IRS vs. KUGLIN (IRS Loses in Memphis: Is Income Tax History?)

Sierra Times ^ | August 10, 2003 | Carl Worden

[ninenot]

Forget the war in Iraq, Afghanistan and our excellent adventure in Liberia. Forget about Kobe, Arnold, Arriana, Scott and Laci. The biggest news of the entire week is that on August 8, 2003, the IRS was unable to convince a jury in Memphis, Tennessee that the Federal Tax Code requires the citizens to pay individual income taxes. I kid you not.

I watched as many Sunday news programs as I could possibly stand, and I didn't hear a single mention of the IRS' debacle in Memphis. If you ever had doubts about the mainstream media being controlled by the federal government, doubt no more.

For those not already aware, FedEx Pilot Vernice Kuglin began studying the IRS Code some years ago, and was simply unable to find anywhere in the code that she was required to pay federal income taxes.

And here's the most remarkable part: Back in 1995, Kuglin wrote letters in good faith to the IRS, asking them to show her where the Tax Code requires individual citizens to pay federal income taxes. Incredibly, the IRS never answered a single one of her letters!

As she studied the facts, laws and related documents more, Kuglin became convinced that, regardless of the IRS' failure to respond one way or the other, she was exempt from paying federal income taxes. So, Kuglin filled out W-4 forms showing 99 exemptions, and turned them in to her employer. Doing that meant Kuglin got to take home almost all of her paycheck each payday, instead of what was left after the feds ravaged it.

The IRS went after Kuglin for six counts of tax evasion on $920,000.00 income, and for filing "false" W-4 forms, charges that could have put the 58 year-old Kuglin in federal prison for up to 30 years and cost her 1.5 million in fines.

Apparently, things didn't go quite the slam-dunk way federal prosecutor Joe Murphy thought they would. My money says the IRS wishes they had never gone after Kuglin at all. In fact, after the jury returned not guilty verdicts on all counts, Murphy is reported to have demanded that the judge order Kuglin to file her forms, pay her taxes and "obey the law". The judge reportedly replied, "Sir, I don't work for the IRS."

Now pinch yourself and review this astonishing turn of events: A highly trained and educated federal prosecutor in Memphis was unable to convince 12 American citizens that Vernice Kuglin was required to pay federal income taxes. He was clearly unable to produce a single section of the Tax Code to that end, and the jury was unanimous in clearing Kuglin of all charges against her. If the foregoing was not so, Kuglin would have been convicted.

Jurors tend not to be very sympathetic with tax scofflaws, since each one of them is also a taxpayer and they understandably feel resentment towards anyone not paying "their fair share". So in order for this federal jury to completely vindicate Kuglin, the government's failure to prove their case against her had to have been clear and unequivocal!

I haven't read the trial transcript yet, but I must assume the federal prosecutor at least tried to twist some vague and ambiguous section of the Tax Code to make it look like it applied to Kuglin. I don't know that, but I'll bet he tried. What else could he use to prosecute her with?

Thanks to the IRS' arrogance and stupidity, and Kuglin's refusal to plead to lesser charges, Kuglin accomplished what Bob Schultz and the other "tax protesters" had been denied all along: To force the IRS into a public debate and to answer the question of whether or not the Tax Code requires an individual to pay personal income taxes. Kuglin and her two attorneys, Larry Becraft and Robert Bernhoft, have unequivocally forced the IRS to show its hand, and 12 judges hearing that debate ruled the answer to be "NO".

I think it's time for everyone reading this to send a very polite letter to the IRS, telling them they read about the case in Memphis, and is it true that there is no section in the U.S. Tax Code that requires an individual citizen to pay federal income taxes?

Don't be threatening in any way, or announce that you plan to stop paying federal income taxes. This request is for your personal edification, and you just simply want to know the truth.

Like Kuglin, you probably won't get an answer back, but just to prove you sent the letter and that they received it, be certain to send the letter via certified U.S. Mail, with a return receipt requested. When you get that receipt back, staple it to a copy of the letter you sent the IRS, and put it somewhere real secure, like a personal safe or bank deposit box.

I don't have to explain why, now do I?

Now, how many calls to FOX' Bill O'Reilly will it take to convince him we know he's doing a spin in the No-Spin Zone by sitting on this story? Start e-mailing O'Reilly at oreilly@foxnews.com, and be sure to give him your city and state. He's gonna love me.

Carl F. Worden

[A2J]

I believe we all should pay SOME taxes. I am sick and tired of paying for deadbeats, illegals, and the U.N., among other things.

But the less in taxes we pay means the less goes for "deadbeats, illegals, and the U.N."

One sure way of drying up the honey hole is to stop putting honey into it.

[dave66]

The internet has finally leveled the playing field and for all those who have studied diligently the irs code book and the associated regulations, like Ms. Kuglin and her attorneys undoubtedly have, they have uncovered the truth.

Ms. Kuglin's case shows the collecting of "income taxes" from most Americans is the fraud of all frauds!!!!


If you like, try www.theft-by-deception.com if you want a truthful, clear, easy-to-follow, legal and colorful video presentation of how irs crooked lawyers have twisted the law and hidden the truth of the matter. And I've got nothing to to gain at all by recommending this other than a bunch more citizens can gain some important insight into this issue.

Actually, the irs "income tax" code book and associated regulations as written are completely VALID and CONSTITUTIONAL!

So you might be saying, "what's your beef here then?"

Forget all the tax protester theories you may have heard about "wages are not income", the 16th Amendment wasn't ratified correctly, issues about being a member of a "sovereign state", that stuff's WAY off the mark!

(read on if you want the big secret revealed!)

IMO, the "system" has grown to become as corrupt as a clinton $3 bill! And that's a "his" or "her" $3 bill!!

In order to fool everyone, including most irs employees, the "system" devised a jungle of legalese that hides the truth. The "income tax" law still shows us the truth (with careful study), the irs and treas dept. talking heads, and many in the fed govt, including your and my representatives, have allowed the "system" to cheat us citizens, fine us citizens, send us to jail, punishes us citizens for crimes we unknowingly didn't commit!!

The irs commissioner and past commissioners should be jailed for grossly misrepresenting and misapplying the irs code which is the law!!

The simple truth of the existing irs codes has finally been uncovered and it CLEARLY and UNDOUBTEDLY shows that for U.S. citizens who live and work exclusively within the U.S., THERE AIN'T NO DAMN LAW OF ANY SORT that says we have to pay "income taxes".

HOWEVER, if you're a legal (or illegal) alien, have a job outside the U.S. (which includes U.S. territories), have a job where you earn part within the U.S. and part outside the U.S., you have to follow the irs codes, no doubt. That's how the code and it's associated regulations are written.

BUT, again, if you live and work exclusivley within the U.S., you have to do nothing as far as filing and paying.

The internet has finally leveled the playing field and for all those who have studied the law and the associated regulations diligently in the past really dozen years or so, those who believe this country need to start following the laws AS WRITTEN, and that starts with the irs itself.

It's the fraud of all frauds!!!!

I'm watching Hannity and Colmes and Greta tonight to see how they cover this milestone story.



p.s. don't ask your tax accountant or tax lawyer for the truth on this, as most simply don't know, and the very few that do may not tell you the whole story here. (Some HAVE been extremely helpful in shining the light on this national fraud, which also includes ex-irs agents). Most tax people have been making a fat living off of the ignorance of themselves and their clients!!

The theft-by-deception video would be a great "gift" for your tax adviser -- just don't trust his or her response unless they can show you the actual law about people who live and work exclusivley within the U.S.!!!!!!!!!!!!!!!!

[dave66]

you wrote:

"The real question is whether or not she has any tax liability. If the IRS can't show a law which proves that she has tax liability, then maybe she will win the final round. But I think that has been tried before, people saying that wages are not income, for example. But wages have been considered income all the way back to when the first income tax was collected, so there is alot of history and precedent here."

Read the case, bub, Ms. Kuglin didn't claim that wages are not income nor does a careful reading of the law say that "domestic income" of U.S. citizens is taxable. The law, not your untrue statement, has always said that.

The only history and precedent one can point to is the crooked irs regulation lawyers writing and, over many decades, renaming parts of the code so that the average citizen can't figure it out. On that, there's plenty of precedent and history.

Read and study www.861evidence.com if want to gain true understanding of the issue.

In essence, the law and associated regulations state that income is taxable IF AND ONLY IF you (1) live in a U.S. Possession (2) are a U.S. citizen but make your money OUTSIDE of the U.S. (3) your are a foreign alien working in the U.S. This is not a creative interpretation of the law, it is what the law has stated for over 80 years.


Treasury dept. lawyers have now moved Subchapter N, Section 861, thousands of pages away from where one would think it should be and they've renamed it "miscellaneous matters".

None of that is actually illegal, it's just grossly deceptive.

The income tax laws ARE valid and constitutional.

It is the gross misrepresentation and misapplication of the law by the feds and your elected officials that is the national fraud.