History Of Tax Law
The tax system plays an important part in the development of the nation’s economy. In spite of knowing this fact each year there are thousands of people in the country who like to evade taxes. Who would like to give some portion of their earnings to someone else? Still, as responsible citizens we must stick to the rules imposed by the government.
The genesis of Federal Tax Law dates back to the pre independence era. In this period the government did not indulge much into common citizen’s welfare. The British Colonial was funding themselves primarily through import duties and the excise tariffs. The present Canada persuaded the British to levy taxes from colonist for funding the armies which could protect Americans.
During the premature stage of the Republic a debate surfaced out on how to generate income for the government? The government then had no powers to exercise taxes. However, the states contributed some money to the Federal as duties for carrying out expenses on its army.
It was the ongoing civil war in the year 1868 that focused on the 16th Amendment and enabled the congress to impose tax basically to keep its army going. Eventually in the year 1913 the income tax was authorized and gave birth to the current system of Taxation governed by the IRS. Since then, the IRS has evolved into an organization in itself with thousands of employers working as tax specialists, tax accountants, tax auditors, tax lawyers and so on.
More Articles :