Question

In McCulloch v. Maryland, what did the State of Maryland argue?
Responses

Banks cannot be created by Congress.
Banks cannot be created by Congress.

A federal bank must pay taxes to the state in which it is located.
A federal bank must pay taxes to the state in which it is located.

Banks may only be created by Congress, not by individuals.
Banks may only be created by Congress, not by individuals.

States can determine which institutions within its borders must pay taxes.
States can determine which institutions within its borders must pay taxes.

Answer 1

Maryland argued that Congress lacked authority to create a national bank and, in any event, that a federal bank was subject to state taxation — i.e., a federal bank must pay taxes to the state and states can tax institutions within their borders.