: Gasoline, diesel, kerosene, airline tickets, and heavy trucks.
This guide outlines the fundamentals of excise tax, focusing on its application for businesses and consumers in the United States as of April 2026. Core Definition
Excise Tax 101: Definition, Examples, State vs. Federal - IGEN excise tax
: Indoor tanning, wagering (gambling), and certain health care-related fees.
The amount owed is generally calculated using one of two methods: : Gasoline, diesel, kerosene, airline tickets, and heavy
: They are used to raise revenue for specific public projects (e.g., highway funds from fuel tax) or to discourage behaviors deemed socially harmful (often called "sin taxes"). Common Taxed Items
: Alcohol (beer, wine, spirits) and tobacco products (cigarettes, vaping). Federal - IGEN : Indoor tanning, wagering (gambling),
Excise taxes are applied at federal, state, and local levels to a wide variety of items: