The 16th Amendment to the United States Constitution allows Congress to levy an income tax without apportioning it among the states on the basis of population.
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Federal Income Tax: A tax levied by the United States Internal Revenue Service (IRS) on the annual earnings of individuals, corporations, trusts, and other legal entities.
Constitutional Amendment: A modification or addition to a constitution. In U.S., it requires approval by two-thirds majority in both houses of Congress and ratification by three-fourths of states.
Progressive Tax: A tax that takes a larger percentage from high-income earners than it does from low-income individuals. The 16th amendment made progressive taxation possible at federal level.