Congress shall have power:
To lay and collect taxes[1], duties, imposts and excises, to pay the debts and provide for the common defense and general welfare of the United States;[2] but all duties, imposts and excises shall be uniform throughout the United States.[3]
For discussion of methods of taxation, see page 316.
[1] The want of power in congress to impose taxes was, perhaps, the greatest defect of the articles of confederation; therefore in the constitution this was the first power granted to congress.
[2] As usually interpreted, the phrase beginning, "to pay the debts," is intended to state the purposes for which taxes may be levied. But this limitation is merely theoretical, for taxes are levied before being expended.
[3] This is to prevent legislation in favor of any state or section, as against other states or sections.
Clause 2.—Borrowing.
To borrow money on the credit of the United States.
It should not be necessary, ordinarily, for congress to exercise this power. But in times of war the regular sources of income may not be sufficient, hence the necessity of this power to provide for extraordinary expenses. It is one of the prerogatives of sovereignty; it is indispensable to the existence of a nation.
For more about national borrowing, see page 317.