Skip to content

Glossary · Texas mixed beverage taxes

Texas mixed beverage taxes, defined.

Texas mixed beverage taxes are the two state taxes on alcohol sold for on-premises consumption by TABC mixed beverage permittees: a mixed beverage gross receipts tax — currently 6.7% per the Comptroller — that the business itself owes, and a mixed beverage sales tax — currently 8.25% — collected from the customer. Two taxes, two legal payers, two different homes in the books: the gross receipts tax is the bar's own expense and may not appear on the bill as a separate charge, while the sales tax is the customer's money passing through in trust. Most tangled bar books trace to treating the pair as one thing.

Updated July 2026 · Rates and rules are the Comptroller's and can change — its site is the authority; which regime your permit falls under is a TABC, Comptroller, and CPA determination. We structure books so each tax is trackable and provable.

Two taxes, two homes in the books Comptroller rates, cited & dated

The term in one breath

The gross receipts tax — 6.7%

The permittee's own tax on its alcohol receipts. By Comptroller rule it can't be added to the bill as a separate charge — it books as the business's expense.

The sales tax — 8.25%

The customer's tax on the same drink — a line item or built into the price, collected in trust, and booked as a liability, never revenue.

Why the split matters

One tax reduces your margin; the other was never your money. Blur them and the P&L and the liability accounts both lie.

The concept

One drink, two returns — and what that demands of the books.

The pair dates to January 1, 2014, when House Bill 3572 split the old single 14% gross receipts tax into today's 6.7% + 8.25% structure — one tax the business owes, one it collects. Scope, per the Comptroller: mixed beverage permittees owe the taxes on alcoholic beverages — distilled spirits, beer, ale, and wine — sold, prepared, or served for on-premises consumption, and on the ice and nonalcoholic mixers served to be mixed with them; there's no exemption from the gross receipts tax, even for otherwise tax-exempt organizations. Wine-and-malt-beverage retailers sit outside the definition and collect regular sales and use tax instead — and which side of that line a permit falls on is a TABC, Comptroller, and CPA determination, never a bookkeeping guess.

In the books, the two taxes run in opposite directions. The sales tax posts to a liability account the moment it's collected — it never touches revenue, and the account drains only when the return is filed, which means the liability balance should tie to the filed return every month, on the same rhythm as the month-end close. The gross receipts tax accrues as the bar's own operating expense against the month's alcohol receipts — it reduces margin the way rent does, and by Comptroller rule the bill can carry at most a disclosure of it, never a separate tax charge. Both returns are due the 20th of the following month, each backed by its own security bond. What makes all of it provable is the point-of-sale summary splitting alcohol from food cleanly — the discipline the bar guide builds on the Whose-Money Test: before a dollar posts anywhere, name whose dollar it is.

Side by side

The two taxes, one row at a time.

Mixed beverage gross receipts taxMixed beverage sales tax
Rate today (Comptroller; can change)6.7% of the permittee's alcohol gross receipts8.25% of the beverage's sales price — statewide, no local split
Who legally owes itThe permit holder — the business itselfThe customer; the permittee collects and remits
On the customer's billNever as a separate charge; at most an optional disclosure statementAllowed either way: a line item, or built into the drink price with records showing it
Where it lives in the booksAn operating expense accrued against the month's alcohol receiptsA liability account from the moment of sale — never revenue
What it does to your numbersComes out of margin, like rent — pricing has to carry itPasses through — booked right, it inflates neither revenue nor expense
The paperworkIts own monthly Comptroller return, due the 20th, with its own security bondIts own monthly Comptroller return, due the 20th, with its own security bond

Every row is the Comptroller's rule, stated as of July 2026 — rates, receipt-format specifics, and edge-case treatments can change, and the Comptroller's site is the authority when they do. What doesn't change is the bookkeeping logic: the collected tax was never yours; the gross receipts tax always was.

Related terms

Where this term connects.

Month-end close — the rhythm on which the tax liability ties to the filed returns · Bank reconciliation — the proof that the cash the taxes ride on is real · The Whose-Money Test — our owned framework: name whose dollar it is before it posts.

Bar books where the two taxes blur together? The free review reads your file and says plainly whether the liability account, the expense accrual, and the filed returns actually tie — and what untangling costs, fixed-fee.

Free books assessment

Mixed beverage taxes FAQ · Updated July 2026

The definitional questions.

History. Until January 1, 2014, Texas levied a single 14 percent mixed beverage gross receipts tax, owed entirely by the permit holder. House Bill 3572, passed in 2013, split it: the gross receipts tax dropped to 6.7 percent, and a new 8.25 percent mixed beverage sales tax — collected from the customer — made up the difference. Lawmakers framed the change as transparency and parity: customers now see a tax that was previously invisible inside drink prices, and mixed-beverage permittees can pass a sales tax to customers the way beer-and-wine sellers always could. The split is why every drink now touches two returns — and why bar books need two homes for tax, not one. Rates are the Comptroller's and can change; its site carries the current figures.
No — the matching number is a coincidence of design, not the same tax. Regular Texas sales and use tax is a 6.25 percent state rate with local taxes stacking up to a combined 8.25 percent cap, and it's reported on the sales tax return. Mixed beverage sales tax is a single statewide 8.25 percent with no local split, reported on its own separate return. For a mixed beverage permittee, alcohol rides the mixed-beverage returns while food and merchandise ride the regular one — so one register's sales can feed two different tax reports in the same month. Which items belong to which regime is a Comptroller and CPA determination; the books' job is keeping the buckets separate enough that either return can be proven from the file.
TABC issues the permit; the Comptroller collects the money. The Texas Alcoholic Beverage Commission decides who may sell what and under which permit — that's licensing. Both mixed beverage taxes are administered by the Texas Comptroller: the monthly returns are Comptroller filings, both due the 20th of the month after the reporting period, and the Comptroller holds a security bond for each of the two taxes. The distinction matters practically, because the two agencies' records describe the same bar from different directions — and reconciling what the books show against what was filed with the Comptroller is part of keeping a bar audit-ready. Permit questions belong with TABC; tax filings and rate questions belong with the Comptroller and your CPA.
No. Per the Comptroller, the mixed beverage taxes attach to alcoholic beverages sold, prepared, or served by a mixed beverage permittee for on-premises consumption — plus the ice and nonalcoholic mixers sold or served to be mixed into those drinks on premises. Food and merchandise stay under the regular sales and use tax rules. That's precisely why the point-of-sale summary matters so much in a bar's books: a night's sales that can't be split cleanly between the alcohol side and the food side can't prove either return. Edge cases — cover charges, comps, packages, catering — have their own Comptroller treatments that can change, so classification calls belong with the Comptroller and your CPA; the books' job is keeping each revenue stream trackable to its return.

Books built for the building this tax lives in: bar bookkeeping for the alcohol side, restaurant bookkeeping where the kitchen carries half the register. Not sure what shape the file's in: the scope quiz.

Call Free books review