1976 Excise Act Requirements for a Liquor License

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The Excise Act of 1976 is a piece of Malaysian legistlation.
The Excise Act of 1976 is a piece of Malaysian legistlation. (Image: malaysia flag button image by Andrey Zyk from Fotolia.com)

The Excise of of 1976 is a piece of Malaysian legislation that deals primarily with the sale of dutiable goods (including alcohol). Just as in the US, Malaysia imposes strict regulations on the sale of alcohol; in order to sell alcohol, you must fulfill the licensing requirements.

Types of Licences

Section 35 of the Excise Act of 1976 defines the types of liquor licenses. According to section 35 of the Excise Act of 1976, a public house license permits "sale by retail of intoxicating liquors, excluding toddy, for consumption on the premises or at the place where they are sold."

Section 35 states that a beer house license permits "sale by retail of beer for consumption on the premises or at the place where it is sold: provided that the holders of public house licenses are exempted from beer house licenses." Public and beer house licenses are similar to a the licenses that a restaurant must obtain in the US to sell liquor and beer; customers must drink the alcoholic beverages inside of the place where they were purchased.

Business that want to sell liquor or beer to customers and allow them to leave with their beverages must obtain a retail shop license. According to section 35 of the Excise Act of 1976, a retail shop license permits "sale by retail of intoxicating liquors, excluding toddy, for consumption elsewhere than on the premises or at the place where they are sold."

Wholesalers must obtain a wholesale dealer's licences, according to section 35.

The "toddy" that is referred to several times throughout section 35 is a fermented sap that comes from the coconut plant, according to P. C. Leong from the chemistry department at the University of Malaya.

A retail shop license allows a restaurant owner to sell his customers liquor.
A retail shop license allows a restaurant owner to sell his customers liquor. (Image: red wine pouring down from a wine bottle image by mashe from Fotolia.com)

Exemptions

According to section 22 of the Excise Act of 1976, a registered medical practitioner, a registered pharmacist or a chemist do not need a license to distill alcoholic beverages if they are manufacturing the beverage for a medical or scientific purpose. Also, any native is permitted to make his own liquor for his own consumption provided he is not making the alcohol by distillation.

This chemist is conducting scientific research with alcohol. He has the approval of the Director General and therefore, he does not need to be licensed.
This chemist is conducting scientific research with alcohol. He has the approval of the Director General and therefore, he does not need to be licensed. (Image: chimiste image by razorconcept from Fotolia.com)

Responsibilities of License Holders

Section 36 of the Excise Act of 1976 says that licensed business owners are required to display the license in plain view in the establishment. Along with the license, information such as the business owner's name and the type of business she conducts must also be displayed in plain view.

The owner must keep a detailed record of all liquor- or beer-related transactions in a ledger. He must make that ledger available for review by a proper officer or member of the license board upon request.

The owner must store all liquor and beer inside of the establishment. Unless the alcohol is in transit, the only place it is legally permitted to be stored is inside of a licensed establishment.

These beer kegs are properly stored in a licensed establishment.
These beer kegs are properly stored in a licensed establishment. (Image: beer kegs image by Martin Mullen from Fotolia.com)

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