Exactly the supreme court had it repealed until the 16th Amendment.
This was to help fund WW1.
http://www.infoplease.com/ipa/A0005921.html
Uh, the
first income tax was 1861 under Lincoln. You people have never read any history and it is obvious.
1861
In July 1861, the Congress passed a 3% tax on all net income above $600 a year (about $10,000 today). However, no revenue was ever raised because a second tax passed before the first was due (on June 30, 1862). The war's demand on resources made the earlier tax ineffective, and the sale of bonds could not keep up with the expenditures of the administration and the armies. In March, the Congress passed an income tax of 3% on annual incomes of $600 to $10,000 and 5% on incomes from $10,000 to $50,000 and threw in a small inheritance tax too. Lincoln signed the bill on July 1, 1862 to take effect a month later. The Union debt then stood at $505 million.[2] This tax also included the first appearance of withholding and was applied to federal salaries and on interest and dividends.[3]
In 1863, Congress then passed a special 5% tax on incomes above $600 to pay for an army recruitment program that would pay men $2 per recruit and pay recruit's their first month's pay in advance.[4]
In mid-1864, the rates were raised again. The 3% tax on incomes above $600 was increased to 5%, a new 7.5% rate was introduced on incomes over $5,000, and the old rate of 5% on incomes above $10,000 was raised to 10%. The tax on interest and dividends was also raised from 3% to 5%.
And for the first time, with the changes, Americans now had to swear to the veracity of their tax returns, and government assessors could now challenge a return. The penalty for not filing a tax return was likewise doubled to 10%.[5]
At first, the income tax raised comparatively little revenue in relation to the war's demand for it. Harvesting only $2.7 million in 1862–1863, by the next year, the tax pulled in $20.2 million. And believing that many large-income earners were eluding the taxman, Congress raised the rate on incomes over $5,000 to 10% and gave the assessors the power to estimate income and increased the penalties for noncompliance, from fines of 25% to double that for filing fraudulent returns. By 1866, 30% of federal revenues derived from the income tax totaling $73 million, and derived primarily from just three states, New York, Pennsylvania and Massachusetts.
In a move to increase compliance and the veracity of returns, the government even made tax returns available to the press. This practice was outlawed in 1870.[6]
The Confederacy also experimented with a progressive income tax, eventually imposing a tax in kind that further destroyed the already ruptured and blockaded economy of the South