McCulloch v. Maryland
(1819)
Troy Balog
Background
• The Second Bank of the United States was
established by Congress from an act in 1816.
• The state of Maryland enacted legislation that
required bank notes to be on stamped paper
from the state (in simple terms, taxing) on all
banks not chartered by the state.
• McCulloch was a cashier who failed to comply
with administering bank notes on stamped paper,
and Maryland sued him for his noncompliance.
• McCulloch argued the constitutionality of the act.
Issues
• Does Congress have the power to establish a
national bank although it is not an enumerated
power listed in the Constitution?
• Does the state of Maryland (or any individual
state) have the authority to tax a national
institution?
Ruling
• The United States government does have the
authority to establish a Bank of the United States
under the Necessary and Proper Clause. (Article 1,
Section 8)
• The state of Maryland (nor any state) may not tax
a federal institution.
*UNANIMOUS DECISION
Significance
• Grants wider range of power of the federal
government due to the Necessary and Proper
Clause.
• “The States have no power, by taxation or
otherwise, to impede or in any manner
control any of the constitutional means
employed by the U.S. government to execute
its powers under the Constitution.”
Bibliography
• http://www.oyez.org/cases/17921850/1819/1819_0
• http://www.lawnix.com/cases/mccullochmaryland.html
• http://www.ourdocuments.gov/doc.php?flash
=old&doc=21