PRINCIPLES OF TAXATION, 611 



as possible to the customs imposed on the same kind of imported 

 commodities. The term is supposed to find its origin also in the 

 circumstance that it was originally the practice to cut off, or "ex- 

 cise," portions of the goods assessed, and take them away in pay- 

 ment of the tax in kind. The first attempt to impose an excise tax 

 in England was in 1525, and failed, as both Houses of Parliament 

 concurred in opinion that it was unconstitutional. After the Res- 

 toration, or under Charles II, the attempt was successfully re- 

 newed, and the taxes under it were very curiously divided into 

 two classes, and the receipts from the same made personal to the 

 crown namely, the hereditary excise, so called because granted 

 to the crown forever in consideration or recompense for the aban- 

 donment by the crown of certain perquisites and privileges ; and 

 the temporary excise, the receipts of which were only granted to 

 the sovereign for life. The tax was, however, always unpopular 

 in England, being regarded as contrary to the spirit and princi- 

 ples of a just government, and on the accession of William and 

 Mary it was greatly modified and reduced ; and it is somewhat 

 curious that a term having such an origin and history should 

 have found a place in the Federal Constitution and be thus 

 recognized as a legitimate form of taxation under a free gov- 

 ernment. In Great Britain at the present time the only com- 

 modities on which taxes designated as excise are assessed are 

 spirits, malt, fermented liquors, and chicory, or other substitutes 

 for coffee. But in addition the British system classifies under 

 the head of excise its taxes on railways and a few other minor 

 subjects. 



The late United States Justice Miller defined an excise tax 

 as " one which is assessed upon some article of property or 

 money or something which is exhausted in the use. It is one 

 which from its essence and nature must be paid in fact by the 

 buyer, or the last man who buys or uses the property, because, 

 whoever has it at the time when the tax is levied upon it 

 adds that amount to the selling price when he comes to dis- 

 pose of it until the property is consumed. It is a tax upon con- 

 sumption." (Lectures on the Constitution of the United States, 

 p. 238.)* 



In the United States all Federal taxes that are not levied under 

 the tariff and navigation laws are classified under the general 

 designation of " internal revenue taxes." 



The term toll, formerly in extensive use, and signifying duties 

 on imports and exports, is now nearly obsolete, and restricted 



* " What is the natural and common or technical or appropriate meaning of the words 

 duty and excise it is not easy to ascertain. They present no clear and precise ideas to the 

 mind. Different persons will annex different significations to the terms." Faterson, J., 

 Hylton vs. U. S., 3 Dallas, 171, 176. 



