Local Officials Create Legislation to Help East End Non-Farm Wineries

Local officials recently announced that their legislation to help non-farm wineries has been approved by the Senate and Assembly.

The legislations created by Senator Ken LaValle, (R-Port Jefferson) and Assemblyman Fred W. Thiele, Jr. (I, D, WF-Sag Harbor), would exempt non-farm wineries who produce less than 150,000 gallons annually from filing annual information returns regarding their transactions with sales tax vendors.

“It’s critical that we continue to support Long Island wineries. They are important members of our community, essential to the economy and are fundamental in maintaining the character of the East End,” LaValle said. “Lessening state administrative burdens placed upon smaller operations will enable them to continue to produce the wines that we all enjoy, and grow their businesses.”

“We’re thrilled at the news that this bill has passed,” Steven Bate, the Executive Director of the Long Island Wine Council said. “This is something we’ve been hoping for since the same treatment was accorded to farm wineries in 2012. “

Under state law, all beer, wine, and liquor wholesalers are required to report sales made to restaurants, bars and other retailers to the New York State Department of Taxation and Finance.

Farm wineries and craft breweries were included within the definition of a ‘wholesaler’ and were required to report this information until LaValle and Thiele passed legislation in 2012 to exclude them.

This bill would now exempt non-farm wineries from this costly and burdensome paperwork requirement.

Due to their restricted size, producing less than 150,000 gallons annually, it is difficult for many non-farm wineries to absorb the cost of complying with the annual filing requirement.

“Non-farm wineries are small operations that have struggled to comply with this needless filing requirement,” Thiele, who is also the Chair of the Assembly’s Small Business Commitee said. “Our wineries can better use their time to growth their businesses and promote their product rather than filling out costly paperwork.”

Since the Senate and the Assembly have both approved the legislation, it will be transmitted to the Governor for consideration.