the excess profits tax was repealed, and the tax rate structure was adjusted to be less progressive. Many preferences were incorporated into tax law in the form of deductions,
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Income tax is not in the constitution.
1913
The Federal income tax is a progressive tax because the more a person makes in revenue, the more tax they will have to pay. The tax level or percentage is higher for those with a higher income, too.
Income tax was instituted on July 01, 1913
The 16th amendment made a federal income tax legal. This tax soon became a major source of revenue for the federal government. By giving tax breaks to businesses and individuals for certain actions, the federal government can regulate to some degree ,at least, many facets of American life and economic activities.