of Irish whiskey dating back to 1405, which is nearly 100 years before it shows up in any Scottish. Aqua vitae (in the form of wine or spirits) was used when making gunpowder to moisten the slurry of saltpetre, charcoal and sulphur. As a drink, Scotch whisky was a favourite of King James IV of Scotland. Spirit production was first taxed by the Scottish parliament of January 1644, with an excise duty of 2s 8d imposed, per Scots pint; instigating the illicit distilling of spirits within the country. Between the 1760s and the 1830s a substantial unlicensed trade originated from the Highlands, forming a significant part of the region's export economy. In 1782, more than 1,000 illegal stills were seized in the Highlands: these can only have been a fraction of those in operation. The Lowland distillers, who had no opportunity to avoid taxation, complained that un-taxed Highland whisky made up more than half the market. The heavy taxation during the Napoleonic Wars gave the illicit trade a big advantage, but their product was also considered better quality, commanding a higher price in the Lowlands. This was due to the method of taxation: malt was subject to tax (at a rate that climbed substantially between the 1790s and 1822). The licensed distillers, therefore, used more raw grain in an effort to reduce their tax bill. The Highland magistrates, themselves members of the landowning classes, had a lenient attitude to unlicensed distillers—all of whom would be tenants in the local area. They understood that the trade supported the rents paid. Imprisoned tenants would not be able to pay any rent. In 1823, Parliament eased restrictions on licensed distilleries with the "Excise Act", while at the same time making it harder for the illegal stills to operate. Magistrates found counsel for the Crown appearing in their courts, so forcing the maximum penalties to be applied, with some cases removed to the Court of Exchequer in Edinburgh for tougher sentences. Highland landowners were now happy to remove tenants who were distillers in clearances on their estates. These changes ushered in the modern era of Scotch production: in 1823 2,232,000 gallons of whisky had duty paid on it; in 1824 this increased to 4,350,000 gallons. A farmer, George Smith, working under landlord the Duke of Gordon, was the first person in Scotland to take out a licence for a distillery under the new Act,