21
QuizMultiple Choice

The Supreme Court and the Role of Government

Question 21 • * HSA 26-27 US Government

Before McCulloch v. Maryland went to court, the state of Maryland

Answer
a
argued that James McCulloch must pay federal taxes.
c
created the first federal bank in the state.
s
said that only state banks were allowed within Maryland’s borders.
p
passed a law that required federal banks to pay state taxes.

Explanation

Maryland passed a law taxing banks that had not been chartered by the state, including the Baltimore branch of the federally chartered Second Bank of the United States. James McCulloch, the branch’s cashier, refused to pay the tax, leading to the court case. So the correct choice is “passed a law that required federal banks to pay state taxes.”

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