The act was supposed to to take from the massive surplus of tea help by the financially troubled British East India company in its London warehouses and to help the struggling company survive. It would give the right for the parliaments right of taxation.
How The Colonists reacted
They were upset and saw the problems of being taxed so they declined and turned down the act. But the British decided too anyways but the colonist rebelled and that led to the colonist boarding the British boat and dumping all of their tea party.