Underwood–Simmons Act
E541176
The Underwood–Simmons Act was a 1913 U.S. law that significantly reduced tariff rates and introduced a federal income tax following the ratification of the Sixteenth Amendment.
Statements (48)
| Predicate | Object |
|---|---|
| instanceOf |
United States federal statute
ⓘ
tariff law ⓘ tax law ⓘ |
| alsoKnownAs |
Revenue Act of 1913
NERFINISHED
ⓘ
Underwood Tariff Act NERFINISHED ⓘ |
| appliesTo | imports into the United States ⓘ |
| averageTariffRateAfter | about 25 percent ⓘ |
| averageTariffRateBefore | about 40 percent ⓘ |
| containsProvision |
exempted lower incomes from federal income tax
ⓘ
imposed higher rates on higher income brackets ⓘ |
| country |
United States of America
ⓘ
surface form:
United States
|
| economicEffect | shifted federal revenue source from tariffs to income taxes ⓘ |
| effectiveFrom | 1913-10-03 ⓘ |
| enactedInYear | 1913 ⓘ |
| historicalSignificance |
first permanent federal income tax after ratification of the Sixteenth Amendment
ⓘ
major reversal of high protective tariffs of the late 19th and early 20th centuries ⓘ |
| incomeTaxAppliesTo |
corporate incomes
ⓘ
individual incomes ⓘ |
| introducedFederalIncomeTax | true ⓘ |
| legalBasis | Sixteenth Amendment to the United States Constitution NERFINISHED ⓘ |
| legislativeBody | United States Congress ⓘ |
| mainPurpose |
introduction of a federal income tax
ⓘ
reduction of tariff rates ⓘ |
| namedAfter |
Furnifold McLendel Simmons
NERFINISHED
ⓘ
Oscar Underwood NERFINISHED ⓘ |
| opposedBy | Republican Party NERFINISHED ⓘ |
| partOf | Woodrow Wilson administration domestic policy NERFINISHED ⓘ |
| policyGoal |
increase competition for U.S. industries
ⓘ
make federal taxation more progressive ⓘ reduce cost of imported goods ⓘ |
| politicalContext | Progressive Era reforms ⓘ |
| presidentAtEnactment | Woodrow Wilson NERFINISHED ⓘ |
| relatedTo |
Sixteenth Amendment to the United States Constitution
NERFINISHED
ⓘ
United States federal income tax system NERFINISHED ⓘ |
| replaced | Payne–Aldrich Tariff Act NERFINISHED ⓘ |
| signedBy | Woodrow Wilson NERFINISHED ⓘ |
| signingDate | 1913-10-03 ⓘ |
| sponsorInHouse | Oscar Underwood NERFINISHED ⓘ |
| sponsorInSenate | Furnifold McLendel Simmons NERFINISHED ⓘ |
| subjectArea |
fiscal policy
ⓘ
taxation in the United States ⓘ trade policy ⓘ |
| supportedBy | Democratic Party NERFINISHED ⓘ |
| tariffPolicy | lowered average tariff rates ⓘ |
| title | An Act To reduce tariff duties and to provide revenue for the Government, and for other purposes NERFINISHED ⓘ |
| topIncomeTaxRate | 7 percent ⓘ |
| topRateAppliesAboveIncome | $500,000 annual income ⓘ |
| typeOfTaxIntroduced | graduated income tax ⓘ |
Referenced by (1)
Full triples — surface form annotated when it differs from this entity's canonical label.