California passed fewer alcohol-related bills in 2025 than it normally does, but we still have a list of seven new laws taking effect on January 1, 2026. Here is what alcohol businesses need to know to stay compliant.
1. Retailers’ Mandatory EFTs to Wholesalers
As of January 1, 2026, payments from alcohol retailers to wholesalers for delivery of beer, wine, or distilled spirits must be by electronic funds transfer (EFT), except under limited circumstances. Unless retailers told wholesalers they preferred another processor before July 1, 2025, they must use electronic payment processors chosen by wholesalers. Transfers must occur within 30 days of the delivery, and the parties must bear their own transaction costs for EFTs.
Notably, using EFT costs more than using cash or checks. EFT may cost $1-3 per transaction or more, unless the business is able to negotiate a lower fee. Retailers can only use another method to pay wholesalers for delivery of alcoholic beverages when:
- Transactions occur within the first 30 days after ABC issues the retail license.
- Retailers have temporary or interim operating permits from the ABC only.
- EFT fails due to insufficient funds.
- EFT is temporarily unable.
EFT mandates apply to retailers’ payments to wholesaler licensees only. Their payments to wineries and breweries are not subject to the new law.
(See California Business & Professions Code § 25509.1.)
2. Craft Distillers’ Direct Shipper Permit
The California ABC will issue Distilled Spirits Direct Shipper Permits, which it calls “Type 94” permits. The permit allows licensed California craft distilleries and qualifying out-of-state distilleries to ship spirits directly to California consumers. Even though only distilleries making up to 150,000 gallons of spirits annually qualify, this is still an important liberalization of California’s direct shipping laws. The new law extends a temporary shipping privilege that otherwise would have expired, but only for one year—until January 1, 2027.
Permitholders can ship up to 2.25 liters of distilled spirits per day, per consumer, solely for the consumer’s personal use. Permitholders must ship using common carriers and conspicuously label containers with the statement that “CONTAINS ALCOHOL: SIGNATURE OF PERSON AGE 21 YEARS OR OLDER REQUIRED FOR DELIVERY.” An adult over age 21 must receive and sign for the package.
The permit costs $30 annually, and there is a $125 application fee. Out-of-state applicants must show evidence they are licensed to make spirits in their home state.
Out-of-state permit holders must report annual shipping volumes to the ABC by January 1 each year. They also need to register with the California Secretary of State and remit California excise taxes on their shipments into California.
And a bonus: Also beginning on January 1, 2026, craft distillers can sell more spirits to consumers at their licensed premises. The new law raises the per-consumer on-site sales limit from 2.25 liters to 4.5 liters of prepackaged distilled spirits per day.
(See California Business & Professions Code §§ 23504, 23504.5.)
3. Wineries’ Estate-Based Tasting Event Permits
Beginning January 1, 2026, the California ABC will issue new Estate Tasting Event Permits to winegrower licenses, which it calls “Type 93” permits. The permit authorizes winegrowers to exercise tasting privileges at either:
- Property adjacent to the licensed premises that is owned or controlled by the licensee; OR
- Non-adjacent vineyards owned or controlled by the licensee.
Permitholders can host up to 36 events per calendar year. Like with a catering permit, they must obtain approval from the Department in advance. The ABC charges $100 for each event authorization.
(See California Business & Professions Code § 23399.03.)
4. Deadline Delays for CRV Label Data
The California Legislature delayed the date by which labels on wine and spirits containers must contain CRV deposit information to July 1, 2026. It extended the labeling exemption to containers filled and labeled before July 1, 2025.
The new law also permits manufacturers to etch redemption values on containers and to use new styles of machine readable indicia, such as UPC and QR codes.
(See California Public Resources Code § 14561.)
5. Beer Manufacturers’ Glassware Privileges Extended
The Legislature extended a special marketing privilege for beer manufacturers, allowing them to continue to provide up to five cases of branded glassware to on-sale licensees (mostly restaurants and bars) per location per calendar year. The law extended a privilege that would otherwise have expired, but only for another three years—until January 1, 2029.
As before, retailers can accept up to 10 cases annually. They must report the gifts to the ABC, who checks to be sure they stay within the limit. Retailers can’t sell the glassware, give it away, or return it for any cash or credit. And, neither party can condition purchases on the glassware.
(See California Business & Professions Code § 25600.05.)
6. Use of Age Verification Tools Shows Compliance
California law now recognizes licensees can present evidence they used age verification technology (usually scanners) to show compliance in enforcement proceedings about alcohol sales to minors. Although employees still have to personally examine IDs, their use of age verification tools shows an effort to comply with legal requirements. Nonetheless, use of scanners or similar tools often is not enough to save licensees from violations for sales to minors.
(See California Business & Professions Code § 25660.)
7. Beer Manufacturers & Wholesalers Can Sell Beer to Licensees from Trucks/Trailers
Starting January 1, 2026, California law allows beer manufacturers and wholesalers to sell beer to licensees, usually retailers, directly from their trucks and trailers, not just from their licensed premises. The privilege allows sales to licensees only—not consumers—from vehicles.
(See California Business & Professions Code § 23388.)
