Question about ABC Type 85, TTB basic permit and direct shipping

(This is crossed posted at Celler Rats)

Ive done some research and it looks like I might only need an ABC type 85 license for what I plan to do initially with my wines since the wines are made at a bonded winery location and I initially plan only to sell direct. Ive been researching on whether I also need a TTB basic permit and Im a bit confused.

This page: http://www.ttb.gov/publications/direct_shipping.shtml has this sentence:

Finally, a basic permit is required for persons who engage in the business of purchasing for resale at wholesale distilled spirits, wine, or malt beverages for non-industrial use. Retailers are not required to obtain basic permits under the FAA Act.

It seems like it is contradicting itself. “basic permit is required for persons who engage in the business of purchasing for resale at wholesale…wine…for non-industrial use” sounds like it is describing the activity of a retailer but then they immediately say “Retailers are not required to obtain basic permits under the FAA Act”. The second part seems pretty cut and dry but the first part seems to pre-emptively muddy it.

Does anyone have any insight into this? I would basically be a company similar to Envoyer wines (but only selling my own wine) and I imagine they don’t have to have a TTB permit, right?

The way I read it they are referring to brokers not retailers. “Purchasing for resale at wholesale” you are reading it to say purchasing at wholesale for resale which would equate to retail.

+1

edit: double post

Thanks. You have got to be right. Its the only thing that makes sense.

Berry–That’s the way I would read it, but I don’t specialize in that area of the law. There are law firms that do specialize in alcohol/wine law, and it might be worth your time to have a short consultation with one of them to make sure that you’re covered as to any possible licensing issues.

Bruce