Beginning on February 22, 1819, the Supreme Court heard nine days of arguments in McCulloch v. Maryland. Daniel Webster argued for McCulloch, claiming that Congress did have the power to create a bank and that, therefore, the states could not tax a national bank. Luther Martin argued for Maryland, asserting that only states had the power to create banks and that, therefore, Maryland could tax a bank created by Congress. On March 6, 1819, the Supreme Court handed down its decision in McCulloch v. Maryland with Chief Justice John Marshall writing the majority opinion.
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| Majority Opinion from McCulloch v. Maryland |
Read the following excerpts from John Marshall's majority opinion for McCulloch v. Maryland (1819) to gain a better understanding of the Supreme Court's decision. Then, answer the questions to make sure you understand the key points of the Court's decision.
What was the Supreme Court's answer to the question, "Has Congress the power to incorporate a bank?" What was the Court's reasoning for this answer?
What was the Supreme Court's answer to the question, "Whether the State of Maryland may, without violating the Constitution, tax that branch?" What was the Court's reasoning for this answer?
| Your Responses | Sample Answers |
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| The Supreme Court concluded that the act incorporating the bank was constitutional. The Court reasoned that, while the Constitution does not specifically give Congress the power to create a bank, it does empower Congress to tax, to borrow, and to regulate commerce. In addition, Congress can do anything "necessary and proper" when exercising these powers. Creating a bank was necessary in order for Congress to exercise these other powers. | |
| The Supreme Court concluded that the law passed by Maryland imposing a tax on the bank was unconstitutional. The Court reasoned that the Constitution and the laws made in pursuance thereof are supreme and everything else is subordinate to them, especially a state tax law that was intended to destroy the bank that was created by an act of Congress. | |
"The first question made in the cause is — has Congress power to incorporate a bank?
Although, among the enumerated powers of Government, we do not find the word "bank" or "incorporation," we find the great powers, to lay and collect taxes; to borrow money; to regulate commerce; to declare and conduct a war; and to raise and support armies and navies. The sword and the purse, all the external relations, and no inconsiderable portion of the industry of the nation are entrusted to its Government. It can never be pretended that these vast powers draw after them others of inferior importance merely because they are inferior. Such an idea can never be advanced. But it may with great reason be contended that a Government entrusted with such ample powers, on the due execution of which the happiness and prosperity of the Nation so vitally depends, must also be entrusted with ample means for their execution.
But the Constitution of the United States has not left the right of Congress to employ the necessary means for the execution of the powers conferred on the Government to general reasoning. To its enumeration of powers is added that of making all laws which shall be necessary and proper for carrying into execution the foregoing powers, and all other powers vested by this Constitution in the Government of the United States or in any department thereof.
It being the opinion of the Court that the act incorporating the bank is constitutional, and that the power of establishing a branch in the State of Maryland might be properly exercised by the bank itself, we proceed to inquire:
Whether the State of Maryland may, without violating the Constitution, tax that branch?
This great principle is that the Constitution and the laws made in pursuance thereof are supreme; that they control the Constitution and laws of the respective States, and cannot be controlled by them. From this, which may be almost termed an axiom, other propositions are deduced as corollaries, on the truth or error of which, and on their application to this case, the cause has been supposed to depend.
That the power of taxing it by the States may be exercised so as to destroy it is too obvious to be denied. But taxation is said to be an absolute power which acknowledges no other limits than those expressly prescribed in the Constitution, and, like sovereign power of every other description, is entrusted to the discretion of those who use it. But the very terms of this argument admit that the sovereignty of the State, in the article of taxation itself, is subordinate to, and may be controlled by, the Constitution of the United States. We are unanimously of opinion that the law passed by the Legislature of Maryland, imposing a tax on the Bank of the United States is unconstitutional and void."
