Water cannot be used to separate a mixture of sugar and salt as both sugar and salt show very good solubility in water. However, salt being an ionic compound would not be soluble in alcohol ( like dissolves like). On the other hand, sugar is very much soluble in alcohol. So on dissolving the mixture of sugar and salt in alcohol, the sugar would dissolve in alcohol, but salt would remain undissolved. The undissolved salt will settle at the bottom and can simply be separated by filtration. Now the solution of sugar and alcohol can simply be evaporated over a water bath (as alcohol is inflammable) and the sugar can thus be separated from the alcohol solution.