when did federal income tax came into being
Income tax The US federal government imposed the first personal income tax, on August 5, 1861, to help pay for its war effort in the American Civil War - (3% of all incomes over US$800) (equivalent to $21,800 in 2017).[11][verification needed] This tax was repealed and replaced by another income tax in 1862.[12][verification needed] It was only in 1894 that the first peacetime income tax was passed through the Wilson-Gorman tariff. The rate was 2% on income over $4000 (equivalent to $113,000 in 2017), which meant fewer than 10% of households would pay any. The purpose of the income tax was to make up for revenue that would be lost by tariff reductions.[13] The US Supreme Court ruled the income tax unconstitutional, the 10th amendment forbidding any powers not expressed in the US Constitution, and there being no power to impose any other than a direct tax by apportionment.
Congressional Accountability Act of 1995 The Congressional Accountability Act[2][3] was passed by vote of 98-1 in the Senate and 390-0 in the House.[4]
Washington, D.C. The signing of the Residence Act on July 16, 1790, approved the creation of a capital district located along the Potomac River on the country's East Coast. The U.S. Constitution provided for a federal district under the exclusive jurisdiction of the Congress and the District is therefore not a part of any state. The states of Maryland and Virginia each donated land to form the federal district, which included the pre-existing settlements of Georgetown and Alexandria. Named in honor of President George Washington, the City of Washington was founded in 1791 to serve as the new national capital. In 1846, Congress returned the land originally ceded by Virginia; in 1871, it created a single municipal government for the remaining portion of the District.
Sons of Liberty In 1765, the British government needed money to afford the 10,000 officers and soldiers living in the colonies, and intended that the colonists living there should contribute.[5] The British passed a series of taxes aimed at the colonists, and many of the colonists refused to pay certain taxes; they argued that they should not be held accountable for taxes which were decided upon without any form of their consent through a representative. This became commonly known as "No Taxation without Representation." Parliament insisted on its right to rule the colonies despite the fact that the colonists had no representative in Parliament.[6] The most incendiary tax was the Stamp Act of 1765, which caused a firestorm of opposition through legislative resolutions (starting in the colony of Virginia), public demonstrations,[7] threats, and occasional hurtful losses.[8]