On July 1, 1997, the United Kingdom returned Hong
Kong to China at the conclusion of a 99-year lease. The foundation
for the transfer of power was set in December of 1984, when China
and UK signed the Sino-British
Joint Declaration on Hong Kong. The Declaration affirmed
the handover of Hong Kong along with governing principles. Most
significantly, the Chinese agreed not to impose their socialist
system on Hong Kong.
On July 1, 1862, the Tax Act of 1862 was passed and
signed by President Lincoln, establishing a 3% federal tax on income
above $600 and a 5% tax on income above $10,000.
Compliance with the act was poor, even though there were needs for the Civil War. After the war the act was declared unconstitutional by the Supreme Court. Review a brief history of the US income tax from the Library of Congress.