ACT 2017-294 establishes the Wholesale to Retail Accountability Program or “WRAP”. The WRAP legislation requires new information be provided to the Alabama Department of Revenue in 4 areas:
In order to implement the legislation and provide guidance to the Revenue Department, an industry advisory group was established. This group was made up of representatives from industry and local government who worked together to ensure that the concerns of all interested parties were discussed and considered.
Effective July 1, 2018, ACT 2017-294 requires each licensed beer or wine distributor (seller) to file an informational monthly report of any beer or wine sales made to retail licensees for which an exemption from sales or use tax collection was claimed at the time of the sale. A “seller” is a manufacturer, wholesaler, or distributor of beer, wine or tobacco products who sells to a retailer (licensee) in this state. The term also includes a wholesale club or warehouse club that sells tobacco or alcohol under a membership.
The first informational monthly report will cover sales occurring on or after July 1, 2018 through July 31, 2018 and is due on or before August 20, 2018. For each month after, the informational report will be due on or before the 20th day of the month next succeeding the month in which sales occur.