Texas Alcoholic Beverage Commission (TABC) Exam 2025 – 400 Free Practice Questions to Pass the Exam

The correct answer is a restaurant that serves alcohol. An "On Premise" establishment refers to a location where alcoholic beverages are sold to be consumed on the premises. This includes establishments that provide both food and drink.

In this case, a restaurant fits this definition as it is a place where patrons can enjoy their meals along with alcoholic beverages like wine, beer, or cocktails right at their tables. The primary function of a restaurant is to provide food service, often paired with alcohol sales, which is typical of on-premise consumption.

Conversely, a grocery store that sells wine is primarily a retail outlet where people purchase beverages to take away, making it an "Off Premise" establishment. A bar or nightclub also qualifies as on-premise establishments, but the focus of the question is on the context of a restaurant, which is widely recognized for its combination of food and alcohol service.