USA HISTORY

Detailed explanation-1: -In March 1770, most of the taxes from the Townshend Acts were repealed by Parliament under Frederick, Lord North. However, the import duty on tea was retained in order to demonstrate to the colonists that Parliament held the sovereign authority to tax its colonies, in accordance with the Declaratory Act 1766.

Detailed explanation-2: -Although portions of the Townshend Acts were repealed, the tax on tea and special indemnity awarded to the British East India Company was retained.

Detailed explanation-3: -The act granted the EIC a monopoly on the sale of tea that was cheaper than smuggled tea; its hidden purpose was to force the colonists to pay a tax of 3 pennies on every pound of tea. The Tea Act thus retained the three pence Townshend duty on tea imported to the colonies.

Detailed explanation-4: -To help pay the expenses involved in governing the American colonies, Parliament passed the Townshend Acts, which initiated taxes on glass, lead, paint, paper, and tea. Nonimportation. In response to new taxes, the colonies again decided to discourage the purchase of British imports.

Detailed explanation-5: -On April 27, 1773, the British Parliament passes the Tea Act, a bill designed to save the faltering East India Company from bankruptcy by greatly lowering the tea tax it paid to the British government and, thus, granting it a de facto monopoly on the American tea trade.