By: Seliger S.B. No. 896
(In the Senate - Filed February 14, 2017; February 28, 2017,
read first time and referred to Committee on Business & Commerce;
April 18, 2017, reported adversely, with favorable Committee
Substitute by the following vote: Yeas 8, Nays 1; April 18, 2017,
sent to printer.)
Click here to see the committee vote
COMMITTEE SUBSTITUTE FOR S.B. No. 896 By: Creighton
A BILL TO BE ENTITLED
AN ACT
relating to the status, regulation, and taxation of powdered
alcohol as an alcoholic beverage; creating an offense.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
SECTION 1. Section 1.04(1), Alcoholic Beverage Code, is
amended to read as follows:
(1) "Alcoholic beverage" means alcohol, including
powdered alcohol, or any beverage containing more than one-half of
one percent of alcohol by volume, which is capable of use for
beverage purposes, either alone or when diluted or reconstituted.
SECTION 2. Subchapter C, Chapter 101, Alcoholic Beverage
Code, is amended by adding Section 101.461 to read as follows:
Sec. 101.461. PACKAGING OF POWDERED ALCOHOL.
Notwithstanding any other law, a person may not sell powdered
alcohol to an ultimate consumer unless the powdered alcohol is
sealed in single-serving packages containing not more than 14 grams
of powdered alcohol each.
SECTION 3. Subchapter A, Chapter 108, Alcoholic Beverage
Code, is amended by adding Section 108.11 to read as follows:
Sec. 108.11. ADVERTISING OF POWDERED ALCOHOL. In an
advertisement for powdered alcohol, a person may not suggest or
depict the consumption of powdered alcohol without the addition of
liquid to the powdered alcohol.
SECTION 4. The heading to Section 201.03, Alcoholic
Beverage Code, is amended to read as follows:
Sec. 201.03. TAX ON DISTILLED SPIRITS AND POWDERED ALCOHOL.
SECTION 5. Section 201.03(a), Alcoholic Beverage Code, is
amended to read as follows:
(a) A tax is imposed on the first sale of:
(1) distilled spirits at the rate of $2.40 per gallon;
and
(2) powdered alcohol at the rate of $2.40 per gallon
based on the amount of liquid suggested to be added by the
manufacturer's packaging.
SECTION 6. This Act takes effect September 1, 2017.
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