(a) As used in this Code section, the term:

(1) "Farm winery" means a domestic winery located on premises, a substantial portion of which is used for agricultural purposes, including the cultivation of grapes, berries, or fruits to be utilized in the manufacture or production of wine by the winery, or a domestic winery which:

(A) Makes at least 40 percent of its annual production from agricultural produce grown in this state;

(B) Is owned and operated by persons who are engaged in the production of a substantial portion of the Georgia agricultural produce used in its annual production; and for this purpose such production of a substantial portion of such Georgia agricultural produce shall be determined by the commissioner; and

(C) Produces less than 100,000 gallons per year.

(2) "Tasting room" means an outlet for the promotion of a farm winery's wine by providing samples of such wine to the public and for the sale of such wine at retail for consumption on the premises and for sale in closed packages for consumption off the premises. Samples of wine can be given complimentary or for a fee.

(b) The commissioner may authorize any licensee which is a farm winery to sell its wine and the wine of any other Georgia farm winery licensee at retail in a tasting room or other facility on the premises of the winery for consumption on the premises and in closed packages for consumption off the premises and to sell its wine and the wine of any other Georgia farm winery licensee at retail for consumption on the premises and in closed packages for consumption off the premises in tasting rooms at five additional locations in the state but only if the annual production of wine by the farm winery is made in Georgia from at least the following percentages of Georgia grown agricultural products during the years of production provided below:

(1) First-year production: Ten percent from Georgia grown berries, fruits, or grapes (2) Second-year production: Twenty percent from Georgia grown berries, fruits, or grapes (3) Third-year production: Thirty percent from Georgia grown berries, fruits, or grapes (4) Fourth-year production Forty percent from Georgia and thereafter: grown berries, fruits, or grapes

(c)(1) Except as provided in paragraph (2) of this subsection, the commissioner may authorize any licensee which is a farm winery to sell up to 24,000 gallons per year of its wine at wholesale within the state but only if the annual production of wine by the farm winery is made in Georgia from at least 40 percent of Georgia grown agricultural products. (2) The commissioner shall not authorize any licensed farm winery to sell its wine at wholesale as provided in paragraph (1) of this subsection, unless such licensed farm winery shall have first offered its products for sale at a fair market wholesale price to a licensed Georgia wholesaler. If such wholesaler does not accept the farm winery's product within 30 days of such offer, the provisions of paragraph (1) of this subsection shall apply.

(d)(1) A farm winery licensee shall also be authorized to sell, deliver, or ship its wine in bulk or in bottles, whether labeled or unlabeled, in accordance with regulations of the commissioner, to other farm winery licensees inside the state and shall be authorized to acquire and receive deliveries and shipments of such wine made by farm winery licensees inside the state.

(2) A farm winery licensee shall be authorized, in accordance with regulations of the commissioner, to acquire and receive deliveries and shipments of wine in bulk from out-of-state producers and shippers in an amount not to exceed 20 percent of its annual production, provided that the farm winery licensee receiving any such shipment or shipments files timely reports with the commissioner and keeps such records of the receipt of such shipment or shipments as may be required by the commissioner.

(3) Any wine received in bulk pursuant to paragraph (2) of this subsection shall have levied thereon the requisite taxes as prescribed by Code Section 3-6-50, and such taxes shall be reported and remitted to the commissioner as provided in Code Section 3-2-6.

(e) The annual license tax for each license issued pursuant to this Code section shall be $50.00.

(f) The surety bond required as a condition upon issuance of a license pursuant to this Code section shall be the same as that required pursuant to Code Section 3-6-21 with respect to wineries.

(g) Wines sold at retail by a manufacturer as provided in subsection (b) of this Code section shall have levied thereon an excise tax as prescribed by Code Section 3-6-50, and such tax shall be reported and remitted to the commissioner as provided in Code Section 3-2-6.