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The power to tax can be used to destroy or drive out a business by making the tax so high that the business is unprofitable.
In the interest of public health, exactly that is now being done to the cigarette industry!
It is the reason that religious activities and news publishing are not taxed, so that neither the states nor the federal government have that power over them.
In the case of McCulloch v. Maryland, Chief Justice John Marshall said the power to tax is the power to destroy. A state could put the tax so high that the branch of the Federal Bank would not be able to continue doing business in that state. Since no state can interfere with a legitimate federal entity, Maryland was not entitled to tax the federal bank.
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Is the power to tax a reserved power?
No, the power of tax is not held by the reserved powers, it is held by the concurrent powers.
The right to tax is an example of what kind of power?
The right to tax is an example of a concurrent power.
Who has the power to originate tax bill?
The Senate has the power to initiate tax bills
What did John Marshall mean when he said that the power to tax involves the power to destroy?
Chief Justice John Marshall wrote this statement in reference to Maryland's attempt to tax the national bank in McCulloch v. Maryland, 17 US 316 (1819).For more information, see Related Questions, below.
The gave Congress the power to impose an income tax on the American people.?
The _______ gave Congress the power to impose an income tax on the American people.
In McCulloch v Maryland Can state tax national bank?
In McCulloch v. Maryland, the United States Supreme Court declared that a state cannot tax a national bank. In explaining the decision, Chief Justice of the United States John Marshall declared that "the power to tax involves the power to destroy" meaning that if an individual state were allowed to tax a national bank, it could tax it so heavily that it would destroy it, and no individual state should have the power to destroy an institution that had been created by the U.S. government.
The power to tax is one of the major powers of the states true or false?
"The power to tax involves the power to destroy." (ans. yes is true) Chief Justice Marshall McCulloch v. Maryland
When was The Power to Destroy created?
The Power to Destroy was created in 1999.
Meaning of the power to tax is not the power to destroy while this court sits?
This quotation means that just because the government has the power to levy taxes does not mean the government should levy taxes, because such taxes have the power to destroy the poor of the country. This situation is especially contentious when the court is sitting on a decision, specifically a tex decision.
Who has the power to tax?
Congress has the power to tax.
Did the constitution give the federal government the power to tax?
How does the constitution have the power to tax
Is the power to tax a reserved power?
No, the power of tax is not held by the reserved powers, it is held by the concurrent powers.
The power to tax and control immigration is an example of?
The power to tax and control immigration is an example of reserved power.
Who has the powere tax?
Congress has the power to tax.
The right to tax is an example of what kind of power?
The right to tax is an example of a concurrent power.
What caused shay rebelion?
Massachusetts had the power to tax citizens.
Congress has the power to do what?
Congress has the power to tax
