AIM 7-2-3 discusses it.
Its in Part 43 App. E
And hence there is no "maximum allowable" when it comes to altimeter error... it's just a suggestion. However, I wouldn't be surprised to get violated in the name of careless & reckless if the situation warranted.
That may be the only answer...the AIM. I have seen people try to say it was regulatory and some people say it wasn't. You are right though, "careless and reckless" would get you for sure.
I don't see it in Part 43, App, E. I see Table II (Test tolerances) but an average pilot about to set off on an instrument flight would not know that (or care - it is for AMTs).
Anywhere else that makes it regulatory?
7-2-3. Altimeter Errors
a. Most pressure altimeters are subject to mechanical, elastic, temperature, and installation errors. (Detailed information regarding the use of pressure altimeters is found in the Instrument Flying Handbook, Chapter IV.) Although manufacturing and installation specifications, as well as the periodic test and inspections required by regulations (14 CFR Part 43, Appendix E), act to reduce these errors, any scale error may be observed in the following manner:
Part 43 requires the inspection, which requires that the altimeter be +-75 feet. We check before we fly to make sure it meets those tolerances.
Your reference in the AIM is referring to Scale error. The only place that appendix E mentions 75 feet is not in reference to scale error, but in reference to the hysteresis test. I don't see how this tolerance could be applied to an altimeter sitting dormant on the ramp.