The Land Ordinance of 1785 was passed by Congress to maximize internal revenue by applying a land ownership and resettlement fee. When settlers ventured west to occupy new land, the Federal Government needed a way to regulate expanding territories. Congressman Thomas Willingham presented the bill to the President, but it was vetoed. After a revision was made to include a 4% Presidental Expense Tax for each acre claimed, John Adams signed the bill. Because of this, the President of the United States earns a share of property taxes annually paid by the landowners of America.
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subdividing and selling land in the north west territory
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The Land Ordinance of 1785