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An '''excise''' is a [[tax]] levied exclusively on [[goods]], [[services]], or activities which are considered ''[[privilege]]d'' or ''[[luxury good|luxurious]]''. Excises may not encumber “essential” items, or anything directly connected with the exercise of an [[unalienable right]], such as the right to practice one’s religion or earn a living.  [[Adam Smith]], whose work, ''[[The Wealth of Nations]]'', functioned as the economic bible of America’s [[Founding Fathers]], defined “luxurious” items as those which are not necessary to sustaining life, and thus which “every man is allowed to buy or not buy as he chuses.” [Bk. V, Ch. 2, Pt. 2]  Such items are legitimate objects of excise.  On the other hand, he defined “necessary” items as those “which are indispensably necessary for the support of life,” including those which “the custom of the country renders it indecent for creditable people…to be without.”  In modern America, items which are “indecent” for “creditable people to be without" include food, clothing, housing, transportation, medicine, health care, arms for self-defense, phone service, sundries, education, a job in the private sector, etc.  These items and activities are not qualified to be taxed under an excise.

An '''excise''' is a [[tax]] levied exclusively on [[goods]], [[services]], or activities which are considered ''[[privilege]]d'' or ''[[luxury good|luxurious]]''. Excises may not encumber “essential” items, or anything directly connected with the exercise of an [[unalienable right]], such as the right to practice one’s religion or earn a living.  [[Adam Smith]], whose work, ''[[The Wealth of Nations]]'', functioned as the economic bible of America’s [[Founding Fathers]], defined “luxurious” items as those which are not necessary to sustaining life, and thus which “every man is allowed to buy or not buy as he chuses.” [Bk. V, Ch. 2, Pt. 2]  Such items are legitimate objects of excise.  On the other hand, he defined “necessary” items as those “which are indispensably necessary for the support of life,” including those which “the custom of the country renders it indecent for creditable people…to be without.”  In modern America, items which are “indecent” for “creditable people to be without" include food, clothing, housing, transportation, medicine, health care, arms for self-defense, phone service, sundries, education, a job in the private sector, etc.  These items and activities are not qualified to be taxed under an excise.

Consequently, excises in the United States currently tax only certain luxury items and licensed activities, such as [[liquor]], [[tobacco]], luxury automobiles, aviation permits, and certain government-connected activities.

Consequently, federal excises in the United States currently tax only certain luxury items and licensed activities, such as [[liquor]], [[tobacco]], luxury automobiles, aviation permits, and certain government-connected activities.

The assessment of an excise is often (but not always) triggered by the transfer or sale of a certain commodity.  It’s important to understand, however, that an excise is defined by '''what''' it taxes -- privilege and luxury -- not by how or when it is triggered.  In 1911, the Supreme Court clarified this in ''Flint v. Stone Tracy Co''.: "Excises are taxes laid upon the manufacture, sale, or consumption of commodities within the country, upon licenses to pursue certain occupations, and upon corporate privileges... the requirement to pay such taxes involves the exercise of  ’'''privileges''' '."  

The assessment of an excise is often (but not always) triggered by the transfer or sale of a certain commodity.  It’s important to understand, however, that an excise is defined by '''what''' it taxes -- privilege and luxury -- not by how or when it is triggered.  In 1911, the Supreme Court clarified this in ''Flint v. Stone Tracy Co''.: "Excises are taxes laid upon the manufacture, sale, or consumption of commodities within the country, upon licenses to pursue certain occupations, and upon corporate privileges... the requirement to pay such taxes involves the exercise of  ’'''privileges''' '."  

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. In that case, almost any commodity or activity could be taxed by government, and nothing would remain in the Constitution to safeguard the private wealth of the People.

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. In that case, almost any commodity or activity could be taxed by government, and nothing would remain in the Constitution to safeguard the private wealth of the People.

For example, if the “event” definition of excise were permitted, Congress could levy a tax on attending church, or issuing a news report, or going to school, because each of these is an “event.” Congress would essentially gain unlimited taxing authority -- and thus unlimited ''authority'' -- over the People. This sort of a construct is anathema to the American experience, but typical of Marxist regimes.  

For example, if the “event” definition of excise were permitted, Congress could levy a tax on attending church, or issuing a news report, or going to school, because each of these is an “event.” Congress would essentially gain unlimited taxing authority -- and thus unlimited ''authority'' -- over the People. This sort of a construct is anathema to the American experience, but typical of Marxist and Fascist political thought.  

Fortunately, a proper understanding of the meaning of "excise" assures us that U.S. courts would likely rule taxes on these kinds of activities unconstitutional because these “events” involve the exercise of [[unalienable rights]], not privileges. "Events" like these are therefore not subject to Indirect taxes (of which the excise is a type), nor are they subject to Direct taxation without apportionment.

Fortunately, a proper understanding of the meaning of "excise" assures us that U.S. courts would likely rule taxes on these kinds of activities unconstitutional because these “events” involve the exercise of [[unalienable rights]], not privileges. "Events" like these are therefore not subject to Indirect taxes (of which the excise is a type), nor are they subject to Direct taxation without apportionment.