Excise taxes

Excise taxes are specific charges imposed by the government on certain goods and activities, such as alcohol, tobacco, gasoline, and luxury items. These taxes are usually included in the product’s price and paid by manufacturers or sellers, who may pass the cost to consumers. The purpose is often to generate revenue or discourage the consumption of harmful products. Excise taxes differ from sales taxes because they target particular items rather than broad sales transactions. They help fund public services and regulate consumption of certain goods, reflecting societal priorities and health considerations.