Liquor License Complete Practice Test 2026

The regulation of liquor licenses is primarily the responsibility of State Alcohol Beverage Control Boards. These boards are established by state laws to oversee the sale and distribution of alcoholic beverages. Their roles include ensuring compliance with state laws regarding alcohol licensing, monitoring businesses that sell alcohol, and sometimes issuing penalties for violations.

State Alcohol Beverage Control Boards have the authority to create specific regulations and guidelines that govern how liquor licenses are issued and revoked, which helps maintain control over alcohol sales within the state. This local governance allows for flexibility in addressing the unique needs and circumstances of each state's communities.

In contrast, the Federal Trade Commission focuses on competition and consumer protection in the marketplace but does not handle liquor licenses. Local City Councils may have some input in the liquor licensing process, especially concerning local ordinances, but they do not typically have the main responsibility. Similarly, while the Department of Health may be involved in overseeing health regulations concerning the service of alcohol, they do not govern the issuance of liquor licenses.