5. To pay the salaries of its officers; as, the president, cabinet
officers, judges, ministers to foreign countries, congressmen, etc.
Indirect taxes are of two kinds, _customs or duties_, and _excises_ or
_internal revenue_.
_Excises_ or _internal revenue_ are taxes levied on certain domestic
goods, as, manufactured tobacco, liquors, and the like.
Indirect taxes levied by the government on imported goods or merchandise
are called _duties_ or _customs_.
A _custom house_ is a government office where duties are collected and
where vessels are entered and cleared. Nearly every seaport of
consequence has a custom house. So also have important towns near the
Canadian and Mexican boundaries.
Duties are of two kinds, _specific_ and _ad valorem_.
A _specific_ duty is one levied at a specified sum per yard, gallon,
ton, etc.
An _ad valorem_ duty is one levied at a certain percentage of the value
of the goods, at the port of export.
_Tare_ is an allowance made for the weight of bags, barrels, or cases,
in which merchandise is shipped.
_Leakage_ is an allowance made for loss of liquids from casks, barrels,
etc., in shipping.
_Breakage_ is an allowance made for the loss of liquids from bottles in
shipping.
EXAMPLE: Find the duty on 4 dozen bottles of cologne, allowing 4% for
leakage and 3% for tare. The invoice value is 90 cents a bottle and the
duty is 25% ad valorem and 20 cents specific. Find the total cost per
bottle.