Publications
Excise Taxes
Excise taxes are special taxes on specific goods or activities—such as gasoline, tobacco or gambling—rather than general tax bases such as income or consumption. Excise taxes are often included in the final price of products and services, and are often hidden to consumers. Overall excise taxes account for less than 10 percent of all federal receipts. All 50 states and many local municipalities levy excise taxes of various kinds. Studies show excise taxes are disproportionately borne by low-income taxpayers, making them one of the most regressive components of the U.S. tax system.
Additional questions about excise taxes? Contact us at (202) 464-6200.
Publications from The Tax Foundation
- Overreaching on Obesity: Governments Consider New Taxes on Soda and Candy, by Scott Drenkard, October 31, 2011
- The Role of Congress in State Tax Legislation: Ensuring that State Taxation Does Not Do Harm to the National Economy (Testimony Before the U.S. House Committee on the Judiciary, Subcommittee on Courts, Commercial, and Administrative Law), by Joseph Henchman, May 25, 2011
- Rising Gasoline Prices Benefit a Few States, by Alex Wood-Doughty, Sarah Hyon and Kail Padgitt, March 22, 2011
- Connecticut Governor Malloy Proposes Multifaceted Tax Plan, by Kailee Tkacz and Mark Robyn, March 14, 2011
- Facts & Figures Handbook: How Does Your State Compare?, edited by Mark Robyn, February 28, 2011
- States Target Cell Phones for Stealth, Burdensome Taxes, by Joseph Henchman, February 18, 2011
- State Tax Changes During 2010, by Joseph Henchman, January 12, 2011
- IEA Study Ranks Nations’ Subsidies to Fossil Fuel Consumption, by Scott A. Hodge, November 22, 2010
- A Review of 2010’s Changes In State Tax Policy, by Joseph Henchman and Xander Stephenson, August 23, 2010
- Putting Corporate Tax “Loopholes” In Perspective, by Scott A. Hodge, August 3, 2010
- Oil Today, Fatty Foods and Sugary Drinks Tomorrow: The Administration’s Assault on the Manufacturing Deduction for Oil Companies, by Scott A. Hodge, August 2, 2010
- Oil Industry Taxes: A Cash Cow For Government, by Scott A. Hodge, July 28, 2010
- Estuardo Ardon vs. City of Los Angeles, by Edward M. Teyssier and Joseph Henchman, July 1, 2010
- Permitting Class Refund Actions Protects California Taxpayers Against Illegal Taxes: Ardon v. City of Los Angeles, by Joseph Henchman and Arushi Sharma, July 1, 2010
- Bag Taxes Disappointing in Debut, by Justin Higginbottom, May 12, 2010
- Wishful Thinking About Tax Burdens in Ohio, by Mark Robyn and Rob Shrum, April 7, 2010
- Georgia Should Refrain from Relying on Smokers to Fill Budget Hole, by Justin Higginbottom, March 10, 2010
- Georgia Should Respond to Recession with Tax Reform, Not Tax Gimmicks, by Justin Higginbottom, February 19, 2010
- Georgia Tobacco Tax Favors High-Income Counties, by Patrick Fleenor, February 18, 2010
- Cities Pursue Discriminatory Taxation of Online Travel Services, by Joseph Henchman, February 3, 2010
- Comparing Financing of the House and Senate Health Care Reform Plans, by Gerald Prante, October 30, 2009
- Where Do State and Local Governments Get Their Tax Revenue?, by Gerald Prante, October 9, 2009
- Some States Respond to Budget Shortfalls with Tax Increases, by Mark Robyn and Kail Padgitt, July 13, 2009
- The Dam Bursts in the Beaver State: Oregon’s Wave of Tax Increases and New Spending, by Joseph Henchman and Jack Mountjoy, July 9, 2009
- The Dangers of Privatizing Tax Collection: Priceline.com, Inc. v. City of Anaheim, by Joseph Henchman and Justin Burrows, June 25, 2009
- The Price of Paradise: Hawaii Becomes Fifth State to Adopt New Income Tax Brackets on High-Earners, by Mark Robyn and Joseph Henchman, May 12, 2009
- Border Zone Cigarette Taxation: Arkansas’s Novel Solution to the Border Shopping Problem, by Mark Robyn, April 9, 2009
- The Effect of the Federal Cigarette Tax Increase on State Revenue, by Patrick Fleenor, April 1, 2009
- Who Pays for Climate Policy? New Estimates of the Household Burden and Economic Impact of a U.S. Cap-and-Trade System, by Andrew Chamberlain, March 16, 2009
- New York Governor David Paterson’s Tax and Fee Proposals a Mixed Bag, by Josh Barro, January 22, 2009
- Funding S-CHIP with Federal Cigarette Tax Increase is Poor Tax Policy, by Joseph Henchman and Gerald Prante, January 15, 2009
- Permitting Class Refund Actions Is Key to Effective Challenges of Illegal Taxes: Ardon v. City of Los Angeles, by Joseph Henchman and Travis Greaves, November 24, 2008
- Urging California Court of Appeal to Permit Class Refund Actions in Challenges of Illegal Local Taxes-- Ardon v. City of Los Angeles, by Edward M. Teyssier and Joseph Henchman, November 14, 2008
- Arizona's Special Interest Laundry List, by Josh Barro and Joseph Henchman, June 24, 2008
- The Distributional Impact of Windfall Profits Taxes and a Gas Tax Holiday, by Gerald Prante, May 2, 2008
- What Is Proper Tax Policy for Smokeless Tobacco Products?, by Gerald Prante, March 26, 2008
- States Target Cell Phones for a Stealth, Burdensome Tax, by Joseph Henchman, January 18, 2008
- Paying at the Pump: Gasoline Taxes in America, by Jonathan Williams, October 16, 2007
- Questions to Ask Before Raising the Federal Gas Tax, by Gerald Prante, August 27, 2007
- State Tobacco Tax Rates Have Skyrocketed Since Last Federal Tax Increase, by Gerald Prante and Curtis S. Dubay, July 13, 2007
- Options for Funding SCHIP Expansion: Cigarette Taxes Least Defensible Alternative, by Gerald Prante, July 13, 2007
- What Is 300 Percent of the Poverty Level?, by Gerald Prante, July 11, 2007
- A State-by-State Estimate of the Impact of SCHIP Expansion and a 156 Percent Cigarette Tax Hike, by Gerald Prante, June 28, 2007
- Who Will Pay Taxes for Tennessee Governor's "Schools First" Initiative, and Who Will Receive the Spending?, by Andrew Chamberlain and Gerald Prante, April 18, 2007
- Tax Fairness Would Suffer under Senator Smith's Cigarette Tax Hike, by Patrick Fleenor, March 30, 2007
- Estimating Federal Tax Burdens for Major City Areas, Counties, and U.S. Congressional Districts, by Andrew Chamberlain and Gerald Prante, March 22, 2007
- California Schemin': Cigarette Tax Evasion and Crime in the Golden State, by Patrick Fleenor, October 5, 2006
- What Is Proper Tax Policy for Smokeless Tobacco Products?, by Gerald Prante, September 22, 2006
- Temporary Gasoline Tax Holidays: Relief for Motorists or Poor Tax Policy?, by Andrew Chamberlain and Jonathan Williams, July 10, 2006
- Large Oil Industry Tax Payments Undercut Case for Windfall Profits Tax, by Jonathan Williams and Scott A. Hodge, January 31, 2006
- State and Federal Treasuries "Profit" More from Gasoline Sales than U.S. Oil Industry, by Scott A. Hodge and Jonathan Williams, October 26, 2005
- Local, State and Federal Gas Taxes Consume 45.9 Cents Per Gallon on Average, by Jonathan Williams, September 13, 2005
- State Excise Taxation: Horse-and-Buggy Taxes In an Electronic Age, by Richard E. Wagner, Ph.D., May 31, 2005
- A Critique of the National Research Council and Institute of Medicine's Recommendation to Raise Alcohol Excises to Curb Underage Drinking, by Patrick Fleenor, March 1, 2004
- Cross-Border Shopping by Beer and Cigarette Buyers Highlights Tax Competition Among States, by TF Staff, December 15, 2002
- Who Bears the Ancillary Cost of Tobacco Use?, by Patrick Fleenor, January 1, 2001
- Taxing Talk: The Telephone Excise Tax and the Universal Service Fees, by Stephen J. Entin, March 1, 2000
- The Unintended Consequences of the Inland Waterway Excise Tax, by John Dunham, February 1, 2000
- The Telephone Excise and the E-Rate Add-On Tax, by J. D. Foster, Ph.D., July 1, 1999
- How Excise Tax Differentials Affect the Cross-Border Sales of Beer in the United States, by Patrick Fleenor, May 1, 1999
- Federal Excise Taxes and the Distribution of Taxes Under Tax Reform, by J. Scott Moody, January 1, 1999
- How Excise Tax Differentials Affect Interstate Smuggling and Cross-Border Sales of Cigarettes in the United States, by Patrick Fleenor, October 1, 1998
- Burning Issues in the Tobacco Settlement: An Economic Perspective, by Jane Gravelle, July 1, 1998
- How the McCain Bill Will Affect Smokers' Wallets and the Underground Cigarette Market, by Patrick Fleenor, March 1, 1998
- The Regressivity of Sin Taxes: The Lifetime Tax Burden of Taxes on Alcohol and Cigarettes, by Robert B. Schwab and Andrew B. Lyon, November 1, 1997
- Excise Taxes and Sound Tax Policy, by John R. McGowan, May 1, 1997
- The Use and Abuse of Excise Taxes, by Dwight R. Lee, Ph.D., May 1, 1997
- Tax Reform and Excise Tax Policy Fundamentals Conference Proceedings, January 10, 1997
- Tax Differentials on the Interstate Smuggling and Cross-Border Sales of Cigarettes in the United States, by Patrick Fleenor, October 1, 1996
- The Taxation of Energy in the U.S.: Who Pays?, by Arthur P. Hall, Ph.D., March 1, 1994
- The Price of Mobility: Gasoline Taxes in America, by Chris R. Edwards, June 1, 1993
- Tax Review: The Oil Excise Tax: Another Government Windfall, by David I. Meiselman, October 1, 1979
- Federal Non-Income Taxes: An Examination of Selected Revenue Sources, by TF Staff, April 1, 1965
- Federal Excise Taxes, by TF Staff, June 1, 1956