ALCOHOLIC BEVERAGE CODE

CHAPTER 38. INDUSTRIAL PERMIT


	§ 38.01.  AUTHORIZED ACTIVITIES.  The holder of an 
industrial permit may import, transport, and use alcohol or 
denatured alcohol for the manufacture and sale of any of the 
following products:
		(1)  denatured alcohol;                                                       
		(2)  patent, proprietary, medicinal, pharmaceutical, 
antiseptic, and toilet preparations;
		(3)  flavoring extracts, syrups, condiments, and food 
products;  and        
		(4)  scientific, chemical, mechanical, and industrial 
products, or products used for scientific, chemical, mechanical, 
industrial, or medicinal purposes.

Acts 1977, 65th Leg., p. 449, ch. 194, § 1, eff. Sept. 1, 1977.            


	§ 38.02.  EXEMPTIONS.  The following persons or entities 
are exempt from the requirement of obtaining an industrial permit:
		(1)  a pharmacist for the filling of prescriptions 
issued by a physician in the legitimate practice of medicine;
		(2)  a state institution;                                                     
		(3)  a bona fide or chartered school, college, or 
university when using alcohol for a scientific or laboratory use;  
and
		(4)  a hospital, sanatorium, or other bona fide 
institution for the treatment of the sick.

Acts 1977, 65th Leg., p. 449, ch. 194, § 1, eff. Sept. 1, 1977.            


	§ 38.03.  PROHIBITED ACTS.  (a)  No person may purchase, 
transport, or use alcohol for any purpose enumerated in this 
chapter without an industrial permit, unless the person is exempt 
under Section 38.02 of this code from the requirement of obtaining a 
permit.
	(b)  No person may sell, possess, or divert any of the 
products enumerated in Subdivisions (1) through (4) of Section 
38.01 of this code for beverage purposes or under circumstances 
from which he might reasonably deduce that the intention of the 
purchaser is to use those products for beverage purposes.

Acts 1977, 65th Leg., p. 449, ch. 194, § 1, eff. Sept. 1, 1977.            


	§ 38.04   FEE.  The annual state fee for an industrial 
permit is $60.     

Acts 1977, 65th Leg., p. 449, ch. 194, § 1, eff. Sept. 1, 1977.  
Amended by Acts 1983, 68th Leg., p. 1348, ch. 278, § 29, eff. 
Sept. 1, 1983.


	§ 38.05.  OTHER CODE PROVISIONS INAPPLICABLE.  No 
provisions of this code other than this chapter apply to alcohol 
intended for industrial, medicinal, mechanical, or scientific 
purposes.

Acts 1977, 65th Leg., p. 449, ch. 194, § 1, eff. Sept. 1, 1977.            


	§ 38.06.  ACTIVITIES TAX FREE.  The taxes imposed by this 
code do not apply to activities authorized in Section 38.01 of this 
code.

Acts 1977, 65th Leg., p. 449, ch. 194, § 1, eff. Sept. 1, 1977.