Final answer:
The Underwood Tariff Act replaced the Dingley Tariff of 1897, lowering tariff rates by around 15%, eliminating tariffs on several products, and reintroducing the federal income tax.
Step-by-step explanation:
The tariff bill that replaced the Dingley Tariff of 1897 was the Underwood Tariff Act, also known as the Revenue Act of 1913. This piece of legislation was introduced as part of President Woodrow Wilson's New Freedom agenda and aimed to lower tariff rates and increase international trade, thereby benefiting the consumer. The Underwood Tariff Act reduced tariff rates by approximately 15 percent, completely eliminated tariffs on certain imports like steel, iron ore, woolen products, and farm tools, and reinstituted the federal income tax following the ratification of the Sixteenth Amendment. By reducing dependency on tariffs for federal revenue, it shifted towards a more progressive tax system where the federal income tax was leveraged.