AZ HB2661

Removes the "domestic" designation from farm winery licenses and allows farm wineries to produce wine from grapes or fruit grown on at least five producing acres owned or controlled by the applicant, or through custom crush arrangements with licensed wineries.

Authorizes farm winery licensees to operate up to two remote tasting and retail premises with local governing body approval, where they may sell their own wine plus up to 20% wine from other farm wineries.

Allows farm wineries to hold a craft distillery license and produce up to 1,000 gallons of distilled spirits annually from fruit processed at the winery, with sampling and sales permitted on the same premises as wine operations.

Creates a new craft distiller license category permitting production of up to 20,000 gallons of distilled spirits annually, with authority to sell to wholesalers, provide on-premises sampling and sales, ship direct to consumers, and operate one remote tasting location.

Makes the act conditional on Senate Bill 1397 (relating to spirituous liquor licenses) becoming law.