Biscuit old artist lifted, dipped in wine (8)
I believe the answer is:
macaroon
'biscuit' is the definition.
(macaroon is a kind of biscuit)
'old artist lifted dipped in wine' is the wordplay.
'old' becomes 'o' (common abbreviation eg in OE for Old English).
'artist' becomes 'ra' (Royal Academician, member of Royal Academy of Arts).
'lifted' says the letters should be written in reverse (going up in down clue).
'dipped in' means one lot of letters goes inside another.
'wine' becomes 'macon' (macon is a kind of wine**).
'o'+'ra'='ora'
'ora' in reverse letter order is 'aro'.
'aro' put inside 'macon' is 'MACAROON'.
(Other definitions for macaroon that I've seen before include "Almond or coconut biscuit" , "Sweet bit of food" , "Coconut-topped biscuit" , "Biscuit of egg-white and almonds or coconut" , "Something nutty to enjoy" .)