When you volunteer to
pay your taxes each year (and each paycheck), you can thank Walt Disney and
Donald Duck. The US Government used them to convince people that they were
taxpayers, even though the law did not make them so. Once upon a time,
there was virtually no income tax. Only nonresident aliens and US citizens
not living in one of the States had to pay taxes and then only after they
had earned over $20,000, the equivalent of nearly $350,000 in 2002. The tax
rate was only 1% up to 7% on incomes above $500,000 ($6 million today). Very
few people were subject to the tax in the first place -- only about 1% of
the wealthiest Americans were originally required to file. However, in
1942, things changed even though the law and the Constitution didn't.
American citizens and
permanent resident aliens, living and working within the States of the Union
are not subject to the filing of an IRS Form 1040 and ARE NOT LIABLE for the
payment of a tax on "income"!!! If this surprises you, you are not
alone. You are among the vast majority of American citizens who have been
mislead and misinformed. Income taxes are by and large paid as a
"VOLUNTARY" contribution.
Amazingly, the
IRS demands you waive your Constitutionally protected,
Fifth Amendment right
by signing your tax form
Your signature on a tax return legally binds you to the fact
that you have fully complied with applicable tax laws. You may be severely
fined or imprisoned for any mistakes that you or your tax preparer might
make. Isn't it treason to violate the US Constitution? Isn't that what
military personnel have pledged to protect?
The final report of the 1984 Grace Commission, convened
under President Ronald Reagan, quietly admitted that none of the funds they
collect from federal income taxes goes to pay for any federal government
services. The Grace Commission found that those funds were being used to pay
for interest on the federal debt, and income transfer payments to
beneficiaries of entitlement programs like federal pension plans.
You've also not been
told that the gross revenues of the government--federal, state, and
local--are sufficient to operate present government services and more
WITHOUT RESORT TO TAXATION! Governments, many for the past fifty years,
have been keeping
TWO SETS OF BOOKS, Enron-style: one set for the public and
the other for internal use. Governments have hidden revenues not reported
to the public including stocks, bonds, derivatives, interest on loans, and
much more. Still, everybody is programmed to "pay their fair share"
regardless of the actual need.
For
YEARS, the Internal Revenue Service has ruled the American people with fear,
bluff, and deception, the IRS's major weapons. Americans have been led to
believe that they "owe" an income tax on their earnings; that it is their
"patriotic duty" to pay it, and there is no alternative to the IRS's abuse.
Nothing could be further from the truth! From its beginning, the income tax
was levied on non-resident aliens and
American
citizens living and working in a foreign country and for the federal
government.
During World War I,
the government requested that citizens volunteer to pay taxes as a way to
pay for the war. During World War II the government employed Walt Disney
and his cartoon character, Donald Duck, to increase the voluntary payment of
the income tax. Consider the following facts:
Our Founding Fathers
created a constitutional republic as our form of government. The
Constitution gives the federal/national government limited powers. All
powers not delegated to the United States are reserved to the States
respectively or to the People. The Union was created to be the servant of
the people! The
United States
Constitution
is the supreme law of the land. (Article VI, Clause 2.)
The
Constitution gives the Congress the power to lay and collect taxes to pay
the debts of the government and to provide for the common defense and
general welfare of the United States. Congress is only permitted to levy
two types of taxes.
1. DIRECT TAXES,
which are subject to the rule of apportionment among the states of the
Union.
2. INDIRECT TAXES
-- imposts, duties and excises, subject to the
rule of uniformity.
The US Constitution
does not allow the federal government to use either of the two
classifications to tax CITIZENS or PERMANENT RESIDENT ALIENS of the United
States of America, DIRECTLY. The intent of the
Founders was to keep the government the servant and to prevent it from
becoming the master. (See Article 1, section 2, clause 3 of the U.S.
Constitution.)
Remember
that a US Citizen is a citizen of the District of Columbia and all Federal
possessions. This is different from a Citizen of one of the United States
of America. Sovereign citizens of sovereign states sent representatives to
the Constitutional Convention who the laid the framework for a
constitutional republic, a federal government constrained by the
Constitution and the Bill of Rights to act within the powers expressly
delegated to it. The Federal Government was a servant of the people, not
their master.
A federal census is taken
every ten (10) years to determine the number of representatives to be
allotted to each State and the amount of a direct tax that may be
apportioned to each State. This is determined by the percentage its number
of representatives bears to the total membership in the House of
Representatives. (Article 1, section 2, clause 3; Article 1, section 9,
clause 4.)
It was established in the
Constitutional Convention of 1787 that the Supreme Court of the United
States would have the power of "judicial review". This is the power to
declare laws passed by the U.S. Congress to be null and void if such a law
or laws was/were in violation of the Constitution. This was to be determined
from the original intent as found in
Madison's Notes
recorded during the Convention, the Federalist Papers, and the ratifying
conventions found in Elliott's Debates.
Due to the characteristics
of the SECOND CLASSIFICATION of taxation, the Supreme Court called it an
indirect tax and it is divided into three distinct taxes: IMPOSTS, DUTIES,
and EXCISES. These taxes were intended to provide for the operating expenses
of the government of the United States. (See Article 1, section 8, clause
1.)
Duties and imposts are
taxes levied by the federal government on things imported into the country
from abroad, and are paid at the ports of entry.
The Supreme Court says
that excises are...taxes laid upon the manufacture, sale or consumption of
commodities within the country, upon licenses to pursue certain occupations
and upon corporate privileges. (See Flint v. Stone Tracy Co., 220 US 107
[1911].)
In 1862, Congress passed
an Act (law) to create an "Income Duty" to help pay for the War Between the
States. A duty is an indirect tax, which the federal government cannot
impose on citizens or residents of a State having sources of income within a
State of the Union.
Congress passed an Act in
1894 to impose a tax on the incomes of citizens and resident aliens of the
United States. The constitutionality of the Act was challenged in 1895 and
the Supreme Court said the law was unconstitutional because it was
a direct tax that was not apportioned as the Constitution required (See
Pollock v. Farmer's Loan & Trust Co., 157 US 429 [1895].)
In 1909 Congress passed
the 16th Amendment to the Constitution that was allegedly
ratified by 3/4 of the States; it is known as "The Income Tax Amendment."
Bill Benson has gathered the evidence that proves it was not legally ratified.
Some officials within the
Internal Revenue "Service," along with professors, teachers, politicians and
some judges, have said and are saying, that the 16th Amendment changed the
United States Constitution to allow a DIRECT tax without apportionment.
However, the above persons
are not empowered to interpret the meaning of the United States
Constitution! As stated above, this power is granted by the Constitution to
the Supreme Court, but limited to the original intent. The Supreme Court has
no power to function as a "social engineer" to amend or alter the
Constitution as they have been doing. A change or "amendment " can only be
lawfully done according to the provisions of Article 5 of the US
Constitution.
The U.S. Supreme Court
said in 1916 that the 16th Amendment did not change the U.S.
Constitution because of the fact that Article 1,
section 2, clause 3, and Article 1, section 9, clause 4, were not repealed
or altered; the U.S. Constitution cannot conflict with itself. The Court
also said that the 16th Amendment merely prevented the "income duty" from
being taken out of the category of INDIRECT taxation. (See Brushaber v.
Union Pacific R.R. Co., 240 US, page 16.)
After the Supreme Court
decision, the office of the Commissioner of Internal Revenue issued Treasury
Decision [Order] 2313 (dated March 21, 1916; Vol. 18, January-December,
1916, page 53.) It states in part;
...it is hereby held that
income accruing to nonresident aliens in the form of interest from the bonds
and dividends on the stock of domestic change corporations is subject to the
income tax imposed by the act of October 3, 1913.
In another Supreme
Court decision in 1916, the Court, in clear language settled the application
of the 16th Amendment. By the previous ruling [Brushaber] it was settled
that the provisions of the Sixteenth Amendment conferred no new power of
taxation. Rather it simply prohibited the previous complete and plenary
[full] power of income taxation possessed by Congress from the beginning
from being taken out of the category of indirect taxation to which it
inherently belonged... (See Stanton v. Baltic Mining Co., 240 US, 112.) And
indirect taxes are limited to imposts, duties, and excises, not on the
income of individuals.
The United States
Constitution gives the federal government the exclusive authority to handle
foreign affairs. Congress has the power to pass laws concerning the direct
or indirect taxation of foreigners doing business in the U.S.A. It has
possessed this power from the beginning, needing no "amendment" (change) to
the U.S. Constitution to authorize the exercise of it.
The DIRECT
classification of taxation was intended for use when unforeseen expenses or
emergencies arose. Congress, needing funds to meet the emergency, can borrow
money on the credit of the United States (Article 1, section 8, clause 2).
The Founding Fathers intended that the budget of the United States be
balanced and a deficit be paid off quickly and in an orderly fashion.
Through a DIRECT tax, the tax bill is given to the States of the Union. The
bill is "apportioned" by the number of Representatives of each State in
Congress; therefore, each State is billed its apportioned share of the
DIRECT tax equal to the number of votes its Representatives could employ to
pass the tax. How the States raise the money to pay the bill is not a
federal concern (Article 1, section 2, and clause 3).
In the Brushaber and
Stanton cases, the Supreme Court said the 16th Amendment did not change
income taxes to another classification. So, if the INCOME TAX is an indirect
EXCISE tax, then how is it applied and collected? According to the Supreme
Court, "Excises are taxes laid upon the manufacture, sale or consumption of
commodities within the country, upon licenses to pursue certain occupations
and upon corporate privileges; the requirement to pay such taxes involves
the exercise of the privilege and if business is not done in the manner
described no tax is payable...it is the privilege which is the subject of
the tax and not the mere buying, selling or handling of goods." (Flint v.
Stone Tracy Co., 220 US, 110.) In other words, if
there is no privilege or licensing involved in a business, no tax is
payable.
If all RIGHTS are the
natural heritage of men and women, citizens of the States retain all RIGHTS
except those surrendered as enumerated in the United States Constitution),
and PRIVILEGES are granted by government after application; THEN what is the
PRIVILEGE that the "income tax" is applied against?
As established in the
U.S. Constitution, the federal government cannot directly tax a citizen
living within one of the States of the Union. Citizens possess rights; these
rights cannot be converted to privileges by government. The only individuals
who would not have these rights and would therefore be liable to
regulation by government are NONRESIDENT ALIENS doing business and working
within the United States or receiving domestic source profits from
investments, and United States citizens working in a foreign country and
taxable under treaties between the two governments.
Withholding agents
withhold income taxes. The only section in the Internal Revenue Code that
defines this authority is section 7701(a)(16). Withholding of money for
income tax purposes, according to section 7701(a)(16), is only authorized
for sections:
·
1441 -
NONRESIDENT ALIENS,
·
1442 -
FOREIGN CORPORATIONS,
·
1443 -
FOREIGN TAX-EXEMPT ORGANIZATIONS,
·
1461 -
WITHHOLDING AGENT LIABLE FOR WITHHELD TAX.
Internal Revenue Manual
Chapter 1100 Organization and Staffing, section 1132.75 states: The Criminal
Investigation Division enforces the criminal statutes applicable to income,
estate, gift, employment, and excise tax laws
involving United States
citizens residing in foreign countries and nonresident aliens subject to
Federal income tax filing requirements... You are NOT a subject unless you wish to
agree to that or allow their interpretation stand by presumption. You
were born free, not a subject of anyone. Your birth certificate has been
used by them to make YOU collateral for the national debt. You can agree to remain chattel or
signify your intention to take back your sovereign power. If you do nothing
the government presumes that you prefer your present status.
What to do about the
withholding of taxes from your paycheck? The
implementation of IRS Treasury Regulation 1.1441-5 is explained in
Publication 515 on page 2, that "If an individual gives you [the domestic
employer or withholding agent] a written statement, in duplicate, stating
that he or she is a citizen or resident of the United States, and you do not
know otherwise, you may accept this statement and are relieved from the duty
of withholding the tax.
The ONLY way a United
States citizen or permanent resident alien, living and working within a
State of the Union can have taxes deducted from his/her pay, is by
voluntarily filing an application Form SS-5 to obtain a Social Security
Number.
·
Then by
entering that number on an IRS Form W and signing it to permit withholding
of "Employment Taxes" -- "Form W Employee's Withholding Allowance
Certificate" (emphasis added).
That is
why the IRS pressures parents to apply for Social Security Numbers for their
children, and for employers to obtain the voluntary completion of
Form W immediately from all those being hired. However, no federal
law or regulation requires workers to have a Social Security Number
or sign a withholding form to qualify for a job. Tax freedom can happen only
when you are aware of who you are.
Internal Revenue Code
Section 6654(e)(2)(c) states:...no tax liability...if....the individual was
a citizen or resident of the United States throughout the preceding taxable
year. IRS contends the success of the SELF-ASSESSMENT system depends on
VOLUNTARY COMPLIANCE
All
human rights are natural and cannot be taken away by any legitimate means.
This is the premise of the Declaration of Independence. The United States
Government can only exercise powers given to it by "We the People" through
the U.S. Constitution. The "income
tax" is an INDIRECT TAX. There is no section of law in the Internal
Revenue Code (Title 26 USC) making a CITIZEN or a RESIDENT working and
living WITHIN A STATE OF THE UNION, LIABLE to pay the INCOME
(indirect/excise/duty) TAX.
Are you "self employed"?
Did you know what the Internal Revenue Code says concerning filing quarterly
estimated returns? Read below!
SEC. 6654. FAILURE BY INDIVIDUALS TO PAY ESTIMATED INCOME
TAX.
(e) Exceptions. -Where tax is small amount. -- No addition to
tax shall be imposed under subsection (a) for any taxable year if the tax
shown on the return for such taxable year (or, if no return is filed, the
tax), reduced by the credit allowable under section 31, is less than $500.
Where no tax liability for
preceding taxable year.--No addition to tax shall be imposed under
subsection (a) for any taxable year if:
A. the preceding taxable
year was a taxable year of 12 months.
B. the individual did not
have any liability for tax for the preceding taxable year, and
C. the individual was a citizen or resident of the United
States throughout the preceding taxable year. (emphasis added)
What can you do about tax freedom? For
one thing, require them to follow their own statutes and regulations. IRS is
notorious for violating due process. Get a professional with 20 years
experience helping people with tax problems.
Click here for
TAX FREEDOM!
Tell your friends about Tax Freedom, send them the URL of tax
freedom
page, talk about tax freedom, tell your friends to tell their friends about
the way to tax freedom. Later when you
have learned more about tax freedom by experience and study, contact your congressman and
senators to protest and demand hearings to investigate the unconstitutional
structure and function of the Internal Revenue Service. You can find their
name, address, email address, phone number or fax number at
http://thomas.loc.gov
.
IRS and California Franchise Tax Board - Redemption Use
Update :
By Barton Butz
My continued investigation of the redemption plan has revealed a very
interesting pattern and curious phenomenon in relation to discharge of
public taxing agencies (IRS and (California) FTB assessments).
For a number of months now I have been comparing experiences and sharing
information with a number of others who are involved in and researching the
mechanics of the UCC filings and the Redemption plan. One of the common
experiences has been we have received reports and documentation that
assessments were made by public agencies (even county tax assessors). When
the patriot processed the necessary paperwork through the Dept. of the
Treasury and then some weeks later called for a printout were told that the
assessment was now "0."
However, we have had others who were receiving subsequent notices which
showed that the original amount of assessment had been changed either to "0"
or to a lesser amount. Looking at the supporting detail presented often the
recipient was confused because the book-keeping did not make sense.
Now I personally observed several instances where the original assessment
accepted for value has been reduced to "0" but not with any open
acknowledgement of "discharge". Instead the accounting has been very
creative by the IRS or the FTB to reduce the amount to either "0" or to a
much lesser figure than originally assessed.
We think we are beginning to understand what is going on here. The public
taxing agencies (IRS, FTB, etc.) apparently are accepting the Accepted for
Value and Discharge process through the Federal Window, but do not want it
to be openly known. Let me give just four examples :
1) Mr, Forbes is retired. He Accepted for Value an IRS assessment for 1999.
This came some months ago. Then recently he received a Notice that the IRS
had changed his account. They stated that Mr. Forbes had miscalculated his
Social Security figure on his return and thus (through their creative
book-keeping) the IRS now actually showed a credit owed to Mr. Forbes.
However, they did not send a refund, but noticed him that credit was being
applied to another year!
2) Mr. Holland is a chiropractor in Southern California. Around July 2000,
he received a number of assessments from the FTB. They were coming to him at
the rate of about two per week. He accepted them for value at that time.
Well, in October Dr. Holland contacted me and wanted to know if it would be
all right to call the FTB and get a printout of everything they might claim
he owed. So he called and the gal brought up his name and SS# in her
computer. Dr. Holland owed NOTHING! So he asked for a printout. She said
they generally do not provide printouts and especially not when there is
nothing d! ue. So he got her name which he has in his file in case in case
the FTB changes their mind.
3) Paul works with the agriculture industry in the San Joaquin Valley. He is
close to retirement age. Recently the IRS sent him a Notice of Deficiency
for several thousands of dollars. He responded by notifying the IRS and the
U.S. Tax Court that he was accepting that Deficiency for value. Just before
the end of November 2000, he received a Notice that the IRS had changed his
account. At first he was upset because he thought they were continuing to
assess him for the Deficiency. However, upon closer examination, we
discovered some very creative book-keeping which reduced the amount of
Deficiency to "0". But they now claimed that Mr. Young had neglected to
include a Self-Employment Tax assessment. So they were now charging him with
that, plus a penalty for not timely reporting that. So now he is accepting
that for value and we will see how they crunch the numbers on this one!
4) Ken lives in Northern California. Last year the local county assessor had
sent a claim for unsecured past due Property Taxes. Ken accepted the taxes
for value and also included a Notice of Defect of Process form with the
notification. Shortly, thereafter, Mr. Lake received a letter from the
County stating the assessment had been reduced to "0". However, now things
get very interesting. An associate of mine called the County Assessor's
office and inquired about the discharge. He was quickly referred to a
superior who told him that they had rejected the Accepted For Value and that
Mr. Lake had satisfied the obligation in another way. So we contacted Ken
Lake and Ken assured us he had taken no other action to satisfy the
assessment in any other manner.
For some reason, these public taxing agencies are doing everything they can
to keep from openly admitting or acknowledging that the Accepted For Value
discharge process is being accepted by them. We continue to investigate this
to see if we can come up with answers as to why.
One other observation : If you have an assessment that has gone to a Notice
of Lien, Levy or Order to Withhold the public agency will not necessarily
rescind the action when the original assessment is accepted for value. Our
evaluation of that reluctance seems to be that they are getting their money
from the employer or the bank and are not willing to acknowledge that the
discharge is valid. When the employer or the bank cooperates with the
employee or depositor we have found that the taxing agency will quickly back
off. So on we go working our way through the labyrinth of deception
continually dished out by these taxing agencies. If more and more would hold
them accountable and discharge these assessments I believe we would force
them to openly acknowledge the validity of the UCC filing and discharge
process.
What else can you do? File your UCC-1
claim on the CORPORATION that carries your name and take control through
your Treasury Direct Account. You are considered a Citizen of a Federal
territory because of the Fourteenth Amendment. Since you have not objected
to your status as a subject of the Federal jurisdiction, you may be presumed
to be content with your Federal citizenship. To guide you through the legal
brambles to tax freedom you will need the help of an experienced Tax Freedom
advisor.
Click here for
TAX FREEDOM!
Be sure to include your phone
number and the best times to receive a call.
REAL Freedom Library
History of Banking Fraud:
The Coming Battle
By M. W. WALBERT
The Coming Battle
documents from Congressional records, newspaper reports and writings by
the founding fathers and others a chronology of events long forgotten that
shaped our fledgling nation from 1776 to 1899. Read about the manipulation
of our money and its supply, the intentional creation of recessions,
depressions and panics, manipulation of the stock markets, and the
demonetization of silver.
Secrets of the Federal Reserve
by Eustace Mullins
Eustace Mullins' carefully
researched and documented treatise picks up from Walbert's expose' of
control of the money supply and the economy and
brings it to the mid 1980's.
The
World Order
by Eustace Mullins
How control of the world's money has inexorably led to an ever tighter
grip on control of the world's people.
Brave New World
by Aldous Huxley
Huxley presents a dystopic view of a future
in which mind-control creates a harmonized society stratified into classes
suitably manipulated and deprived to carry out work tasks with a hive
mentality. A foreign element is inserted when a high ranking Alpha brings a
Native American from a Reservation and a new perspective on freedom gnaws at
the fabric of the propaganda matrix.
Propaganda
by Edward Bernays
Walter
Lippmann's book, Public Opinion, published in 1922, detailed the
study in which he and Edward Bernays were involved while in London during
the First World War. It had to do with painting pictures inside people's
heads, which were cunningly and deliberately designed by expert craftsmen to
mislead not only individuals but entire societies.
Pawns in the Game
by William Guy Carr
This is the classic expose' of the New World Order from a Commander in
the Canadian Navy through the first half of the 20th Century.
Commander Carr was introduced to the Hidden Hand early in his life and
pursuing its mysteries became a lifelong mission.
Social Credit
by CH Douglas
In every country of the world the global financial system has
repeatedly been brought to the Bar of
Public Opinion as the chief factor in world unrest, and there is little
doubt that the jury of We the People has confirmed the Verdict somewhat rhetorically
expressed by Mr. William Jennings Bryan in his famous election speech: "The
money power preys upon the nation in times of peace, and conspires against
it in times of adversity. It is more despotic than monarchy, more insolent
than autocracy, more selfish than bureaucracy. It denounces, as public
enemies, all who question its methods, or throw light upon its crimes. It
can only be overthrown by the awakened conscience of the nation."
Social Credit by C.H. Douglas can clarify the issues from which we can
move forward to create a financial system that is fair and equitable.
Final Warning: A History of the New World Order
by
by David
Allen Rivera
David Allen Rivera has assembled a very carefully written history that
can serve us well. To have been
ignored in the history books, by the colleges and
universities, the print and electronic media, and the entire
national and international discussion shows their power to control
the flow of information as much as they control the flow of money.
What they intend to do with this power and influence should be one
of the most vital topics of conversation.
An Independent Investigation of 9-11 and its Zionist Connection
by Dr. Albert Pastore
History
provides patterns that we can learn to recognize so that we can avoid
them. Properly presented, history provides any of us with
invaluable tools to help us see behind the illusions. No one who
is paying attention to the patterns and their application to today's
events would fail to miss the signals or the dog that fails to bark.
Uranium Wars by Leuren Moret
How control of the world's people has inexorably led to wider use of
depopulation methods which include spreading radioactivity in food,
water, air, and the human genome.
Taking Back Your Power
by Allen Aslan Heart
WHAT CAN YOU DO? Stop playing THEIR game. Take back
your power. Stop paying taxes that are not legal or lawful. Stop paying
bills you don't really owe. Debt Elimination! Stop using THEIR money. There ARE ways if you
open your mind and look for the gaps in their fences that keep the sheeple
in their pasture. Are you chattel or a real person? You are the one who
makes that choice.
Our experienced
debt elimination service professionals have been
helping people with debt elimination,
tax freedom, and
credit repair for over
ten years. To contact them
click here.
Get rid of debt!
Debt Elimination is Real Freedom!
You can't have something for
nothing,
you can't have your freedom for free.
You won't get wise with the sleep still in your eyes,
no matter what your dreams might be. - Rush
