Changes

In addition to the many Supreme Court rulings, such as the one cited above, state and federal courts have consistently ruled that an excise involves the exercise of a priveleged activity or the purchase of a luxury (special) commodity:  

In addition to the many Supreme Court rulings, such as the one cited above, state and federal courts have consistently ruled that an excise involves the exercise of a priveleged activity or the purchase of a luxury (special) commodity:  

'''*''' “The term ‘excise tax’ is synonymous with ‘'''privilege tax'''’, and the two have been used interchangeable.  (American Airways v. Wallace, 57 F.2d 877, 880)

'''***''' “The term ‘excise tax’ is synonymous with ‘'''privilege tax'''’, and the two have been used interchangeable.  (American Airways v. Wallace, 57 F.2d 877, 880)

'''*''' “Whether a tax is characterized in a statute imposing it, as a privilege tax or an excise tax is merely a choice of synonymous words, for an excise tax is a '''privilege tax'''.”  Foster & C. Co. v. Graham, 154 Tenn. 412, 285 S.W. 570, 47 ALR 971.   

'''***''' “Whether a tax is characterized in a statute imposing it, as a privilege tax or an excise tax is merely a choice of synonymous words, for an excise tax is a '''privilege tax'''.”  Foster & C. Co. v. Graham, 154 Tenn. 412, 285 S.W. 570, 47 ALR 971.   

'''*''' “An ‘excise tax’ is often used synonymous with ‘'''privilege'''’ or ‘license tax‘.”  Shannon v. Streckus Steamers, 279 Ky. 649, 131 S.W.2d 833, 838.

'''***''' “An ‘excise tax’ is often used synonymous with ‘'''privilege'''’ or ‘license tax‘.”  Shannon v. Streckus Steamers, 279 Ky. 649, 131 S.W.2d 833, 838.

'''A Recent -- But Misleading -- Definition'''

'''A Recent -- But Misleading -- Definition'''

Recently, the Left has made a concerted effort to define an excise as an “event tax” -- that is, a tax levied on an “event” solely by virtue of the fact that an event or transaction has occurred. This definition is without foundation.  The so-called “event” definition was completely unknown to the drafters of the Constitution, and has never been recognized by the Supreme Court of the United States or by any other court.  Were that definition allowed, any “event” could theoretically be taxed as an excise, and the Constitutional distinction between Direct taxes -- requiring apportionment -- and Indirect taxes and excises -- requiring uniformity -- would collapse.   

Recently, there has been a concerted effort by the Left to reinterpret an excise as an “event tax” -- that is, a tax levied on an “event” solely by virtue of the fact that an event or transaction has occurred. This definition is without foundation.  The so-called “event” definition was completely unknown to the drafters of the Constitution, and has never been recognized by the Supreme Court of the United States or by any other court.  Were that definition allowed, any “event” could theoretically be taxed as an excise, and the Constitutional distinction between Direct taxes -- requiring apportionment -- and Indirect taxes and excises -- requiring uniformity -- would collapse.   

For example, if the “event” definition of excise were permitted, Congress could attempt to levy a tax on attending church, or issuing a news report, or going to school, because each of these is an “event.”  But the courts would likely rule such a tax unconstitutional because these “events” involve the exercise of unalienable rights, not privileges.

For example, if the “event” definition of excise were permitted, Congress could attempt to levy a tax on attending church, or issuing a news report, or going to school, because each of these is an “event.”  But the courts would likely rule such a tax unconstitutional because these “events” involve the exercise of unalienable rights, not privileges.