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This act was passed to assert the authority of the British government to tax its subjects in North America after it repealed the much-hated Stamp Act.
The Declaratory Act: This law said Parliament had the right to govern and tax the colonies. This law was enacted partly to save face, but mostly to clearly state the position of the British crown - the crown was the real government in the colonies, and that all colonists had to obey British laws.
The Declaratory Act made clear that it had "full power and authority to make laws and statutes of sufficient force and validity to bind the colonies and people of America, subjects of the crown of Great Britain, in all cases whatsoever." In addition, the act stated that "all resolutions, votes, orders, and proceedings" ...
What was the purpose of the Declaratory Act? to show the american colonists that the british parliament had a right to tax them, and that they are stronger than them. It was to assert to the colonists that they have authority to make laws, and it was a reaction to the failure of the stamp act.
The colonists ignored the Declaratory Act for the same reasons they ignored the Stamp Act, which the Declaratory Act helped repeal. They claimed their colonial assemblies were the only government bodies with the right to impose taxation and make laws.
The purpose of a declaratory relief action is to obtain clarity on a legal issue before any harm or damage has occurred. In a declaratory relief action, the plaintiff typically asks the court to make a declaration regarding the legal rights and obligations of the parties involved in a dispute.
This act was passed to assert the authority of the British government to tax its subjects in North America after it repealed the much-hated Stamp Act.
Similarly, the Declaratory Judgment Act, 28 U.S.C. § 2201, is not an independent source of federal jurisdiction. The purpose of that Act is merely to provide an additional remedy, once jurisdiction is found to exist on another ground.
In the colonies, leaders had been glad when the Stamp Act was repealed, but the Declaratory Act was a new threat to their independence. It was 1766, and to most colonists, the ability of England to tax the colonies without giving them representation in Parliament was seen as disgraceful.