What Act of Congress establishes the Internal Revenue Service and what does that law authorize the IRS to do?

2 Answers

  • Bob B
    Lv 7
    9 years ago
    Favorite Answer

    The first form of the IRS was the Commissioner of Internal Revenue, established under the Revenue Act of 1862.

    The 16th amendment to the US constitution, passed in 1913, granted the Federal government the power to collect income taxes.

  • 4 years ago

    IRS grew to become into everyday by way of the republicans. American Civil conflict (c4ca4238a0b92382dcc509a6f75849b86c4ca4238a0b92382dcc509a6f75849b–sixty 5) George S. Boutwell grew to become into the 1st Commissioner of inner revenues below President Abraham Lincoln. In July c4ca4238a0b92382dcc509a6f75849b862, in the course of the Civil conflict, President Lincoln and Congress created the workplace of Commissioner of inner revenues and enacted an earnings tax to pay conflict expenses (see revenues Act of c4ca4238a0b92382dcc509a6f75849b862). the situation of Commissioner exists at present because of the fact the pinnacle of the indoors revenues provider. The revenues Act of c4ca4238a0b92382dcc509a6f75849b862 grew to become into handed as an emergency and non everlasting conflict-time tax. It copied a incredibly new British gadget of earnings taxation, extremely of commerce and sources taxation. the 1st earnings tax grew to become into handed in c4ca4238a0b92382dcc509a6f75849b86c4ca4238a0b92382dcc509a6f75849b: * The preliminary value grew to become into 3% on earnings over $800, which exempted maximum salary-earners. * In c4ca4238a0b92382dcc509a6f75849b862 the cost grew to become into 3% on earnings between $600 and $c4ca4238a0b92382dcc509a6f75849b0,000, and 5% on earnings over $c4ca4238a0b92382dcc509a6f75849b0,000. * In c4ca4238a0b92382dcc509a6f75849b864 the cost grew to become into 5% on earnings between $600 and $5,000; 7.5% on earnings $5,000–$c4ca4238a0b92382dcc509a6f75849b0,000; and c4ca4238a0b92382dcc509a6f75849b0% on earnings $c4ca4238a0b92382dcc509a6f75849b0,000 and above. by way of the top of the conflict, c4ca4238a0b92382dcc509a6f75849b0% of Union families had paid some form of earnings tax, and the Union raised 2c4ca4238a0b92382dcc509a6f75849b% of its conflict revenues with the aid of earnings taxes.[one million]

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