AB-35 – Monthly Acquisition Reporting (Schedule D-2)
What wholesalers must report and verify when receiving wine and distilled spirits
Maryland requires wholesalers to accurately complete Schedule D-2 as part of their monthly tax reporting and to verify that all products are received from properly licensed sources, and this guidance explains how to complete the schedule correctly and avoid compliance issues.
What you need to know
- Schedule D-2 must be completed accurately each month
- You must verify that all suppliers are properly licensed
- Invoice details must match permit records
- Incomplete or incorrect reporting may lead to violations
Who This Applies To
This guidance applies to:
- Maryland wholesalers of wine and distilled spirits
Reporting Requirement
Wholesalers must:
- File Form COM/ATTD-034 monthly
- Include Schedule D-2 for all products received from outside Maryland
This report supports your monthly tax return.
What Must Be Reported
For each transaction, you must include:
- Invoice number (not purchase order number)
- Full name and address of the supplier
- Trade name (if applicable)
- City and state (or country for imports)
- Non-resident dealer permit number
If importing directly:
- List country of origin
- Label as “self import”
Verification Requirement
You must ensure that:
- All products are received from licensed sources
This includes:
- Non-resident dealers
- Licensed wholesalers or manufacturers (in limited cases)
You are responsible for verifying this using the state’s license database.
Invoice Matching Requirement
The following must match exactly:
- Supplier name
- Trade name
- Address
These must match what is listed on the supplier’s permit.
Common Compliance Issues
Audits have identified issues such as:
- Incomplete or inaccurate supplier information
- Invoice names not matching permit records
- Missing permit numbers
These issues prevent verification of lawful product sources.
What to Do if There Is a Mismatch
If supplier information does not match permit records:
- Send a copy of the invoice to ATCC
- Include a brief explanation
- Allow the issue to be reviewed and corrected
Failure to report discrepancies may result in violations.
Important Requirement
- You must only receive product from properly licensed sources
- Receiving product from an unlicensed source is a violation
What This Means for Businesses
Businesses should:
- Carefully review all supplier invoices
- Verify permit information before reporting
- Ensure Schedule D-2 is complete and accurate
- Maintain documentation for all transactions
Need Help?
For questions about Schedule D-2 reporting, contact the Maryland Comptroller’s Office: 410-260-7980