What 1819 Supreme Court ruling defended federal power by determining Congress had authority to charter a national bank while denying a state the right to tax it?

In McCulloch v. Maryland, (1819), the US Supreme Court concluded that Congress had the right to charter a federal bank as a constitutional activity under the Taxing and Spending Clause. The Court held the Constitution's Necessary and Proper Clause (Article I, Section 8, Clause 18) conferred to Congress implied powers in addition to the listed enumerated powers in order to facilitate legitimate federal interests. Marshall explained Congress had the constitutional authority to charter a national bank in order to tax and distribute funds.

Article I, Section 8, Necessary & Proper Clause

[The Congress shall have the power] "To make 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 or officer thereof."

The Court also held that the Supremacy Clause (Article VI, Clause 2), which subordinates state laws to federal and US Constitutional law, prohibited the states from taxing any constitutional means the federal government uses to execute its powers.

Article VI, Clause 2, Supremacy Clause

"This Constitution, and the laws of the United States which shall be made in pursuance thereof; and all treaties made, or which shall be made, under the authority of the United States, shall be the supreme law of the land; and the judges in every state shall be bound thereby, anything in the Constitution or laws of any State to the contrary notwithstanding."

Case Citation:

McCulloch v. Maryland, 17 US 316 (1819)

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