McCulloch v. Maryland

McCulloch v. Maryland
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  • We've decided to pass a law levying a $15,000 annual tax on any bank operating in Maryland that is not chartered by the state of Maryland
  • Maryland's General  Assembly/State Legislature
  • Second Bank of the United States.
  • But that isn't fair!  The only bank fitting this description Is ours!  
  • I, James William McCulloch, the head of the Baltimore Branch of the Second Bank of the United States,  Hereby refuse to pay this tax!
  • In that case, I John James File a Lawsuit! This case will be appealed to the Maryland Court of Appeals
  • We represent Maryland and argue that "the Constitution is silent on the subject of banks."
  • It is Maryland's contention that "without specific constitutional authorization for the federal government to create a bank, any such creation would be rendered unconstitutional.
  • We the Supreme Court, have struck down the tax as an unconstitutional attempt by a state that interferes with a federal institution. This is a violation of the Supremacy Clause.
  • I,  the Chief  Marshall  determined that Maryland can't tax the bank without violating the constitution since the power to tax involves the power to destroy. 
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