Excise Law

The first excise law was pa ed after an excited debate in 1790, Secretary Hamilton insisting upon the nece ity of such an enactment. It levied a tax varying from nine to twenty-five cents upon every gallon of liquors distilled in the United States and a higher rate for imported liquors. Lower rates were established in 1792. The opposition was strong throughout the country, culminating in the Whiskey Insurrection in Pennsylvania in 1794. During Jefferson’s administration the excise was abolished, but was revived in 1813 during the War of 1832, imposing a tax on liquor, sugar, salt, carriages, and instruments of exchange, and a stamp duty. In 1817 these duties were repealed and no excise duty was levied until 1862, during the Civil War. This system embraced taxation upon occupations and trades, sales, gro receipts and dividends, incomes of individuals, firms and corporations, manufactures, legacies, liquors, tobacco, distributive shares and succe ions, (See Internal Revenue.)