Excise Tax

Excise Tax in the United States

Excise Tax

United States Constitution

According to the Encyclopedia of the American Constitution, about its article titled 249 EXCISE TAXIn its original meaning an excise was a tax on goods manufactured or produced within the taxing country, as opposed to a duty or impost on imports. Undoubtedly, this was the sense in which it was used in the constitutional grant of power to Congress to collect “taxes, duties, imposts and
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Definition of Excise Tax (in Charity Law)

A concept of Excise Tax in the context of charitable ogranizations applicable in the United States is provided here: A tax that applies to a specific type of income, activity, good, or service. For example, private foundations are subject to an excise tax on net investment income. An excise tax may also be imposed on charitable organizations and their managers, and other disqualified persons that engage in certain prohibited activities or approve of prohibited transactions, such as excess benefit transactions.

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  • Charity
  • Foundation
  • NGOs

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