§ 5-104

# (a)

# (1)

The alcoholic beverage tax does not apply to an alcoholic beverage that is:

(i) brought into the State by a person in accordance with:
1. an import–export permit under § 2–123(b) of the Alcoholic Beverages and Cannabis Article;
2. a nonbeverage permit under § 2–164 of the Alcoholic Beverages and Cannabis Article; or
3. a nonresident storage permit under § 2–115 of the Alcoholic Beverages and Cannabis Article;

(ii) sold or delivered by a person who holds a Class E, F, or G alcoholic beverage license, while the licensee is operating an aircraft, vessel, or train outside boundaries of the State, including airspace and waterways;

(iii) beer or wine that is family–produced and is brought into, possessed, or transported in the State by an individual who is a member of that family if:
1. the individual is at least 21 years of age; and
2. the beer or wine is for personal use or for entry in a licensed national family beer and wine exhibition; or

(iv) brought into the State by a person for storage pending shipment outside of the State, if the alcoholic beverage:
1. is not held for sale, consignment, or delivery in the State;
2. is under a customs bond; and
3. is stored in a public bonded warehouse.

# (2)

The exemption under paragraph (1)(ii) of this subsection does not apply to an alcoholic beverage sold or delivered by a person who holds a Class E, F, or G alcoholic beverage license while the licensee is operating an aircraft, vessel, or train within the boundaries of the State, including airspace and waterways.

# (b)

# (1)

The alcoholic beverage tax does not apply to:

(i) an alcoholic beverage bought by a person whom a proper authority of the United States allows to buy alcoholic beverages for sale and use on a federal reservation in the State where the person is assigned;

(ii) wine bought and used for sacramental purposes by a religious organization affiliated with and recognized by a generally acknowledged religious faith; or

(iii) wine or distilled spirits bought and used for medicinal purposes by a bona fide hospital.

# (2)

A person under paragraph (1) of this subsection who pays the alcoholic beverage tax may obtain the exemption by filing a claim for refund with the Comptroller.

# (c)

# (1)

The alcoholic beverage tax does not apply to an alcoholic beverage that a consumer at least 21 years of age brings into the State for personal use:

(i) if the quantity brought from within the continental United States does not exceed:
1. at any one time, one quart;
2. in 1 calendar month, two quarts; and
3. a total of 1 gallon in the consumer’s possession at any one time;

(ii) if the quantity brought from American Samoa, Guam, or the Virgin Islands of the United States does not exceed 1 gallon; or

(iii) if the total quantity brought from any other place outside the continental United States does not exceed 1 gallon, the 1st quart of that gallon.

# (2)

A consumer under paragraph (1)(iii) of this subsection may obtain the exemption for the 1st quart by:

(i) filing an application with the Comptroller on the form the Comptroller requires; and

(ii) paying the alcoholic beverage tax on the quantity of alcoholic beverages that exceeds 1 quart.