In Florida that's the rule for beer, but spirits require a license for any amount. As I recall the license runs $4000. Ridiculous! There is an exemption for biofuel but you'd better have an engine running on alcohol to make your case.

According to a cop friend of mine it's like blocking your license plate with a bicycle on a bike rack. Technically it's illegal but practically cops have better things to do with their time.

Of course you are selling the spirits they get upset for not getting their taxes and then cops do get interested.