During the 1700s, the British Parliament used their authority to make laws regarding tax collection. One of these was the Molasses Act of 1733, but it did not work well. This was because the tax was not collected and people refused to pay it. During King George the third rule the Sugar Act, which was passed on April 5, 1764, replaced the Molasses Act. The background, purpose, and effect of the Sugar Act must be explained to understand the economic impact on the American colonies. First, the Sugar Act was mainly about controlling the trade of rum. Rum was a profitable product, and rum was made from molasses. The molasses was imported into the colonies in large amounts from large plantation owners in the British West Indies and used for rum. Great Britain was providing cheap labor from Africa and making them work in the sugarcane plantations in the West Indies. From there, the West Indies sent the molasses to the colonies in America. The colonists were required to pay tax on the molasses and this would bring money to the British Parliament. This tax was reduced by half compared to the previous Molasses Act. Next, the purpose of the Sugar Act was to raise money for the military expenses. The Prime Minster, George Grenville, strictly enforced the tax collection. He established courts for people who did not pay their …show more content…
The Sugar Act, also known as the American Revenue Act or the American Duties Act, was one of the laws that led to anger, dislike, disagreement, and eventually revolution in Colonial America. Another effect was an increase in smuggling and crime in the colonies. The colonists did not want to pay the outrageous taxes so they looked for ways not to have to pay. A third effect was the colonists decided to stop buying luxury products from Great Britain and looked to local manufacturers for their products. They did this to avoid paying the high
Sugar Interest The Sugar Interest could be blamed for the Revolutionary War because their initial decision to give the French back their Caribbean colony resulted in a chain of events that caused the colonists to rebel against Britain. The British gave back France’s Caribbean colonies to lower the amount of sugar being produced, therefore having the opportunity to increase the price in the colonies. Britain also began enforcing the Sugar Act, which placed an importation tax on Non-British Sugar and Non-British Rum. As the British Parliament continued placing new taxes on the American Colonies, the colonists began revolting against the crown.
After America’s Declaration of Independence asserted in 1776, were radical notions for those who had grown up in a society that was ruled but a king and that enthusiastically embraced the idea of aristocracy. “The first step in Grenville’s new program was the Revenue Act (1764), popularly known as the Sugar Act” (Keene, Page 98). But, this Act violated two longheld beliefs. Also, required colonists to purchase special stamps for everything from newspapers to playing cards.
The sugar act started in 1764. “April,5 1764... A new law passed called the Sugar and Molasses Act. Colonial merchants...were required to pay tax of six-pence…” All molasses was imported. Most of the colonist tried to buy french molasses and sugar at a cheaper price.
This act required that many documents such as licenses, diplomas, contracts and even playing cards to be printed on embossed paper that had a tax on it. This act was the very first attempt to tax the colonists directly for activities that occurred solely with the colonies themselves. After the French and Indian War the British national debt skyrocketed and the Prime Minister was eager to pay it down before the government was bankrupted.
Since Britain had just gone to war and needed to pay off their debts, they taxed the colonists multiple times. The Sugar Act was an example of this. It placed a tax on sugar, molasses, and other sweet products shipped to the colonies. Many colonists reacted by boycotting the British products and buying them from other sellers. Another example of how the British taxed the colonists would be when Britain taxed colonists on paper.
The Sugar Act caused alarm in the American colonies because of the expected economic disadvantages, and its difficult implementation in all thirteen colonies. Added to this was a general post-war depression that affected the colonies. It was this combination of factors which provided the background for the oppositional activities. One of the steps taken, was to threat with a boycott all of English products. Meanwhile rumors of a possible new act which was being prepared by the British added to the growing tension in the American
Under the Molasses Act colonial merchants had been required to pay a tax of sixpence per gallon on the importation of foreign molasses. The Sugar Act reduced the rate of tax on molasses from six pence to three pence per gallon, while Grenville took measures that the duty be strictly enforced. The act also listed more foreign goods to be taxed including sugar, certain wines, coffee, pimiento, cambric and printed calico, and further, regulated the export of lumber and iron. This act, and the Currency Act, set the stage for the revolt at the imposition of the Stamp
The Sugar Act, was made to try and stop the smuggling of sugar and molasses. This tax was given to the people to help settle the debt of the war, and it started an argument of “taxation without representation”. This dispute helped spread the idea of breaking
The act was established to raise income to help pay for the protection of North America; it ended the exclusion of colonial commerce from revenue-raising processes. The Sugar Act immensely complicated the obligations for
The Stamp Act, Sugar Act, Townshend Acts, and Intolerable Acts. The Stamp Act, Sugar Act, and Townshend Act all added taxes on everyday items. These taxes were put in place to pay for the French and Indian war. The colonists felt that these were unfair because they had no voice in parliament. They had no way to represent their opinions or ideas.
After the French and Indian War, Britain was in debt. King George III decided it was a grand idea to tax the colonies to help repay his debt. He implemented several different Acts on the colonies. The Sugar Act, in 1764, was the first form of taxation and it wasn’t just on sugar. This brought about the first saying of “No taxation without representation”.
The colonists wanted representation when it came down to being taxed, but the British government would not allow it. The government wanted full control over the people, so they made sets of acts and laws that were placed on taxation. For example, the Stamp Acts of 1765. These acts taxed all papers, pamphlets, newspapers, and cards. The Townshend Acts of 1767 were also a large part of taxation.
The act that most likely angered the colonists the least was the Sugar Act. This act required the price of
Britain needed a way to fix this. They came up with the Sugar Act, a set of taxes to help Britain raise money. Taxes were not a new thing for the colonists, but these new taxes caused big issues. The Sugar Act was suggested by Prime Minister George Greenville.
In result, economic changes would come to the colonies. Parliament met in 1763 and came to the conclusion that they were not receiving the profit they needed from the colonies (Document F). As a result, many taxes were passed by British Parliament upon the colonies, including the Sugar Act, the Stamp Act (Document H) and the Tea Act. The American colonies were not happy, to say the least. Americans protested, saying that these taxes were unnecessary and unfair.