The Finance Act of 1902 allows a manufacturer to obtain a license which permits the use of duty-free alcohol, if he can show that such alcohol is absolutely essential for the success of his business, and that methylated spirit is unsuitable.
During the next three decades (1861-1891) the law was extended, and methylated spirit was duty-free for all purposes except for use as beverages and internal medicinal applications.
In Germany, the use of duty-free spirit is only allowed to state and municipal hospitals, and state scientific institutions, and for the manufacture of fulminates, fuzes and smokeless powders.
In America the internal revenue tax on denaturized alcohol (formerly duty-free only to scientific institutions) was removed by Congress in 1906 (act of June 7th).
About five-sixths of the trade is with or via France, into which country several Algerian goods have been admitted duty-free since 1851, and all since 1867.
The great importance of alcohol in the arts has necessitated the introduction of a duty-free product which is suitable for most industrial purposes, and at the same time is perfectly unfit for beverages or internal application.