Posted on 01/13/2003 1:26:05 PM PST by heyhey
Edited on 04/13/2004 3:30:09 AM PDT by Jim Robinson. [history]
HARRISBURG, Pa. - A tax protester who allegedly promotes a bogus legal loophole to convince people they owe no taxes was ordered by a federal judge to stop the practice and turn over his clients' records.
The order came Friday in the government's effort to force Thurston Bell of Hanover to stop giving clients allegedly false tax advice and charging large fees for filing tax returns.
(Excerpt) Read more at bayarea.com ...
Where can I get information about becoming a licensed IRS tax preparer?
You do not have to be licensed or certified by the IRS in order to complete someone's income tax return for pay. You are, however, required to sign the return as a "Paid Preparer."
An income tax return preparer may be subject to a civil penalties for knowingly preparing tax return(s) or refund claim(s) which understate the tax liability or overstate the refund based on unrealistic information. They may also be barred from limited practice for unethical and improper conduct. While not required to examine or review documents or other evidence to independently verify the taxpayer's information, the preparer must make reasonable inquiries if it appears to be incorrect or incomplete, or to determine the existence of required facts and circumstances incident to a deduction. Refer to Reg. 1.6694-1(e)(1).
For additional information, refer to Publication 470, Limited Practice Without Enrollment, Publication 947, Practice Before the IRS and Power of Attorney, and Revenue Procedure 81-38. For information about becoming a Enrolled Agent or taking the Special Enrollment Examination, visit our Director of Practice Enrolled Agent Program page.
By the way, I think my mechanic's also risking arrest, I don't think he's a licensed oil-changer.
Judges have a personal vested interest in the income tax continuing to be a money well for the government. They have reason to believe that their continued salary payments depend on it.
Judge's compensation is guaranteed under the Constitution regardless of the form of tax this nation has. Tarriffs, general excises on goods, even fees may be used to compensate judges. Judges are first in line to get paid before anyone else under the constition.
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.
They're doing NOBODY any favors. They haven't removed one thin dime of tax liability from anyone's back.
Why do the regulations say that "Section 861 and following determine the sources of income for the purposes of the income tax?"
The question then becomes, what are "the income taxes imposed by the Code?" The 861 position asserts that the Code and regulations do not impose a tax on the income of most Americans.
Posting this code paragraph is a tautology. Of course anyone whose income is subject to tax imposed by the code is liable to pay that tax.
The regulations say it solely in connection with collecting the taxable income of nonresident aliens. That's the only place it appears--in documents SPECIFICALLY pertaining to that issue.
And that position is WRONG.
One more time: US residents do not use Section 861 or Subchapter N for determining their tax liability.
We use Subchapter B.
Posting this code paragraph is a tautology. Of course anyone whose income is subject to tax imposed by the code is liable to pay that tax.
And Subchapter B lays out what is and isn't taxable if you are a US resident.
If we had a flat tax or a consumption tax, then all tax payers would be equal.
Tax payers are never equal unless they pay a pure Capitation or head tax. Try and collect that from a person without the dollars to pay.
All other systems rely on some action or event that the taxpayer must engage in, and is taxed to the degree he engages in that action. Since different persons engage in taxable events to variable degrees no to person can ever be said to be equal in paying a tax. That is why the rule of uniformity for indirect taxes is geographic(i.e. the same law wherever you may be), but does and cannot require equality between individuals.
What ever happened to equal protection under the law?
Everyone is subject to the same federal law regardless of where they are in the United States.
You mind explaining how keeping one's fellow conservatives from committing fiscal and legal suicide is NOT helping the conservatives?
Someone who's lost his right to vote because he listened to an idiotic argument and got jail time is another vote not available.
Many of these "tax protestors" are actually working for the IRS to help boost their seizure statistics.
Why do the regulations say that "Section 861 and following determine the sources of income for the purposes of the income tax?
Can't you read?
Section 861 unambiguously tells you that if compensation for labor of services is earned within the United States that must be included in the calculation of gross income as income from a source within the United States. Only nonresident aliens under specific circumstances are excepted under the section.
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;EXCEPT that compensation for labor or services
performed in the United States shall not be deemed to be income
from sources within the United States if -(A) the labor or services are performed by a nonresident
alien individual temporarily present in the United States for a
period or periods not exceeding a total of 90 days during the
taxable year, ***
Furthermore, we know from the following:
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.
that United States Citizen are subject in a more absolute sense from section 1.
Seems we all lose.
The "Missing Thirteenth Amendment"
Twelve state ultimately ratified TONA, not enough to make it part of the Constitution under Article V on the he Constitution. Secretary of State John Quincy Adams, through President James Monroe, reported to Congress in 1818 that the following actions had transpired:
Ratification's:Rejections:
- Maryland- December 25, 1810
- Kentucky - January 31, 1811
- Ohio - January 31, 1811
- Delaware - February 2, 1811
- Pennsylvania - February 6, 1811
- New Jersey - February 13, 1811
- Vermont - October 24, 1811
- Tennessee - November 21, 1811
- Georgia - December 13, 1811
- North Carolina - December 23, 1811
- Massachusetts - February 27, 1812
- New Hampshire - December 10, 1812
No Reply:
- New York - March 12, a1812
- Connecticut - May 13, 1813
- Rhode Island - September 15, 1814
- South Carolina - December 21, 1814
- Virginia
Although Virginia did not reply to Adam's inquiry, its own legislative journal record that the state rejected TONA on February 14, 1811.
The question then becomes, what are "the income taxes imposed by the Code?" The 861 position asserts that the Code and regulations do not impose a tax on the income of most Americans.
Actually 861 says something quite different, it excepts nonredisent aliens under specific conditions, and does nothing to except compensation for labor or services which comprise the predominate portion of most Americans income.
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;
A LAW DICTIONARY
by John Bouvier, Revised Sixth Edition, 1856:
INCOME. The gain which proceeds from property, labor, or business; it is applied particularly to individuals;A LAW DICTIONARY
by John Bouvier, Revised Sixth Edition, 1856:
WAGES, contract. A compensation given to a hired person for his or her servicesA LAW DICTIONARY
by John Bouvier, Revised Sixth Edition, 1856:
GAIN. The word is used as synonymous with profits.A LAW DICTIONARY
by John Bouvier, Revised Sixth Edition, 1856:
PROFITS. In general, by this term is understood the benefit which a man derives from a thing. It is more particularly applied to such benefit as arises from his labor and skill;
Merriam-Webster's Collegiate® Dictionary © 2000
Main Entry: in·come
Pronunciation: 'in-"k&m also 'in-k&m or 'i[ng]-k&m
Function: noun
Date: 14th century
1 : a coming in : , <fluctuations in the nutrient income of a body of water>
2 : a gain or recurrent benefit usually measured in money that derives from capital or labor; also : the amount of such gain received in a period of time <has an income of $20,000 a year>
And section 1 makes it absolutely clear that the tax is imposed upon citizens of the United States:
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.
Hey, you don't like getting accurate information? Fine. I don't care if you file, don't file, pay, don't pay. It's up to you. If you end up in the slammer, you won't be a "water boy." They have another term. Go for it.
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