sell for off-premises consumption at the premises in an approved sample room, at an approved curbside area, or a drive-through window.
  • Serve their distilled spirits on an approved patio, deck, or lawn, subject to the outdoor area conditions below.
  • Apply for a Domestic Distillery Storage Warehouse (PDF) for receiving, handling, and storing distilled spirits, in addition to distributing and selling distilled spirits from the storage depot.
  • Apply to have a premises that includes more than one building for manufacturing purposes under 27 CFR 19.53, operated under a federal basic permit.
  • Deliver distilled spirits that were distilled on the premises to the liquor warehouse.

Outdoor service areas

A microdistillery may serve on an approved patio, deck, or lawn if:

  • The outdoor area(s) are designated on the floor plan you submitted with your application.
  • It is immediately accessible from the sample room.
  • Building, health, and fire approval has been obtained.
  • It has an approved perimeter barrier.
What counts as a perimeter barrier

A perimeter barrier is a barricade enclosing the perimeter of the patio/deck. The barrier must be constructed in a manner that impedes foot traffic and clearly defines the boundary of the exterior portion of the premises. The barrier must be a solid structure that is at least three feet high and have a single six-foot entrance permitting public access from an unlicensed area to the patio/deck. The barrier may be constructed of materials such as lattice or wrought iron that do not form a solid structure, have a portion of it be water, and/or have additional entrances permitting public access to the patio/deck. If there are questions relating to this, contact CARD.

Direct delivery to agency liquor stores

A distillery producing less than 25,000 gallons of product annually may deliver its product directly to a state agency liquor store if the distillery uses the distillery’s own equipment, trucks, and employees to deliver the product, and the amount of product delivered is not less than a case.

This may include an approved noncontiguous alcoholic beverage storage area within the same quota area of the agency liquor store premises. Unsure if the agency liquor store has an approved noncontiguous storage area? Contact CARD.

Delivery Reporting

Licensed microdistilleries producing less than 200,000 proof gallons annually must electronically report all deliveries to agency liquor stores within two days of delivery.

Licensed distilleries producing more than 200,000 proof gallons annually may:

  • Sell and deliver distilled spirits to CARD.
  • Use a common carrier for delivery to CARD.

Licensed distilleries producing more than 200,000 proof gallons annually may not:

  • Provide samples.
  • Sell for off-premises consumption.

Prohibited Activities

A domestic brewery licensee may not:

  • Allow customers to bring their own alcoholic beverages onto the licensed premises.
  • Deliver its products directly to a licensed retail establishment.
  • Deliver its products directly to a catered event.
  • Lock premises doors while there are still customers inside.
  • Obtain a special permit.
  • Sell or serve alcoholic beverages from vending machines.
  • Allow anyone (including owners, employees, and customers) to consume on the licensed premises between 9 p.m. and 10 a.m.
  • Possess a financial or ownership interest in a Montana retail license (unless you have been approved for a co-located license with an all-alcoholic beverage retail license — call CARD for more information), agency liquor store, or a wholesale distributor license.
  • Manage a wholesaler or distributor license. See the Managing Other Licenses page found on our website.
  • Ship or deliver product directly to customers in Montana. All products must be shipped to the state liquor warehouse in Helena, with one exception, described below.

Exception: direct delivery to agency liquor stores

A distillery producing less than 25,000 gallons of product annually may deliver its product directly to a state agency liquor store if the distillery uses the distillery’s own equipment, trucks, and employees to deliver the product. The amount of product delivered must be at least a case, and agency liquor stores must be invoiced by the department for product received from a distillery.

Licensee Requirements

A distillery licensee must:

  • Give law enforcement access to their licensed premises at all times.
  • Notify CARD when there is a change in a location manager within 30 days of hire for your alcoholic beverage business. See the Location Manager page for more information.
  • Ensure all employees serving open-container alcoholic beverages are 18 years or older.
  • Notify CARD regarding most changes to the existing license BEFORE the change occurs. Contact your CARD Licensing Specialist with questions.
  • Employ at least one vendor representative, as described below.
  • Sell their product at or above the posted price.

Vendor representatives

A distillery must employ at least one representative (vendor rep), and can have up to four additional vendor reps, who promote the sale of the distillery’s products. A vendor rep must be a resident of the state or become a resident after employment.

Fill out the Vendor Representative Permit under the Liquor Vendor Account (LVA) found on your TAP account. If you do not have an LVA, contact the Liquor Auditor at (406) 444-2909 or email CARD at DORCARD@mt.gov.

Complete the Supplement to Application for the Montana Vendor Representative Permit (PDF) and attach it to the vendor rep application.

Use the server training lookup tool to find out if someone is server-trained. You must know their name and birthdate. You may find a list of approved training providers at AlcoholServerTraining.mt.gov.

Alterations

If you decide to remodel your establishment, you must send CARD an Alteration Request Form (PDF) along with a copy of the existing floor plan and a proposed floor plan showing the alterations before starting the alteration. Once the Department reviews and approves the request, you may begin the alteration without it affecting your license. You may not use the new premises area(s) until the department has approved them and they have passed building, health, fire, and a premises inspection.

Exception: In certain cases, pre-approval is not required. Contact CARD if you are unsure. Not sure if your “remodel” is considered an alteration? Contact your Licensing Specialist.

Sampling Events

See the Montana Licensed Distilleries Providing Samples page for more specifics.

Definitions

Alcoholic beverage
A compound produced and sold for human consumption as a drink that contains more than 0.5 percent of alcohol by volume.
Distilled spirits
Alcoholic beverages that contain ethyl alcohol and generally are the result of distillation of fermented materials. Examples include whiskey, gin, vodka, cordials, liqueurs, and flavored brandies. Distilled spirits do not include alcoholic beverages that are defined as beer or wine by the Montana Alcoholic Beverage Code.
Non-institutional lender
A person other than a state or federally regulated banking or financial institution, a credit union, an investment company, a development company, or other regulated lender as defined in 31-1-111, MCA, who loans money to the applicant for a license or to the licensee.

Questions?

Contact an CARD Licensing Specialist for more information.