The 89th legislature passed a new law requiring certain retailers engaged in the sale of alcohol for off-premise consumption to use electronic ID scanners capable of reading the 2D PDF417 barcode on the back of drivers licenses and ID cards. The law comes into effect starting September 1, 2025.
The law is primarily targeted at off-premise consumption retailers such as liquor stores, convenience stores, gas stations, but some on-premise retailers which are also allowed to sell wine and malt beverage products to go are affected as well.
Is an Electronic ID Scanner Required?
| YES | NO |
| · Package Store Permit (P). | · Distillery Permit (D) |
| · Wine and Malt Beverage Retailer’s Off-Premise Permit (BQ) | · Winery Permit(G) |
| · Wine and Malt Beverage Retailer’s Permit (BG) without a subordinate Food and Beverage Certificate (FB) or Brewpub License (BP), if the business does not qualify as a Restaurant as defined under Tex. Alco. Bev. Code § 1.04(29). | · Brewery Permit (B) |
| · Wine Only Package Store Permit (Q) | |
| · Mixed Beverage Permit (MB) | |
| · Wine and Malt Beverage Retailer (BG) with subordinate Food and Beverage Certificate (FB) or Brewpub License (BP) | |
| · Wine and Malt Beverage Retailer’s Permit (BG) without a subordinate Food and Beverage Certificate (FB) or Brewpub License (BP), if the business does qualify as a Restaurant as defined under Tex. Alco. Bev. Code § 1.04(29). | |
| · Private Clubs (N) with Food and Beverage Certificate (FB) | |
| · Consumer Delivery Permit (CD) | |
| · Carrier Permit (C) | |
| · Retail sale of alcohol at a public entertainment facility or temporary event by holder of an on-premise permit such as a Mixed Beverage Permit (MB), Wine and Balt Beverage Retailer’s Permit (BG), holders Winery (G) and Distillery (D) permits, and holders of Nonprofit Entity Temporary Event Permit (NT) | |
| · Retail sale of alcohol stored outside, sold in original container for off-premise consumption. |
What Capabilities Should Electronic ID Scanner Have?
Any scanner capable of reading PDF417 barcode, as found on the back of a Texas Driver’s License.
However, the Texas Alcoholic Beverage Commission may promulgate rules which articulate minimum standards, such as requirements that the scanner not only checks the data against an internal algorithm, but that the scanner is capable of being updated to detect new types of fake IDs, and also connects to a third party database for further verification.
What if the Electronic ID Scanner is Unable to scan an ID?
The law allows manual input of data into a scanner if the ID cannot be electronically scanned.
What if the Electronic ID Scanner is Malfunctioning?
Visually inspect the purchaser’s ID to verify whether the person is 21 years of age or older.
What are the Consequences for Failing to Use an Electronic ID Scanner?
If an employee fails to use an electronic ID scanner for a purchaser of alcohol under the age of 40, he or she may be subject to criminal prosecution. Offense is a Class A misdemeanor, which carries a maximum penalty of 1 year in jail and $4,000 fine. See, Tex. Penal Code § 12.21. The fact that the retailer did not have an electronic ID scanner or purchaser is 21 years of age or older does not matter. Only defenses are that the purchaser was 40 years old or older or that the electronic ID scanner was not functional.
Beginning September 1, 2027, the Texas Alcoholic Beverage Commission may take administrative action against a holder of a liquor permit for failing to use an electronic ID scanner regardless of the age of the purchaser. Penalty can range from a warning, suspension up to 60 days, or cancellation. The fact that the retailer did not have an electronic ID scanner or purchaser is over the age of 21 does not matter. Only defenses are that that the electronic ID scanner was not functional, and that the retailer visually inspected the purchaser’s ID to verify that the purchaser was 21 years of age or older.
How does the Electronic ID Age Verification Relate to Existing Law Prohibiting Sale of Alcoholic Beverages to Minors?
The new law is intended to supplement existing law which prohibits sale of alcohol to minors, see Tex. Alco. Bev. Code § 106.03.
If an employee of a retailer sold alcohol to a minor, without checking any ID, the employer would be subject to administrative prosecution, and the employee would be subject to criminal prosecution for unlawful sale to minor, as well as failing to use an electronic ID scanner.
If an employee of a retailer sold alcohol to a minor but was presented with a fake ID, but the employee did not scan the ID, the employer would be subject to administrative prosecution, and the employee would subject to criminal prosecution for failing to use an electronic ID scanner.
