Territorial Tax Parity and Fairness Act

Enumerated powers · passes

The federal government has explicit constitutional authority to lay and collect taxes under Article I, Section 8, Clause 1. This bill exercises that power by modifying the tax treatment of certain income for residents of the Virgin Islands. It does not exceed the enumerated power to tax.

Bill of Rights · passes

The bill does not implicate any of the first ten amendments. It does not restrict speech, religion, assembly, press, petition, arms, quartering, search and seizure, self-incrimination, due process, takings, trial rights, or cruel and unusual punishment. It is a purely fiscal measure.

Individual liberty · passes

The bill does not restrict individual liberty. Instead, it provides a tax exemption for certain income, which is a benefit to individuals. It does not compel any action or prohibit any conduct, and the burden of proof for any restriction is not relevant here because there is no restriction.

Decentralization · passes

The bill does not consolidate decision-making at a higher level of government. It is a federal tax law, which is appropriate because taxation is a federal power. The bill does not prevent individuals, local communities, or states from handling their own affairs; it simply adjusts federal tax rules. It passes all four questions.

Due process and takings · passes

The bill does not deprive any person of life, liberty, or property without due process of law. It does not take property without just compensation. It provides a tax exemption, which is not a taking. There is no procedural or substantive due process concern.