In 1913,to offset the loss of revenues from other legislation,Congress
A) passed a graduated income tax.
B) decided to inflate the currency.
C) increased business regulatory fees.
D) raised the tariff on agricultural goods.
E) passed heavy excise taxes on alcohol and tobacco.

Question

Quizplus · Accepted Answer

The option that best fits the description given is the passage of a graduated income tax. This was enacted as part of the 16th Amendment to the US Constitution in 1913, and was designed to raise revenue for the federal government by taxing individuals and corporations based on their income. It was intended to be a more progressive tax system, meaning that those with higher incomes paid a greater percentage of their income in taxes than those with lower incomes. This was seen as a way to offset the losses incurred from other legislation, such as the reduction in tariff rates that had occurred in the years prior. Therefore, option A) is the best choice.

In 1913,to Offset the Loss of Revenues from Other Legislation,Congress