Excise Taxes

By: Alyssa and Debbie

What are Excise Taxes?

Excise taxes are taxes paid when purchases are made on a specific good, such as gasoline, tobbaco, alcohol, etc. They're often included in the price of the product. There are also excise taxes on activities, such as on wagering or on highway usage by trucks. Excise Taxes have several general excise tax programs. One of the major components of the excise program is motor fuel. The government is thinking about adding excise taxes to unhealthy foods and drinks to control obesity. Excise tax money goes into the general fund of each city and town that collects the tax.