Internal Revenue Service History

432 july 1 1862 which created the.

Internal revenue service history. The measure created a commissioner of internal revenue and the nation s first income tax. The internal revenue service is the nation s tax collection agency and administers the internal revenue code enacted by congress. 292 which also provided for a commissioner of the revenue and district collectors and assessors. To fund the civil war a direct tax on property and an income tax were levied by an act of august 5 1861 12 stat.

The internal revenue service irs is the revenue service of the united states federal government the government agency is a bureau of the department of the treasury and is under the immediate direction of the commissioner of internal revenue who is appointed to a five year term by the president of the united states the irs is responsible for collecting taxes and administering the internal. Until approximately 3 p m. Internal revenue service 2. 1961 internal revenue service begins using computers with the implementation of national computer center in martinsburg west virginia.

These taxes were repealed by the tax act 12 stat. 1867 heeding public opposition to the income tax congress cut the tax rate. National history day and the usa freedom corps on january 5 1914 the treasury department unveiled the four page form including instructions for the new income tax. Internal revenue 1862 1940.

Other 1040 schedules information about the other schedules filed with form 1040. This revenue consists of personal and corporate income taxes excise estate and gift taxes as well as employment taxes for the nation s social security system. The internal revenue service irs is responsible for the determination assessment and collection of internal revenue in the united states. As you browse through this timeline you will see the dedication of the internal revenue service s employees and our ongoing commitment to service and to all taxpayers.

1862 president lincoln signed into law a revenue raising measure to help pay for civil war expenses. It levied a 3 percent tax on incomes between 600 and 10 000 and a 5 percent tax on incomes of more than 10 000. The form was numbered 1040 in the ordinary stream of numbering forms in sequential order. The irs strategic plan is a roadmap to guide irs operations and to meet the changing needs and expectations of our nation s taxpayers and tax professionals who serve them.