Whiskey Rebellion were the government's primary source of revenue, had been raised as high as feasible. He therefore promoted passage of an excise tax on domestically produced distilled spirits. This was to be the first tax levied by the national government on a domestic product. Whiskey was by far the most popular distilled beverage in late 18th-century America, so the excise became known as the "whiskey tax." Taxes were politically unpopular, and Hamilton believed that the whiskey excise was a luxury tax and would be the least objectionable tax that the government could levy. In this, he had the support of some
Canadian whisky more rye is required if it were added to a mash bill alongside the more readily distilled corn. The base whiskies are distilled to 180 to 190 proof which results in few congener by-products (such as fusel alcohol, aldehydes, esters, etc.) and creates a lighter taste. By comparison, an American whisky distilled any higher than 160 proof is labelled as "light whiskey". The flavouring whiskies are distilled to a lower proof so that they retain more of the grain's flavour. The relative lightness created by the use of base whiskies makes Canadian whisky useful for mixing into cocktails and highballs.