Distilling alcohol of any kind, including moonshine, for personal consumption is strictly illegal in North Carolina. However, North Carolina law does allow for an individual to possess and utilize a still for the purpose of creating fuel alcohol, according to IndyWek.com.
Special agent, Jeff Lasater warns that possession of a still without a state-issued fuel alcohol permit is prohibited in North Carolina. It is legal for commercial distilleries to create and distribute alcohol in North Carolina, but only with possession of a Distilled Spirits Permit, which is difficult to obtain and not practical for home production. North Carolina law enforcement vigilantly thwarts attempts at home distillation, reporting 34 distillery seizures between 2010 and 2012 alone.