Relay-Version: version B 2.10 5/3/83; site utzoo.UUCP Posting-Version: version B 2.10.1 6/24/83; site decwrl.UUCP Path: utzoo!linus!decvax!decwrl!dec-rhea!dec-nanook!alpert From: alpert@nanook.DEC Newsgroups: net.taxes Subject: Things IRS won't tell you #1 Message-ID: <3958@decwrl.UUCP> Date: Thu, 18-Oct-84 21:06:53 EDT Article-I.D.: decwrl.3958 Posted: Thu Oct 18 21:06:53 1984 Date-Received: Fri, 19-Oct-84 06:49:16 EDT Sender: daemon@decwrl.UUCP Organization: DEC Engineering Network Lines: 173 *** Things the IRS won't tell you ******************************* #1 *** * Well, the response has been overwhelmingly in favor of posting * * this material! I have three of this series currently on the DEC * * E-Net and will be posting them (and future) notes at more-or-less * * regular intervals as time permits. * DISCLAIMER: To clarify my position: I DO NOT reccomend that anyone actually go out and do any of these things until and unless you have a THOROUGH grasp of the issues and risks involved. This series is meant as a starting point, to get people thinking and questioning some long-held assumtions about the federal income tax laws. I have been investigating along these lines for the last couple of years and am just now starting to apply some of this knowledge. THE IRS GETS AWAY WITH ILLEGALLY PROSECUTING PEOPLE PRIMARILY BECAUSE TAXPAYERS DO NOT KNOW THE PROPER DEFENSES TO USE! (The only exception to this caution is the material in #3 of the series, which deals with IRS audits. But I'm getting ahead of myself...) >>>>>>> FLAME ON! <<<<<< With winter fast approaching, many of us are contemplating the odious task preparing our required federal tax returns. But wait a minute... How many people have actually LOOKED at the IRS code to see just what the requirements are? Not very many! Believe it or not... There is NOWHERE in the IRS code where: * Filing of "income" tax returns is made "mandatory" or "required" * A crime is made of or penalties spelled out for "failure to file" What we do find when we examine the law is a real eye-opener. For example, take section 6201 (a)... AUTHORITY OF THE SECRETARY. The Secretary [of the Treasury] is authorized and REQUIRED to make the inquiries, determinations, and ASSESSMENTS of ALL TAXES ... imposed by this title, or accruing under any former internal revenue law, which have not been paid by stamp at the time and in the manner provided by law. Such authority shall extend to and include the following: (1) TAXES SHOWN ON RETURN. The Secretary SHALL ASSESS all taxes determined by the taxpayer OR BY THE SECRETARY as to which returns or lists are made under this title. You read it right. The U.S. government (specifically, the Secretary of the Treasury) is REQUIRED BY LAW to assess citizens' tax liability. Note that the way the law is worded, it makes it appear that the Secretary is required to do so only if the taxes have not been paid "in the manner provided by law". However, the law provides NO requirement that any person assess themselves for "income" taxes! If you don't believe it, try to get your friendly local IRS agent to show you the laws which * use the language "mandatory" or "required" in reference to filing tax returns. * specify precisely WHO is required to file such a return * the exact statute which makes it "mandatory" or "required" for anyone to assess themselves, rather than having the Secretary make the assessment persuant to sections 6201 and 6203 of the IRS code. * the law which makes it a SPECIFIC crime not to file a tax return, and states what type of crime it is and the SPECIFIC penalties. I have a complete copy of the IRS code and have not been able to find these items, nor have others who have attempted to find them. I have been attempting to get these questions answered by the IRS for the nearly a year now and they refuse to answer. Further, the law REQUIRES that upon request of the taxpayer, the government will provide a copy of the assessment. According to section 6203... The assessment shall be made by recording the liability of the taxpayer in the Office of the Secretary in accordance with rules and regulations prescribed by the Secretary. UPON REQUEST OF THE TAXPAYER, the Secretary shall furnish the taxpayer a copy of the record of the assessment. Section 6303... Where it is not otherwise provided by this title [and it is not!], THE SECRETARY shall, as soon as practicable, and WITHIN 60 DAYS, AFTER THE MAKING OF AN ASSESSMENT of a tax persuant to section 6203, GIVE NOTICE TO EACH PERSON LIABLE FOR THE UNPAID TAX, stating the amount and demanding payment thereof... Why are the laws structured this way? Why do they skirt the issue of REQUIRING citizens to file "returns"? The answer is simple -- to avoid conflict with the U.S. Constitution. The Constitution clearly states that no one can be compelled to be a witness against themselves... and even the Supreme Court agrees that... "The information revealed in the preparation and filing of an income tax return is, for Fifth Amendment analysis, the testimony of a `witness' as that term is used herein." -- Garner vs. United States (1976) How do they do it? How are millions of people convinced that they are REQUIRED to do something that the law does not make mandatory? Describing in detail the depths of deception that the IRS uses in its laws is beyond the scope of this note. However, one of their favorite tricks is... Usage of the word "shall" in laws that purport to make tax "returns" mandatory. For example, section 6012 of the IRS code states that "Returns...SHALL be made by the following..." and then describes those persons who "shall" file a return. Numerous court decisions have ruled that in laws which potentially conflict with the Constitution, the word "shall" is to be interpreted as "may", devoid of any compulsory meaning. For example: "If necessary, to avoid unconstitutionality of a statute, `shall' will be deemed equivalent to `may'." -- Gow vs. Consolodated Coppermines Corp., 165 Atl. 136 The Supreme Court ruled: "As against the government, the word `shall' when used in statutes is to be construed as `may', unless a contrary intention is manifest." -- Cairo and Fulton RR Co. vs. Hecht, 95 US 170 As a final point, it is very instructive to take a look at Index to the Internal Revenue Code (I have a copy in front of me). You will find therein references to the sections of the Code which provide penalties for not complying with various taxes: * ALCOHOL TAXES: -liability for occupational taxes -penalties, seizures and forfeitures * FIREARMS: -failure to file return or pay tax -penalties and forfeitures * GIFT TAXES: -failure to file return -failure to pay -liability -liens for taxes * TOBACCO TAXES -failure to file return or pay tax Guess what kinds of entries are curiously missing under the heading of INCOME taxes? What does that tell you?? There is much, much more, but you get the idea. The principle of the Big Lie lives on! >>>>>> FLAME OFF! <<<<<< ******* Next time: withholding and W-4 forms ******* Bob Alpert ...decwrl!rhea!nanook!alpert NOTE: the information in this note has been compiled mainly from various publications of the Tax Reform movement, particularly the works of Irwin Schiff.