This act was passed to assert the authority of the British government to tax its subjects in North America after it repealed the much-hated Stamp Act. On March 18, 1766, George III approved Parliament's repeal of the Stamp Act and its passage of the Declaratory Act.The Declaratory Act of 1766 declared that the British Parliament had the absolute right to tax colonies in North America. An act for the better securing the dependency of his majesty's dominions in America upon the crown and parliament of Great Britain. March 1766: Parliament issues the Declaratory Act, which states that the king and Parliament have full legislative power over the colonies. Excerpts. Parliament should be relocated to the colonies. B. Parliament was undermining the power of the king. In general the act is descryibed simply as a theoretical gesture or political tactic to ease the passage of the Stamp Act.