Today in 1913 Delaware was the final state to ratify the 16th amendment to the U.S. Constitution bringing income taxation to the United States.
The 16th Amendment to the U.S. Constitution
The Congress shall have power to lay and collect taxes on incomes, from whatever source derived, without apportionment among the several States, and without regard to any census or enumeration.
In 1913 less than 1% of the population paid income tax at the rate of 1%.
In 1895 the Supreme Court had declared a federal income tax law unconstitutional. In typical government manner, not getting what they wanted in 1895, they rewrote the law and tacked an amendment on to the constitution granting them the power to do so. This amendment reversed that decision and authorized a tax on income