Mcculloch Vs Maryland Case Study

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McCulloch vs. Maryland is the court case that brought attention to expansion of federal power to the United States of America. The two main questions on why this case was brought to the Supreme court were…Did Congress have the power to establish the Second Bank of the United States of America? Did Maryland have the power to tax the bank? This case confirmed that Congress did have the power to establish the Bank, and Maryland did not have the power to tax the Bank. The Supreme Court ruled Congress had the power to establish the Bank in Article One, Section Eight of the Constitution using the elastic clause, stating Congress has the power to “make all laws which shall be necessary and proper for carrying into execution.” The court ruled with …show more content…
Most states did not accept the chartering of a National Bank. Therefore many states passed laws on either banning the bank completely or taxing it. Maryland passed a law requiring a stamp tax. The stamp tax was a tax on notes issued by an unchartered bank by the said state. Since the State of Maryland would not charter the Bank, a stamp tax was held to the notes given out. James W. McCulloch was an officer of the Second National Bank. McCulloch did not tax the notes withdrawal from the Bank. The State of Maryland sued McCulloch ($110) for being in violation of Maryland’s tax law. In the court system of Maryland, Maryland won the case of suing McCulloch. However the bank decided to appeal to the Supreme …show more content…
Luther also argued the Tenth Amendment….”powers not delegated by the United States nor prohibited to the states, are reserved to the states respectively, or to the people.” Therefore a bank can only be created by the states or the people they represent. So the question was were did Congress get the authority to set up the Bank? Maryland concluded that the Constitution had nowhere stated the limit states could tax. Thus stating that the states can tax any person or property in its borders.
Daniel Webster also argued the same Article and Section (Article 1, Section 8). Which states Congress has the power “to make Laws which shall be necessary and proper.” He added to his argument by saying the bank was a “proper and suitable” so could work efficiently. Webster 's defense for the taxing the bank was announcing that if the states can tax the bank, when will they start taxing the post and the services the government regulates. he expressed that “the power to tax, is the power to

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