McCray v. United States facts for kids
Quick facts for kids McCray v. United States |
|
|---|---|
|
|
| Argued December 2, 1903 Decided May 31, 1904 |
|
| Full case name | ' |
| Citations | 195 U.S. 27 (more) |
| Court membership | |
| Case opinions | |
| Majority | White |
| Dissent | Fuller |
McCray v. United States was an important case decided by the Supreme Court of the United States in 1904. The Court ruled that the U.S. government could use its power to tax for more than just raising money. It could also use taxes to control or guide certain activities.
The case was about a special federal tax on colored oleomargarine. The Court decided by a vote of 6 to 3 that this tax was allowed. They said it did not go beyond the powers given to Congress by the Constitution. Justice Edward Douglass White wrote the main opinion for the Court. This decision meant that Congress could use taxes to influence businesses and activities happening only within one state. The judges in the majority did not look at why Congress made the tax. They only ruled that the tax was valid because it did raise money. Chief Justice Melville Fuller disagreed with the decision.
What Was the Case About?
In the 1800s, scientists in France created oleomargarine. It was a new food that could be used instead of butter. Oleomargarine was naturally white. People thought white food looked unappetizing. So, companies started adding yellow color to it.
Farmers who produced dairy products like butter did not like this. They felt that coloring oleomargarine yellow was misleading to customers. They asked the government to create laws to help them compete.
Congress then passed a law to tax colored oleomargarine. The tax was 10 cents for every pound. This high tax would make it very hard for companies to sell colored oleomargarine.
Why Did McCray Sue?
A person named McCray sold oleomargarine. He sued the United States government. He argued that the tax was against the Constitution. He believed it took away his property without proper legal steps. This is known as a deprivation of due process.
The Supreme Court had to decide if Congress had the power to create such a tax. They also had to decide if the tax was fair. The Court's decision made it clear that Congress has a lot of power when it comes to taxes. They can use taxes to regulate or control certain parts of the economy.
