Final answer:
The state of Maryland's decision to tax the Second Bank of the United States led to the McCulloch v. Maryland case, resulting in a landmark Supreme Court decision that affirmed federal authority over state laws.
Step-by-step explanation:
The legal case of McCulloch v. Maryland arose when the state of Maryland enacted a law to impose a tax on the Second Bank of the United States, which was a federal entity. Maryland sought to tax all banks not chartered in Maryland, which included the federal bank. James McCulloch, the head of the Baltimore branch of the Second Bank, refused to pay the tax, leading to the legal dispute that would end up in the Supreme Court.
The Supreme Court's decision was critical in establishing the principle that the states could not tax the federal government, asserting the supremacy of federal legislation over state law. This case played a significant role in shaping the concept of federalism in the United States.