McCulloch v. Maryland (1819)
By 1819, the Bank of the United States had become extremely unpopular in the west. Western states tried to force the Bank out of business by taxing the local branches. The Supreme Court took up the case in order to decide if the federal government could charter a bank and if so, if the states could tax it. The court, under John Marshall, declared that the charter of a bank went with the implied powers mentioned in the constitution, and that states could not tax the bank because taxation was essentially the power to destroy as well. Marshall, in his decision, strengthened the implied powers of Congress and limited the powers of the states when dealing with the federal government.
By 1819, the Bank of the United States had become extremely unpopular in the west. Western states tried to force the Bank out of business by taxing the local branches. The Supreme Court took up the case in order to decide if the federal government could charter a bank and if so, if the states could tax it. The court, under John Marshall, declared that the charter of a bank went with the implied powers mentioned in the constitution, and that states could not tax the bank because taxation was essentially the power to destroy as well. Marshall, in his decision, strengthened the implied powers of Congress and limited the powers of the states when dealing with the federal government.