There was a time when the federal budget was very dependent upon excise taxes, but those times appear to be in the distant past, apparently never to be repeated. Nevertheless, there isn’t any real good reason why this government, along with State governments can’t take a long hard look at excise taxes and to make adjustments where they truly need to be made, because as it is right now, the excise tax just isn’t being utilized at close to the level that it could reasonably be used at, especially in consideration that there are certain indulgences that consumers partake of that they really ought to pay an excise tax upon or a higher excise tax for, basically because these things being indulged upon don’t provide any real benefit or good for the person, which is why some excise taxes have been subsequently labeled as sin taxes.
The very first tax that needs to be readdressed is the liquor tax. The thing about the liquor excise tax is that while inflation has pushed up the price of just about everything including alcohol, the excise tax for liquor is not attached to inflation but rather is attached to the volume of the liquor so being sold, as in, for example, every liter of alcohol, a fixed amount is collected as an excise tax, which doesn’t change with the times, so that the true percentage represented as the excise tax as compared to the current price of the alcohol being sold, demonstrates that this percentage of this excise tax has progressively gotten lower and lower, almost to becoming an irrelevancy. Not only does this need to change posthaste, but it needs to be inflation-adjusted so that it keeps in harmony with the value of the dollar and serves well the purpose of its existence as an excise tax.
Additionally, when it comes to excise taxes, there needs to be a greater concern demonstrated by this government that it should care about what we eat, and therefore, junk foods so defined as having little or no nutritional value, along with sugary sodas and things of that general ilk, need to have excise taxes associated with them, because the bottom line is that the continuous usage of these foods and drinks are harmful to the body and therefore the least this government should do to discourage its consumption is to appropriately apply an excise tax upon it, for one of the purposes of taxation is to modify and to change behavior for the better.
So too, when it comes to pornography and lascivious adult entertainment, this needs to be subject to an excise tax or a higher excise tax, because quite obviously, there really isn’t any redeeming value in pornography. In sum, any and all items that have little or no redeemable value should suffer to have an excise tax associated with them, because these things aren’t necessary for a good society and it could be argued that in most of these cases these are not just tending to be harmful to a good society, but are themselves a prevailing reason why society isn’t as good as it could and ought to be.