♦ ♦ ♦ 
SUBCHAPTER B. FEES AND PAYMENTS 
16 TAC §§33.25 - 33.28, 33.30 - 33.32, 33.37 - 33.39 
The repeals are proposed pursuant Section 410 H.B. 1545, 86th 
Tex. Leg. R.S. (2019), which eliminated certain authorizations, 
and §5.31 of the Code, which authorizes the commission to pre-
scribe and publish rules necessary to carry out the provisions of 
the Code. 
The proposed repeals do not impact any other current rules or 
statutes. 
§33.25. Temporary and Secondary Permits and Licenses. 
§33.26. Manufacturer's Agent's Warehousing Permit Fee. 
§33.27. Regional Forwarding Centers Fee. 
§33.28. Consumer Delivery Permit Fee. 
§33.30. Fee for a Manufacturer's Agent's Warehousing Permit. 
§33.31. Secondary Permits. 
§33.32. Nonresident Brewer's and Nonresident Manufacturer's 
Agent's Registration and Fee. 
§33.37. Refunds of License and Permit Fees. 
§33.38. Fees related to Renewals of Licenses and Permits after Ex-
piration. 
§33.39. Food and Beverage Certificate Fee. 
The agency certifies that legal counsel has reviewed the pro-
posal and found it to be within the state agency's legal authority 
to adopt. 
Filed with the Office of the Secretary of State on June 15, 2021. 
TRD-202102343 
Shana Horton 
Rules Attorney 
Texas Alcoholic Beverage Commission 
Earliest possible date of adoption: August 1, 2021 
For further information, please call: (512) 487-9905 
♦ ♦ ♦ 
CHAPTER 45. MARKETING PRACTICES 
The Texas Alcoholic Beverage Commission (TABC, agency, or 
commission) proposes amendments to rules §§45.1, 45.2, 45.4, 
45.5, 45.25 - 45.27, 45.30, 45.40 - 45.43, 45.50, 45.106, 45.113, 
45.117, and 45.131; and new rules §§45.51, 45.121 - 45.127, 
and 45.130. The repeal of rules §45.22 and §45.121 is proposed 
in a separate, simultaneous proposal. 
Background and Summary 
The agency proposes these changes to Chapter 45 of the 
agency's rules as the result of a comprehensive review of the 
chapter pursuant to the regular four-year review cycle pre-
scribed by Government Code §2001.039, as well as to conform 
its rules to statutory changes made by House Bill 1545 (H.B. 
1545, 86th Tex. Leg. R.S. (2019)), including the consolidation of 
beer and ale and changes to license and permit types. Because 
those statutory changes become effective on September 1, 
2021, the commission proposes to make these rule changes 
effective on the same date to reduce confusion. Additionally, 
provisions related to advertising that were repealed effective 
December 31, 2020 are proposed to be consolidated and 
readopted to ensure the agency's continuing ability to enforce 
them independently. Members of the regulated industry must comply with these requirements and restrictions under federal 
regulations; therefore, their readoption should not have any 
impact on regulated industry. 
The amendments are proposed pursuant to the commission's 
general powers and duties under §5.31 of the Alcoholic Bever-
age Code (the "Code"). 
Section by Section Discussion 
§45.1. Statutory Authority and Applicability. 
The commission proposes to amend §45.1 to add a reference 
to advertising statutes in Code Chapter 108, which are imple-
mented within this rule chapter (primarily in Subch. F). 
§45.2. Definitions. 
The commission proposes to amend §45.2(1) to add back in the 
definition of "Advertisement" and update methods of publication 
to include modern methods of advertising (prior §45.12, repealed 
effective Dec. 31, 2020). 
The commission proposes to amend §45.2(2) to conform to 
statutory changes made by H.B. 1545 (2019). 
The commission proposes to amend §45.2(12) and (13) to con-
form to statutory changes made by H.B. 1545 (2019). 
The commission proposes new §45.2(16) to add a definition for 
sake, a beverage type becoming increasingly common. 
§45.4. Product Registration Required. 
The commission proposes to amend §45.4 to conform to statu-
tory changes made by H.B. 1545 (2019). 
§45.5. Denial of Product Registration. 
The commission proposes to amend §45.5(b) to add back in 
provisions related to guarantees on labels and expand appli-
cation of the rule from wine labels to all beverage types (prior 
§45.46(a)(5), repealed effective Dec. 31, 2020). 
§45.25. Damaged Stock. 
The commission proposes to amend §45.25 to extend the provi-
sion prohibiting selling distilled spirits that have had fire, smoke, 
or water damage to the label, container, or contents, unless au-
thorized by the executive director, to apply to all alcoholic bever-
ages. 
§45.26. Intrastate Bottling. 
The commission proposes to amend §45.26 to swap a refer-
ence to "certificate of label approval" for "registration with the 
commission" for consistency with earlier rule changes in confor-
mance with H.B. 1545 (2019) and to make other non-substantive 
changes. §45.27. Illicit Beverage. 
The commission proposes non-substantive amendments to 
§45.27 for clarity and to correct grammar. 
§45.30. Certificate of Registration for a Distilled Spirit Product. 
The commission proposes to amend §45.30 to correct a capital-
ization error. 
§45.40. Certificate of Registration for a Malt Beverage Product. 
The commission proposes to amend §45.40 to conform to statu-
tory changes made by H.B. 1545 (2019). 
46 TexReg 4006 July 2, 2021 Texas Register §45.41. Additional Reasons for Denial of Registration of a Malt 
Beverage Product. 
The commission proposes to amend §45.41(a)(1)(C) and (c) to 
implement Alcoholic Beverage Code §101.41(c) requiring that 
malt beverage product labels include the product's alcohol con-
tent by volume (ABV), and to conform to other statutory changes 
made by H.B. 1545 (2019). 
§45.42. Misbranding. 
The commission proposes to amend §45.42 to conform to statu-
tory changes made by H.B. 1545 (2019). 
§45.43. Verification Regarding Use of Facilities. 
The commission proposes to amend §45.43 to conform to statu-
tory changes made by H.B. 1545 (2019). 
§45.50. Certificate of Registration for Wine. 
The commission proposes to amend §45.50 to add a cross-ref-
erence to make clear that the rule does not apply to holders of 
out-of-state winery direct shipper's permits under Chapter 54 of 
the Code and to correct a capitalization error. 
§45.51. Additional Provisions for the Examination of Wine. 
The commission proposes new §45.51, the content of which is 
simultaneously proposed for repeal from §45.22 and has been 
edited for clarity, punctuation, and grammar. 
§45.106. Sweepstakes and Games of Chance. 
The commission proposes to amend §45.106 to conform to 
statutory changes made by H.B. 1545 (2019). 
§45.113. Gifts, Services and Sales. 
The commission proposes to amend §45.113 to conform to statu-
tory changes made by H.B. 1545 (2019). 
§45.117. Gifts and Advertising Specialties. 
The commission proposes to amend §45.117(c)(2) to open for 
discussion only raising the cap on the total cost of advertising 
specialties provided to a retailer in a year, which has not in-
creased since 2004. The cap cannot be raised significantly with-
out amendment of the underlying statute. The purpose of the 
proposal is to gauge stakeholder interest in raising this cap and 
by how much. 
All other proposed amendments to §45.117 are either necessary 
to conform to statutory changes made by H.B. 1545 (2019) or are 
non-substantive. 
§45.121. Advertising Standards Required. 
The commission proposes new §45.121 to add back into rule the 
general prohibition on advertising that does not comply with rule 
standards (prior §45.11, repealed effective Dec. 31, 2020). 
§45.122. Prohibited Statements. 
The commission proposes new §45.122 to add back into rule 
provisions prohibiting certain statements in advertisements (prior 
§45.15, repealed effective Dec. 31, 2020). 
§45.123. Required Statements. 
The commission proposes new §45.123 to add back into rule 
provisions requiring certain statements in advertisements (prior 
§45.13, §45.88, repealed effective Dec. 31, 2020). 
§45.124. Lettering. The commission proposes new §45.124 to add back into rule a 
provision requiring required statements to be in conspicuous and 
legible font (prior §45.14, repealed effective Dec. 31, 2020). 
§45.125. Cooperative Advertising by Package Stores. 
The commission proposes new §45.125 to add back into rule the 
prohibition on cooperative advertising by package stores (prior 
§45.49(c), repealed effective Dec. 31, 2020). 
§45.126. Additional Mandatory Statements for Distilled Spirits. 
The commission proposes new §45.126 to add back into 
rule additional mandatory statements for distilled spirits (prior 
§45.13(c), (d), §45.15(i), repealed effective Dec. 31, 2020). 
§45.127. Additional Prohibited Statements for Distilled Spirits. 
The commission proposes new §45.127 to add back into rule ad-
ditional prohibited statements for distilled spirits (prior §45.15(c), 
repealed effective Dec. 31, 2020). 
§45.130. Credit Law and Delinquent List. 
The commission proposes new §45.130 to contain the Credit 
Law and Delinquent List rule that is simultaneously proposed for 
repeal from §45.121 as part of reorganization of the chapter. In 
addition, amendments proposed to subsection (d) clarify when 
a credit payment is considered late and the purpose of four-day 
period between payment due date and placement on Delinquent 
List. All other proposed amendments to §45.130 are either necessary 
to conform to statutory changes made by H.B. 1545 (2019) or are 
non-substantive. §45.131. Cash Law. 
The commission proposes amendments to §45.131 to conform 
to statutory changes made by H.B. 1545 (2019) and to make 
non-substantive changes. 
Fiscal Note: Costs to State and Local Government 
Shana Horton, Rules Attorney, has determined that for each year 
of the first five years that the proposed amended rules will be in 
effect, they are not expected to have a significant fiscal impact 
upon the agency. There are no foreseeable economic implica-
tions anticipated for other units of state or local government due 
to the proposed amendments. The amendments are required by 
the legislature under H.B. 1545; non-substantive edits for clarity, 
grammar, and internal consistency; consolidation and rearrange-
ment of rules for efficiency; and reincorporation of agency ad-
vertising rules that mirror federal regulations and were in com-
mission rules until December 31, 2020. The commission will be 
able to administer the amended rules using existing agency re-
sources. The amended rules do not impact other units of state 
and local government. 
Rural Communities Impact Assessment 
The proposed amendments will not have any material adverse 
fiscal or regulatory impacts on rural communities. The amend-
ments are required by the legislature under H.B. 1545; non-
substantive edits for clarity, grammar, and internal consistency; 
or consolidation and rearrangement of rules for efficiency. The 
rules apply statewide and have the same effect in rural commu-
nities as in urban communities. Likewise, the proposed rules will 
not adversely affect a local economy in a material way. 
Small Business and Micro-Business Assessment/Flexibility 
Analysis 
PROPOSED RULES July 2, 2021 46 TexReg 4007 No material fiscal implications are anticipated for small or mi-
cro-businesses due to the proposed amended rules. Therefore, 
no Small Business and Micro-Business Assessment/Flexibility 
Analysis is required. 
Most of the amendments are required by the legislature under 
H.B. 1545, limiting the commission's flexibility with respect to 
their adoption. Where possible, the proposed rules mitigate im-
pacts on small and micro-businesses. For example, proposed 
amended §45.41 implements the statutory requirement that malt 
beverage labels show the product's alcohol content by volume. 
The commission's proposed rule includes a schedule that allows 
brewers time to use up cans and other labels printed prior to the 
new requirement to reduce waste of those containers and labels 
for which the brewer has already paid. 
Other amendments are non-substantive edits for clarity, gram-
mar, and internal consistency or consolidation and rearrange-
ment of rules for efficiency and have no material fiscal impacts. 
Takings Impact Assessment 
The proposed amendments do not affect a taking of private 
real property, as described by Attorney General Paxton's Pri-
vate Real Property Rights Preservation Act Guidelines. The 
rulemaking would impose no burdens on private real property 
because it neither relates to, nor has any impact on, the use or 
enjoyment of private real property and there is no reduction in 
value of property as a result of this rulemaking. 
Public Benefits and Costs 
Ms. Horton has determined that for each year of the first five 
years that the proposed amendments would be in effect, the 
public would benefit from the updated rules conforming to statu-
tory changes because their adoption will decrease confusion and 
lead to greater compliance with the agency's rule standards de-
signed to protect public health and safety and the Texas econ-
omy. There is no increase in costs to the public. 
Government Growth Impact Statement 
This paragraph constitutes the commission's government growth 
impact statement for the proposed amendments. The analysis 
addresses the first five years the proposed amendments would 
be in effect. The proposed amendments neither create nor elimi-
nate a government program. The proposed amendments do not 
require the creation of new employee positions or the elimination 
of existing employee positions. Implementation of the proposed 
amendments requires neither an increase nor a decrease in fu-
ture legislative appropriations to the commission. The proposed 
amendments are not expected to result in a significant change in 
fees paid to the agency. The proposed amendments are not an-
ticipated to have any material impact on the state's overall econ-
omy. 
The proposed amendments do not create any new regulations 
except in proposed amended §45.41, regarding addition of alco-
hol content by volume to labels, which is required by the Texas 
Legislature. Proposed amendments to §45.25 extend the provision prohibit-
ing selling distilled spirits that have had fire, smoke, or water 
damage to the label, container, or contents, unless authorized by 
the executive director, to apply to all alcoholic beverages. How-
ever, this amendment should have little impact on the regulated 
industry as the change reflects current agency and industry prac-
tices. Other proposed amendments do not expand the applica-bility of any rules or increase the number of individuals subject 
to existing rules' applicability beyond current rule requirements. 
Comments on the proposed rules and rule amendments may be 
submitted in writing to Shana Horton, Rules Attorney, Texas Al-
coholic Beverage Commission, at P.O. Box 13127, Austin, Texas 
78711-3127, by facsimile transmission to (512) 206-3498, atten-
tion: Shana Horton, or by email to rules@tabc.texas.gov. Written 
comments will be accepted for 30 days following publication in 
the Texas Register. 
The staff of the commission will hold a public hearing to receive 
oral comments on the proposed rules and rule amendments on 
July 13, 2021, at 10:00 a.m. The commission has designated 
this hearing as the appropriate forum to make oral comments 
under Government Code §2001.029. DUE TO PUBLIC HEALTH 
CONCERNS RELATED TO COVID-19, THIS HEARING WILL 
BE HELD BY VIDEOCONFERENCE ONLY. Interested persons 
should visit the TABC's public website prior to the meeting date to 
receive further instructions or call Shana Horton, Rules Attorney, 
at (512) 206-3451. 
SUBCHAPTER A. GENERAL PROVISIONS 
16 TAC §§45.1, 45.2, 45.4, 45.5 
The rules and rule amendments are proposed pursuant to the 
commission's authority under §5.31 of the Code to prescribe and 
publish rules necessary to carry out the provisions of the Code. 
The proposed amendments do not impact any other current rules 
or statutes. 
§45.1. Statutory Authority and Applicability. 
(a) This chapter implements Alcoholic Beverage Code 
§§101.67 and 101.671, which provide for the registration of alcoholic 
beverage products with the state, and Chapter 108, Advertising. 
(b) This chapter does not apply to: 
(1) distilled spirits for export or for industrial use; 
(2) wine produced pursuant to §109.21, Alcoholic Bever-
age Code; 
(3) wine that is to be exported in bond; 
(4) malt beverages in bond; or 
(5) malt beverages manufactured for sale exclusively out-
side this state. 
§45.2. Definitions. 
When used in this chapter, the terms listed below shall have the follow-
ing meanings: 
(1) Advertisement--Any statement provided by or at the 
behest of a permittee promoting the purchase of a brand of alcoholic 
beverage through the medium of: radio broadcast; television broad-
cast; the internet; newspapers, periodicals, or other publications; any 
sign or outdoor advertisement; or of any other printed or graphic matter, 
including trade booklets, menus, and cards, if such advertisement is in, 
or is calculated to induce sales in, this state, or is disseminated by mail 
or electronic mail. The term "advertisement" does not include: any la-
bel affixed to any alcoholic beverage bottle; or any individual covering, 
carton, or other container of the bottle, or any written, printed, graphic, 
or other matter accompanying the bottle, which constitutes a part of the 
labeling under this chapter; or any editorial or other reading matter in 
any periodical newspaper, or other publication for which no money or 
other valuable consideration is paid or promised, directly or indirectly, 
by any permittee. 
46 TexReg 4008 July 2, 2021 Texas Register (2) [(1)] Alcoholic beverage--Alcohol [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, including distilled spirits, malt beverages, and wine, 
as defined herein. 
[(2) Ale--Any malt beverage containing more than 4.0% 
of alcohol by weight. In this chapter, "malt liquor" and "ale" have the 
same meaning.] 
(3) Applicant--A person who submits an application with 
the commission to register an alcoholic beverage product. 
(4) Bottler--Any person who places alcoholic beverages in 
containers. 
(5) Brand label--The label carrying, in the usual distinctive 
design, the brand name of the alcoholic beverage. 
(6) Brewpub--A holder of a brewpub license under Chapter 
74 of the Alcoholic Beverage Code. 
(7) Code--The Texas Alcoholic Beverage Code. 
(8) COLA--A certificate of label approval issued by the 
United States Alcohol and Tobacco Tax and Trade Bureau pursuant to 
27 CFR Ch. I, Subch. A, Part 13. 
(9) Commission--The state agency, the Texas Alcoholic 
Beverage Commission; this term is not intended to refer to the agency's 
commissioners sitting as a deliberative body. 
(10) Container--Any can, bottle, barrel, keg, cask, tank car, 
or other closed receptacle, irrespective of size or of the material from 
which made, for use for the sale of malt alcoholic beverages. This pro-
vision does not in any way relax or modify §1.04(18) of the Alcoholic 
Beverage Code. 
(11) Distilled spirits--Alcohol, ethyl alcohol, hydrated ox-
ide of ethyl, spirits of wine, whiskey, rum, brandy, gin, other distilled 
spirits, and any liquor produced in whole or in part by the process of 
distillation, including all mixtures and dilutions thereof. 
(12) Malt beverage--A fermented beverage of any name or 
description containing one-half of one percent or more of alcohol by 
volume, brewed or produced from malt, in whole or in part, or from 
any malt substitute. [A beverage made by the alcoholic fermentation 
of an infusion or decoction, or combination of both, in potable brewing 
water, of malted barley with hops, or their parts, or their products, and 
with or without other malted cereals, and with or without the addition 
of unmalted or prepared cereals, other carbohydrates or products pre-
pared therefrom, and with or without the addition of carbon dioxide, 
and with or without other wholesome products suitable for human con-
sumption.] 
[(13) Malt liquor--Any malt beverage containing more 
than 4.0% of alcohol by weight. In this chapter, "malt liquor" and 
"ale" have the same meaning.] 
(13) [(14)] Person--A [a] natural person or association of 
natural persons, trustee, receiver, partnership, corporation, organiza-
tion, or the manager, agent, servant, or employee of any of them. 
(14) [(15)] Producer--A [a] manufacturer of all classes of 
alcoholic beverages and nonresident sellers that are the primary Amer-
ican source of supply for purposes of §37.10 of the Code. 
(15) [(16)] TTB--The [the] United States Alcohol and To-
bacco Tax and Trade Bureau or its successor agency. 
(16) Sake--An alcoholic beverage made by fermenting 
rice. (17) Wine--A product obtained from the alcoholic fermen-
tation of juice of sound ripe grapes, fruits, berries, or honey, and in-
cludes wine coolers and other alcoholic beverages made in the man-
ner of wine, including sparkling and carbonated wine, vermouth, cider, 
sake, and perry. 
§45.4. Product Registration Required. 
(a) Except as provided by subsection (b) of this section, no 
alcoholic beverage product may be shipped or imported into the state, 
manufactured and offered for sale, or distributed or sold in the state 
until the product is registered with the commission. 
(b) Product registration is not required for products sold: 
(1) in compliance with Code §101.6701 by holders of 
brewer's [permits and manufacturer's] licenses authorized to sell 
directly to consumers under Code §62.122 [§§12.052 or 62.122]; 
(2) by holders of brewpub licenses except for malt bever-
ages sold under the authority of Code §§74.08 or a distributor under 
74.09; and 
(3) pursuant to out-of-state winery direct shipper's permits 
under Chapter 54 of the Code. 
§45.5. Denial of Product Registration. 
(a) The commission may deny an application for product reg-
istration for one or more of the following reasons: 
(1) the product label does not meet applicable federal re-
quirements; 
(2) registration of the product would create a cross-tier vi-
olation; 
(3) the label includes a statement, design, device, or repre-
sentation that is obscene or indecent; 
(4) the commission determines the product would create a 
public safety concern; or 
(5) the commission determines the product violates any 
other section of the Code. 
(b) No alcoholic beverage label may contain any statement, 
design, device, or representation of or relating to any guarantee, irre-
spective of falsity, other than a bona fide guarantee to refund the pur-
chase price if the consumer is dissatisfied. 
(c) [(b)] If the commission denies an application to register a 
product, the applicant is prohibited from shipping or importing into or 
within the state, manufacturing or offering for sale, or distributing or 
selling the product in the state using the denied label. 
The agency certifies that legal counsel has reviewed the pro-
posal and found it to be within the state agency's legal authority 
to adopt. 
Filed with the Office of the Secretary of State on June 15, 2021. 
TRD-202102334 
Shana Horton 
Rules Attorney 
Texas Alcoholic Beverage Commission 
Earliest possible date of adoption: August 1, 2021 
For further information, please call: (512) 487-9905 
♦ ♦ ♦ 
SUBCHAPTER B. ENFORCEMENT 
16 TAC §§45.25 - 45.27 
PROPOSED RULES July 2, 2021 46 TexReg 4009