There Are Taxes to Be Paid - Research Paper Example

uired that the direct taxes that are collected by the federal government should be apportioned to the States, in accordance with their population numbers (Buenker, 1981). Further, the Sixteenth Amendment to the U.S. Constitution granted the federal government the powers to collect the taxes without regard to the provisions of Clause 4 of Section 9 in the Article I of the USA constitution, which required that the collection of direct taxes should be done with regard to a census or enumeration (Jensen, 2001).

Therefore, the basic t salient points of the Sixteenth Amendment to the U.S. Constitution are: The Sixteenth Amendment to the U.S. Constitution gave the congress, and consequently the federal government the right to collect taxes from whichever sources that an income was being generated by the American public (Buenker, 1981). Thus, it was now within the discretion of the federal government to apply tax towards the incomes that individuals were earning from their payroll incomes, where the federal government set the minimum taxable labor income at $3000.

In addition, the federal government gained the right to impose tax on gains derived from capital (Jensen, 2001). In this respect, the earnings in relation to properties owned by individuals or corporations would now pass for taxation, including the profits obtainable when such capital properties are sold or when they change hands. The other basic tenet of the Sixteenth Amendment to the U.S. Constitution is that; the federal government gained the right to use the direct taxes obtained from the various sources in whichever way it deemed necessary (Buenker, 1981).

This provision was a desertion from the provisions of the article I of the U.S. Constitution, which provided that the federal government should apportion all the direct taxes it collected to different States, based on the population numbers of each state, such that the States with a high population would be apportioned a higher amount of the direct taxes