Posted on 06/26/2023 12:50:02 PM PDT by CFW
The Supreme Court announced Monday it would take up a case considering whether Congress can tax income before it is received.
The case, Charles G. Moore et ux. v. United States, stems from a Washington state couple’s 2019 lawsuit against the government for a nearly $15,000 tax bill imposed on their small investment in an overseas company, from which they never earned a profit. It considers whether taxes on unrealized gains are legal under the 16th Amendment, which enables Congress to tax incomes “without apportionment among the several States.”
Hank Adler, Burra Executive Professor of Accounting at Chapman University, previously told the Daily Caller News Foundation the Moores’ case is “the most important tax case in almost 100 years.”
(Excerpt) Read more at dailycaller.com ...
So they’re not only borrowing money To spend the also collecting future taxes; all signs of country on the verge of collapse
The case, Charles G. Moore et ux. v. United States, stems from a Washington state couple’s 2019 lawsuit against the government for a nearly $15,000 tax bill imposed on their small investment in an overseas company, from which they never earned a profit. It considers whether taxes on unrealized gains are legal under the 16th Amendment...
They already do a form of that to waiters, for example. Imputed income.
I remember the tale of artist Ettore (Ted) DeGrazia.
https://en.wikipedia.org/wiki/Ettore_DeGrazia
He was a very prolific artist, and his minimalist art became a hit and because of its simplicity is widely copied.
In 1976, DeGrazia engaged in a protest against the Federal Inheritance Tax. The artist claimed the U.S. Internal Revenue Service rulings made him “a millionaire on paper, but my heirs will have to pay taxes for which there is no money.” In his well-publicized protest, DeGrazia rode horseback into the Superstition Mountains and burned about 100 of his paintings, an estimated worth of 1.5 million dollars at the time. The IRS agents at the time said they didn’t care, and demanded the mo-neee for the *retail* value of the paintings he had destroyed.
“The only way for DeGrazia to avoid this huge government taxation was for him to make his Gallery In the Sun a non-profit foundation. In this way he was able to keep his collection intact and also his fortune.”
isn’t Roth available only to certain incomes?
"You may have seen pictures of the Pine Tree Flag flown by American warships during the Revolution. Why would the colonists put a pine tree on their battle flag?
The government had enacted a regulation saying no colonist could cut down tall, straight trees; these trees were to be reserved for masts on Navy ships. This meant the best, most valuable trees on a person's land had, in effect, been confiscated by the government.
When a government tree inspector would come through the forest to select and mark the best trees, colonists would follow him. These inspectors were highly trained experts, good at identifying the best trees for Navy ships—the Navy ships that were constantly pursuing smuggling ships.
When the government's lumberjacks then came through the forest to collect the marked trees, they would find the trees had already been cut and sold—for use on the smuggling ships.
One of these ships was The Liberty, owned by John Hancock. Hancock was a successful wine merchant known throughout the colonies as "The Prince of Smugglers." His reputation eventually earned him the honor of being the first to sign the Declaration of Independence."
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"It would be a hard government that should tax its people one-tenth part of their income." - Benjamin Franklin
"If taxes are laid upon us without our having a legal representation where they are laid, we are reduced from the character of free subjects to the state of tributary slaves." - Samuel Adams
"The power to tax is the power to destroy." - Samuel Adams
"If, from the more wretched parts of the old world, we look at those which are in an advanced stage of improvement, we still find the greedy hand of government thrusting itself into every corner and crevice of industry, and grasping the spoil of the multitude. Invention is continually exercised, to furnish new pretenses for revenues and taxation. It watches prosperity as its prey and permits none to escape without tribute." - Thomas Paine
"What at first was plunder assumed the softer name of revenue." - Thomas Paine
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Article 1, Section 8 of the Constitution: "The Congress shall have Power To lay and collect Taxes, Duties, Imposts and Excises, to pay the Debts and provide for the common Defence and general Welfare of the United States; but all Duties, Imposts and Excises shall be uniform throughout the United States..."
Taxes were imposed not on Congress' constituents, but on specific "goods, wares, and merchandise, imported into the United States", and not by internal taxation. Internal taxes were frowned upon by the Founders, especially when a national revenue could be had by requiring foreigners to pay for the privilege of doing business on American soil.
There was no income tax until the Civil War and then when the debts were paid off in 1872, the income tax was repealed. They didn't reappear until the Interstate Commerce Act, with Congress enacting a 2% tax on income exceeding $4,000. In 1894, the Supreme Court voted five to four declaring the bill unconstitutional – it was a direct tax that was not apportioned by the population. The Sixteenth Amendment was ratified and passed in 1913 to create the income tax in violation of the Constitution. It's unconstitutional because it is not "uniform throughout the United States". Some pay more than others and some pay none at all.
Washington state government - completely independent of this federal case - is trying to tax capital gains above a certain amount.
The Washington state Constitution explicitly forbids taxes on income, so the Washington state Supreme Court recently ruled that capital gains are NOT income.
Washington state also wants to tax unrealized capital gains on shares of start up stock owned by entrepreneurs.
In other words - tax the profit on stocks that have not even been sold!
This would force many, perhaps most, business investors to sell their IPO shares just to pay tax on gains they never received!
It’s called “communism.”
Biden has proposed doing just this.
WTF! Unrealized gains are not a profit.
Then people ought to be able to deduct losses they haven’t realized yet as well.
I plan on having a loss of 1 million shortly, once a year.
“Sorry, I forsee losing it and more shortly.”
OMG!
Can we claim unrealized losses?
Oh wait, I am not a biden.
Flat tax fixes most everything....tariffs per se. Massive reduction in IRS agents. no tax brackets. No paycheck tax deductions. Equal across the board taxes regardless of wealth...based on spending. Everyone is equal. No special treatment for anyone. The cash register will determine tax.
You buy it, you get taxed on it. No money laundering. No hiding of money. If you spend it, you get taxed on it.
When there are infinite tax regulations, many will abuse them.... that was by design by Your corrupt Congress. ....power and control. It's not hard to figure out.
If EVERYBODY put a $1m tax loss on their returns, the Fedzilla would be bankrupt in minutes.
Be careful what you wish for socialists.
Not as far as I know.
In theory perhaps.
In practice, only three are capable.
Hmmm...
This could be as important as their baby-murder decision...
What’s next?
Buy a lottery ticket... Get taxed on the unrealized gain...
Take my wife to the casino... Get taxed on unrealized gain...
Tyranny has no limits...
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