Happy 100th Birthday to the 16th Amendment to the Constitution
16th? From
here:
The Congress shall have power to lay and collect taxes on incomes, from whatever source derived, without apportionment among the several States, and without regard to any census or enumeration.
It was ratified on February 3, 1913. From
Dan Mitchell:
The 100th Anniversary of the Income Tax�and the Lesson We Should Learn from that Mistake
What�s the worst thing about Delaware?
No, not Joe Biden. He�s just a harmless clown and the butt of some good jokes.
Instead, the so-called First State is actually the Worst State because 100 years ago, on this very day, Delaware made the personal income tax possible by ratifying the 16th Amendment.
Though, to be fair, I suppose the 35 states that already had ratified the Amendment were more despicable since they were even more anxious to enable this noxious levy (and Alabama was first in line, which is a further sign that Georgia deserved to win the Southeastern Conference Championship Game, but I digress).
Let�s not get bogged down in details. The purpose of this post is not to re-hash history, but to instead ask what lessons we can learn from the adoption of the income tax.
The most obvious lesson is that politicians can�t be trusted with additional powers. The first income tax had a top tax rate of just 7 percent and the entire tax code was 400 pages long. Now we have a top tax rate of 39.6 percent (even higher if you include additional levies for Medicare and Obamacare) and the tax code has become a 72,000-page monstrosity.
But the main lesson I want to discuss today is that giving politicians a new source of money inevitably leads to much higher spending.
A good article pointing out the recent growth of government spending. Read the whole thing to realize what we are up to...
Posted by DaveH at February 3, 2013 3:43 PM