AB-26 – Interstate Shipment of Alcohol (Felony Law)
What businesses need to know about illegal alcohol shipments into Maryland and associated penalties
Maryland law prohibits shipping alcohol directly to consumers from out of state.
Under state law, these violations are considered felony offenses and may result in serious penalties.
This includes shipments arranged online, through third parties, or delivered by carriers.
What you need to know
- Shipping alcohol directly to Maryland consumers from out of state is illegal
- These violations are classified as felonies
- Using third parties or carriers does not make the activity legal
- Products and transport vehicles may be seized
Who This Applies To
This guidance applies to:
- Alcohol wholesalers
- Nonresident dealers
- Suppliers shipping alcohol into Maryland
What Is Allowed
In Maryland:
- Alcohol sales to consumers must go through licensed retail dealers
- Products must move through the three-tier system:
- Manufacturer → Wholesaler → Retailer → Consumer
Consumers generally cannot receive alcohol directly from out-of-state sellers
What Is Not Allowed
The following activities are prohibited:
- Shipping alcohol directly to consumers in Maryland from out of state
- Shipping alcohol directly to Maryland retailers from outside the state
- Bypassing licensed Maryland wholesalers
These actions violate Maryland law and the three-tier system.
Why These Rules Exist
Maryland’s alcohol laws are designed to:
- Ensure proper tax collection
- Maintain a regulated distribution system
- Prevent underage access to alcohol
- Support a fair marketplace
Direct shipping outside this system can:
- Avoid taxes
- Bypass licensed businesses
- Increase the risk of illegal sales
Enforcement and Penalties
If violations occur:
- Nonresident dealer permits may be suspended or revoked
- Alcohol involved may be considered contraband
- Products and transport vehicles may be seized
These actions are authorized under Maryland law.
Reporting Violations
If you are aware of illegal alcohol shipments into Maryland:
- Contact ATCC or the appropriate enforcement authority
- Provide details to support investigation
Important Notes
- These rules apply broadly to out-of-state shipments
- Limited exceptions may exist under specific permits (e.g., wine shipping)
- Businesses should confirm whether any exception applies before shipping
Need Help?
For questions about shipping alcohol, contact the ATCC: 410-260-7314 ext. 4 or [email protected]