A. A licensee with a winegrower’s license or a person licensed in a state other than New Mexico that holds a winery license may apply to the director for and the director may issue to the applicant a direct wine shipment permit. An application for a direct wine shipment permit shall include:

(1)     contact information for the applicant in a form required by the department;

(2)     an annual application fee of fifty dollars ($50.00) if the applicant does not hold a winegrower’s license;

(3)     the number of the applicant’s winegrower’s license if the applicant is located in New Mexico or a copy of the applicant’s winery license if the applicant is located in a state other than New Mexico; and

(4)     any other information or documents required by the director. Upon approval of an applicant for a permit, the director shall forward to the taxation and revenue department the name of each permittee and the contact information for the permittee.

B. A direct wine shipment permit shall be valid for a permit year. A permittee shall renew a direct wine shipment permit annually as required by the department to continue making direct shipments of wine to New Mexico residents.

C. A permittee may ship:

(1)     not more than two nine-liter cases of wine monthly to a New Mexico resident who is twenty-one years of age or older for the recipient’s personal consumption or use, but not for resale; and

(2)     wine directly to a New Mexico resident only in containers that are conspicuously labeled with the words:

“CONTAINS ALCOHOL SIGNATURE OF PERSON 21 YEARS OR OLDER REQUIRED FOR DELIVERY”.

D. A permittee shall:

(1)     register with the taxation and revenue department for the payment of liquor excise tax and gross receipts taxes due on the sales of wine pursuant to the permittee’s activities in New Mexico;

(2)     submit to the jurisdiction of New Mexico courts to resolve legal actions that arise from the shipping by the permittee of wine into New Mexico to New Mexico residents;

(3)     monthly, by the twenty-fifth day of each month following the month in which the permittee was issued a direct wine shipment permit, pay to the taxation and revenue department the liquor excise tax due and the gross receipts tax due; and

(4)     submit to an audit by an agent of the taxation and revenue department of the permittee’s records of the wine shipped pursuant to this section to New Mexico residents upon notice and during usual business hours.

E. As used in this section:

(1)     “permit year” means the period between July 1 and June 30 of a year; and

(2)     “permittee” means a person that is the holder of a direct wine shipment permit.