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IRS vs. KUGLIN (IRS Loses in Memphis: Is Income Tax History?)
Sierra Times ^ | August 10, 2003 | Carl Worden

Posted on 08/11/2003 7:12:43 AM PDT by 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


TOPICS: Business/Economy; Constitution/Conservatism; Culture/Society; Government; News/Current Events
KEYWORDS: constitutionparty; incometax; irs
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To: StolarStorm
I'm a big fan of the military myself, if you look at how much the military gets compare to what we send overseas and use to support the illegals etc. you'd find that there's a lot of room for us to get OUR money back and still keep the military in good shape.

The truth is that this might start a flat tax revolution.
41 posted on 08/11/2003 7:49:37 AM PDT by Bikers4Bush
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To: taxcontrol
Point taken. Perhaps I meant precedent in that there is now a way, though not an actual legal precedent, to follow to tell the IRS to bugger off.
42 posted on 08/11/2003 7:51:33 AM PDT by mattdono
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To: StolarStorm
Good luck living in the relative freedom that we have here if everyone decides not to pay their income taxes. The chinese would love to show us their brand of 'freedom' after they roll through our non-existant military

Again this shows you do not understand freedom. If american citizens can be forced to obey what the government demands which can not be legally proven to be binding upon them, then in fact we have the Chinese system here already.

The constitution originally provided for a method of taxation that would fund the existence of a military. It is the 'income tax' on american citizens that is in question here.

43 posted on 08/11/2003 7:52:24 AM PDT by asformeandformyhouse
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To: ninenot
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.

The author assumes the lady was acquitted because she was not convicted. Wrong, there could very well be a hung jury here. The court docs on the PACER site have not been posted yet.

44 posted on 08/11/2003 7:52:32 AM PDT by RGSpincich
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To: ninenot
I heard it this morning on that awful Doug Steffen (sp) radio program
45 posted on 08/11/2003 7:53:08 AM PDT by mel
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To: Bikers4Bush
The truth is that this might start a flat tax revolution

The Flat Tax or a Nat'l Sales Tax would beat our current system and lower, if not eliminate, the need for the IRS.

A sales tax would be good because it would bring illegal aliens into the system. Of course its downside is that it would turn all merchants into Federal Tax Collectors.

46 posted on 08/11/2003 7:53:14 AM PDT by Extremist
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To: Extremist
Agreed, although I don't like the idea of every merchant becoming an agent of the government either.
47 posted on 08/11/2003 7:54:38 AM PDT by Bikers4Bush
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To: StolarStorm
One thing though, I'm a fan of the US military. If a tax rebellion occured we'd have to kiss our defense goodbye. This is all well and good on a theoretical standpoint, but scary as hell in reality.... unless you are looking forward to anarchy.

We had a military that defeated the England twice, Spain, Mexico, and won a civil war without an income tax.* The chief purpose of the income tax is funding the welfare state. The legitimate functions of government don't need an income tax.

This case will likely not change anything, but even if it did the issue deserves serious discussion, not the sort of hysterics the democratic party uses for every issue.

*Income taxes were passed at times, but never made it throught the courts.

48 posted on 08/11/2003 7:54:51 AM PDT by hopespringseternal
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To: StolarStorm
Hope she doesn't drive on the roads that she didn't help to pay for. Pure lunacy.

Actually the lunacy is when people are led to believe income taxes not gasoline taxes paid at the pump pay for roads...

49 posted on 08/11/2003 7:56:39 AM PDT by lewislynn
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To: StolarStorm
"Guess this 'lady' thinks she is better than the rest of us... who have to pay her share. Hope she doesn't drive on the roads that she didn't help to pay for. Pure lunacy."

What is "pure lunacy" is that June 2 is tax freedom day.


50 posted on 08/11/2003 7:56:54 AM PDT by Manic_Episode (Improvise. Adapt. Overcome.)
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To: ninenot
Oops disregard previous post.
51 posted on 08/11/2003 7:57:04 AM PDT by RGSpincich
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To: ninenot
bump
52 posted on 08/11/2003 7:57:48 AM PDT by VOA
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To: Bikers4Bush
Good point. A flat tax or sales tax... with some additional tariffs thrown in would work better than horrible system we have now. My issue was with some of these posts here that appeared to be from people that didn't seem to think that they should pay ANY taxes. Freeloaders. Sadly, the income tax is the system we have now regardless, and this pilot is a freeloader.
53 posted on 08/11/2003 7:57:49 AM PDT by StolarStorm
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To: StolarStorm
re:Hope she doesn't drive on the roads that she didn't help to pay for
 
So they dont tax the hell out of gas & charge a ridiculous yearly "licensing fee" for personal vehicles to pay for roads in Tennessee like they do everywhere else?
54 posted on 08/11/2003 7:59:16 AM PDT by tomakaze
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To: lewislynn
I already admitted I was wrong. Damn. Talk about beating something to death.
55 posted on 08/11/2003 7:59:53 AM PDT by StolarStorm
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To: ninenot
I wonder if the 12 jurors banded together to tell these legal paycheck-portion confiscators to stick the IRS tax code where the sun don't shine...
56 posted on 08/11/2003 8:00:59 AM PDT by grumple
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To: StolarStorm
Tehcnically she's a victim. The federal government has been robbing her (and the rest of us) for years.

If the code doesn't exist then she also has a case for malicious prosecution I would guess.

If the government expects us to obey the laws then it has to live and die by that same sword.
57 posted on 08/11/2003 8:02:44 AM PDT by Bikers4Bush
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To: taxcontrol
Beyond written law, Case law is used as the basis in which charges are pursued or tossed.
58 posted on 08/11/2003 8:04:02 AM PDT by drypowder
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To: StolarStorm
Guess this 'lady' thinks she is better than the rest of us... who have to pay her share.

Apparently, you're paying your "share" voluntarily.

Good for you!

59 posted on 08/11/2003 8:04:09 AM PDT by Trailerpark Badass
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To: wjcsux
I agree.
60 posted on 08/11/2003 8:05:15 AM PDT by Tauzero (This was not the sand-people, this was the work of Imperial Storm Troopers: only they are so precise)
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