Replies

I wish you would really read the treatise I posted written by Larkin Rose.

I have, as anyone who looks at it will notice my replies to you on the topic.

The cases where it has been properly applied are not available for you to cut and paste. Do you understand? They don't make it to the web or to court.

At least until the DOJ decides its worth prosecuting.

When you can tell me you have read the argument and understand it, and can show me you do

Sorry, you are just whistling passed the graveyard.

I have read the argument and find it as full of holes as the Clinton argument over the definition of sex. Sorry I don't by the argument, and the big guns, in the courtroom back the position up as well as simple common sense.

You have yet to present a rational reason as to why a Congress that has the full authority to levy and collect an excise or duty from the individual citizen of the United States does not in statute that plainly declares that intent:

Commissioner v. Glenshaw Glass Co., 348 U.S. 426, 429-30 (1955).

"Congress applied no limitations as to the source of taxable receipts, nor restrictive labels as to their nature."

COOK v. TAIT, 265 U.S. 47 (1924)

"[T]he principle was declared that the government, by its very nature, benefits the citizen and his property wherever found, and therefore has the power to make the benefit complete. Or, to express it another way, the basis of the power to tax was not and cannot be made dependent upon the situs of the property in all cases, it being in or out of the United States, nor was not and cannot be made dependent upon the domicile of the citizen, that being in or out of the United States, but upon his relation as citizen to the United States and the relation of the latter to him as citizen."

U S v. FISHER, 6 U.S. 358 (1805)

"It is undoubtedly a well established principle in the exposition of statutes, that every part is to be considered, and the intention of the legislature to be extracted from the whole."

United States v. Melton, No. 94-5535 (4th Cir. 1996)
ARGUED: Lowell Harrison Becraft, Jr.[one of Schulz & Co. legal beagles], Huntsville, Alabama, for Appellants.

The jury heard not only the United States's evidence against the Meltons, but also the brothers' defense that they believed they were not "persons liable" for federal income tax. The jury rejected the excuse, however, and convicted them on nearly all counts.

[Subtitle A] "Section 1 of the Internal Revenue Code imposes a federal tax on the taxable income of every individual.
26 U.S.C. s 1."

[Subtitle A] "Section 63 defines "taxable income" as gross income minus allowable deductions."
26 U.S.C. s 63.

[Subtitle A] Section 61 states that "gross income means all income from whatever source derived," including compensation for services.
26 U.S.C. s 61.

[Subtitle F] Sections 6001 and 6011 provide that a person must keep records and file a tax return for any tax for which he is liable.
26 U.S.C. ss 6001
26 U.S.C. ss 6011.

Finally, section 6012 provides that every individual having gross income that equals or exceeds the exemption amount in a taxable year shall file an income tax return.
26 U.S.C. s 6012.

The duty to pay federal income taxes therefore is "manifest on the face of the statutes, without any resort to IRS rules, forms or regulations." United States v. Bowers, 920 F.2d 220, 222 (4th Cir.1990). The rarely recognized proposition that, "where the law is vague or highly debatable, a defendant--actually or imputedly--lacks the requisite intent to violate it," Mallas, 762 F.2d at 363 (quoting United States v. Critzer, 498 F.2d 1160, 1162 (4th Cir.1974)), simply does not apply here.
Each Melton brother had gross income in excess of the amount requiring the filing of a return in each of the years at issue. Therefore, each was a "person liable."

26 USC 7805(a) Rules and regulations
(a) Authorization - … the Secretary [of the Treasury] shall prescribe all needful rules and regulations for the enforcement of this title [Title 26]…" [26 USC § 7805]
Thus under amplifying Treasury regulations for 26 USC 1, 26 CFR 1.1-1(a),(b)

Sec. 1.1-1 Income tax on individuals.

(a) General rule. (1) Section 1 of the Code imposes an income tax on the income of every individual who is a citizen or resident of the United States and, to the extent provided by section 871(b) or 877(b), on the income of a nonresident alien individual.
(b) Citizens or residents of the United States liable to tax. In general, all citizens of the United States, wherever resident, and all resident alien individuals are liable to the income taxes imposed by the Code whether the income is received from sources within or without the United States.

And in Regard to 26 USC 861

TITLE 26 - Sec. 861. Income from sources within the United States
(a) Gross income from sources(activities) within United States
The following items of gross income shall be treated as
income from sources(activities) within the United States:

(3) Personal services
Compensation for labor or personal services performed in the United States;

26 USC 5761.

CIVIL PENALTIES
(b) FAILURE TO PAY TAX
Whoever fails to pay any tax imposed by this chapter at the time prescribed by law or regulations, shall, in addition to any other penalty provided in this title, be liable to a penalty of 5 percent of the tax due but unpaid.

26 USC 7203.

WILLFUL FAILURE TO FILE RETURN, SUPPLY INFORMATION, OR PAY TAX
Any person required under this title[26] to pay any estimated tax or tax, or required by this title or by regulations made under authority thereof to make a return, keep any records, or supply any information, who willfully fails to pay such estimated tax or tax, make such return, keep such records, or supply such information, at the time or times required by law or regulations, shall, in addition to other penalties provided by law, be guilty of a misdemeanor and, upon conviction thereof, shall be fined not more than $25,000 ($100,000 in the case of a corporation), or imprisoned not more than 1 year, or both, together with the costs of prosecution. In the case of any person with respect to whom there is a failure to pay any estimated tax, this section shall not apply to such person with respect to such failure if there is no addition to tax under section 6654 or 6655 with respect to such failure. In the case of a willful violation of any provision of section 6050I, the first sentence of this section shall be applied by substituting "felony" for "misdemeanor" and "5 years" for "1 year"

In Summary, if you are a United States citizen, and receive compensation for labor or services in the United States you are subject to income taxes.

compensation = item of income
in exchange for = activity
service = object of commerce.

A tax levied as an excise or duty on an activity of commerce.

A LAW DICTIONARY
by John Bouvier, Revised Sixth Edition, 1856:
WAGES, contract. A compensation given to a hired person for his or her services.

KNOWLTON v. MOORE, 178 U.S. 41 (1900)

'indirect taxes are levied upon the happening of an event or an exchange.'

BROMLEY v. MCCAUGHN, 280 U.S. 124 (1929)

While taxes levied upon or collected from persons because of their general ownership of property may be taken to be direct, Pollock v. Farmers' Loan & Turst Co., 157 U.S. 429 , 15 S. Ct. 673; Id., 158 U.S. 601 , 15 S. Ct. 912, this court has consistently held, almost from the foundation of the government, that a tax imposed upon a particular use of property or the exercise of a single power over property incidental to ownership, is an excise which neet not be apportioned

Tyler v. U.S. 281 U.S. 497, 502 (1930)

An indirect tax is a tax laid upon the happening of an event,as distinguished from its tangible fruits.

I'll be glad to talk to you about it

Seeing you have no backing in law and the courts blow your sorry excuses down repeatedly, that would be a worthless exercise.

leaving emotion and investment in new taxing schemes aside.

LOL, you go ahead and place yourself on the legal jeopardy. I'm sure of Thurston Bell will be grateful for Larkin Rose's & your knowledge and aid to him.

Rose is not afilliated with either NITE or Taxgate.

Seeing that Larkin Rose was a contributor to Thurston's Bell's website and T.B. made extensive use of Larkin Rose' arguments your assertion doe little to sever the link between them. I notice that the NITE websight is displaying the court's injuction to cease his opertion I therefore lack the specific link to Rose's material as it used to exist there, since the court's injuction is only temporary for now, I'm sure we will see it all back up once Bell & N.I.T.E. win their case.

Bell was burned for charging for his advice and his counsel. That's it.

If they could have got him on his arguments, they would have they did,

They did, that is why the injuction was ordered and the case moves ahead.

One of the elements of aiding and abetting is to cause the filing of "false" returns, (e.g. based on false legal premise).

From the Department of Justice Criminal Tax Manual

26 USC 7206(2) makes it a felony to:

Willfully aid[] or assist[] in . . . the preparation or presentation under . . . the internal revenue laws . . . of a return . . . which is fraudulent or is false as to any material matter, whether or not such falsity or fraud is with the knowledge or consent of the person authorized or required to present such return . . . .

This statute is known as the Internal Revenue Code's aiding and abetting provision, and applies not only to tax return preparers but to anyone who causes a false return to be filed. United States v. Sassak, 881 F.2d 276, 277-78 (6th Cir. 1989); United States v. Hooks, 848 F.2d 785, 789 (7th Cir. 1988); United States v. Williams, 644 F.2d 696, 701 (8th Cir.), cert. denied, 454 U.S. 841 (1981).

[skipping some]
For example, in United States v. Causey, 835 F.2d 1289, 1292 (9th Cir. 1987), the Ninth Circuit upheld the conviction of the defendant for causing 18 individuals to file false tax returns claiming refunds, in violation of 18 U.S.C. §§ 287 and 2. The defendant argued that the government failed to establish that the persons actually submitting the false claims knew they were false. The Ninth Circuit distinguished the two subsections of 18 U.S.C. § 2 and found that under subsection 2(b) a person "may be guilty of causing a false claim to be presented to the United States even though he or she uses an innocent intermediary to actually pass on the claim to the United States." 835 F.2d at 1292.
The court then held that in a section 2 prosecution for violation of section 287, the government does not need to allege or prove that the person actually submitting the claims knew them to be false. Id.

Tax protestors who cause third parties to prepare and file false returns may be charged under 26 U.S.C. § 7206(2). See United States v. Holecek, 739 F.2d 331 (8th Cir. 1984), cert. denied, 469 U.S. 1218 (1985) (return preparation); United States v. Kellogg, 955 F.2d 1244, 1249 (9th Cir. 1992) (defendant assisted in preparation of returns filed by others); United States v. Condo, 741 F.2d 238, 240 (9th Cir. 1984), cert. denied, 469 U.S. 1164 (1985) (preparation and mailing of false Forms W-4); United States v. Erickson, 676 F.2d 408 (10th Cir.), cert. denied, 459 U.S. 853 (1982).
Providing advice and material to taxpayers, who in turn file false returns, is sufficient to sustain a section 7206(2) conviction. See United States v. Kelley, 769 F.2d 215 (4th Cir. 1985). In Kelley, the defendant argued that he could not be lawfully convicted of violating section 7206(2) because "he . . . did not actually participate in the preparation of any of the forms [Forms W-4] but only gave advice that his listeners were free to accept or reject." Kelley, 769 F.2d at 217. Rejecting this argument, the court said:

The contention ignores reality, for he did participate in the preparation of the forms. He told the listeners what to do and how to prepare the forms. He did so with the intention that his advice be accepted, and the fact that the members paid him for the advice and promised assistance warranted an inference of an expectation that the advice would be followed. Moreover, he actually supplied forms and materials to be filed with W-4 forms. He did not take his pen in his hand to complete the forms, but his participation in their preparation was as real as if he had.

Again, a judge just says the argument is wrong without an analytical opinion.

No requirement to do so at the district court level as such opinions have already been rendered by the apellate courts, However Bell has every right to appeal what he considers an insufficient ruling. At which time I am sure the judges will more than accomodate him along with a few extra fines for frivolous argument.

Aren't you even the least suspicious when someone says "That's wrong" but declines to discuss it?

No, when the arguments have been around ad nauseum since the beginning of taxation in this country and repeatedly shown to be nothing but hot air and vapors no more discussion is required. The meaning of "frivolous" is the issue has been decided, due diligence on your part would provide more than ample warning to bring it up again in a court of law.

The Tax Protestor FAQ

Judges are no different. They know the axe that hangs over their heads.

Which axe is that? They get paid regardless of whether or not the income tax exists by Constitutional mandate under Article III. If they rule to void the income tax they themselves would no longer be subject to it. Some axe.

If that were true, your protestation that taxes do not apply to you is nonsence. For those judges will be certain to make the tax law apply to you;
Alternatively the law does apply to you and is constitutional and the judges will make certain the tax law applies to you.

Notice, in both evaluations exactly the same result will be obtained from the Courts.

Furthermore:

1) Federal judges are appointed for life, and good behaviour. The pay cannot be taken away from them.
2) Federal judges have ruled their pay is subject to income tax, though at any time they could rule otherwise if they so desired and believed otherwise.
3) It would be in the personal and financial interest for the courts to rule that the income tax is unconstitutional and illegal. In so doing the law would be void, the IRS which is authorised under that law would ceased to exist or have power over the people or the courts.
4) Judges are ruling against there own personal interest in support the income tax against you in the courtroom. For if it did not apply to you, it cannot apply to them.

Something is lacking in your analysis and it is called reason and credibility. It does not pass the test of Occum's razor, nor the laugh test.