The inception date of the modern income…

The inception date of the modern income tax is typically accepted as 1799.

William Pitt the Younger had announced income tax in Britain in his budget of December 1798 and introduces it on January 9, 1799, to pay for weapons and equipment in preparation for the wars with France.

Pitt's new graduated income tax begins at a levy of 2d in the pound (0.8333%) on annual incomes over £60 and increases up to a maximum of 2s in the pound (10%) on incomes of over £200 (£170,542 in 2007).

Pitt hopes that the new income tax will raise £10 million (£8,527,100,000 in 2007), but actual receipts for 1799 total just over £6 million.