Most Americans have no idea the era of Income taxes and modern banking coincided in the legislative calender of Congress in 1913. The Federal Reserve act and the 16th Amendment began the modern economy of the USA, and most of the world. Before this date, banks issued their own money, government only taxes investment and corporate income (except in wartime), and money was still based on gold or silver .The role of banks was very much understood in this period. Their role in monetary policy had been an election issue since Jackson and Lincoln printed greenbacks. The main cause for the formation of the Fed was the abuses of the "dealers" of federal debt and cyclical recessions as banks manipulated the money supply - the hard money position of the government was the real story behind the Wizard of OZ ....
What is interesting is that in this era the general public not only understood how banks, money and credit worked, but held strong views on it. Today, we have lived out Jefferson's prophecy:
The mass of mankind has not been born with saddles on their backs, nor a favored few to ride them.
"The evils of this deluge of paper money are not to be removed until our citizens are generally and radically instructed in their cause and consequences, and silence by their authority the interested clamors and sophistry of speculating, shaving, and banking institutions. Till then, we must be content to return quoad hoc to the savage state, to recur to barter in the exchange of our property for want of a stable common measure of value, that now in use being less fixed than the beads and wampum of the Indian, and to deliver up our citizens, their property and their labor, passive victims to the swindling tricks of bankers and mountebankers." --Thomas Jefferson to John Adams, 1819. ME 15:185
"Private fortunes, in the present state of our circulation, are at the mercy of those self-created money lenders, and are prostrated by the floods of nominal money with which their avarice deluges us." --Thomas Jefferson to John W. Eppes, 1813. ME 13:276
But not this one:
I know of no safe repository of the ultimate power of society but people. And if we think them not enlightened enough, the remedy is not to take the power from them, but to inform them by education.
What is truly sad is how we consider ourselves educated while we talk about taxes, whose main cause is the money which we no longer understand the creation and control over..... Paper money is the root cause of modern income taxes, especially on the middle class, and as such, any rational discussion about taxation should begin (and end) with the monetary system - so how come it never does?