textfiles/law/howtobeattheirs.txt

222 lines
11 KiB
Plaintext

Tax resistance primer - How to beat the IRS...
Copyright ©1998 Lee Adams. All rights reserved. NOTE - Spy & CounterSpy does not
endorse, condone, or encourage any illegal act. The material in this article is
presented for information, research, entertainment, and education purposes only.
The words "you" and "your" are used in this article for ease of readability
only.
You probably don't realize that big government sticks its hand in your pocket
and takes half of everything it finds there. Every time money change hands,
government bureaucrats skim their cut off the top.
A growing doubt. Across America, more and more citizens are losing confidence
in their government. Common, decent folk are losing faith - they look around
them and see unresponsive elected officials, national ID cards, gun
registration, militarized police, property confiscation, rampant surveillance, a
cashless society, a tethered news media. They remember Vickie Weaver. They
remember Waco.
Decent Americans are beginning to see the effects of no-knock warrants, coerced
informants, illegal arrests, rigged trials.
At the international level, more and more Americans are troubled by a foreign
policy indistinguishable from terrorism - and a disgraced (but still arrogant)
national leadership.
The list goes on and on.
These hard-working, decent Americans no longer believe their government
represents them. These citizens no longer accept that the government has any
moral right to take their hard-earned money.
These patriotic, otherwise law-abiding citizens are rallying to the same cry
that stirred the heroes and heroines of the American Revolution - no taxation
without representation.
How the world really works. Stop for a moment and consider this scenario. If
you earn a hundred dollars the government grabs 35% as income tax. That leaves
you with $65.00 in your pocket. If you wanted to buy $100.00 worth of groceries
you'd actually need to earn $155.00 just to have $100.00 left in your pocket.
But it doesn't stop there. When you go to pay for your $100.00 groceries, the
seller tacks on the sales tax. Between state tax, county tax, local tax, hidden
manufacturing taxes, licensing fees, permits, excise, duty, etc. etc. etc. in
many cases the sales tax exceeds 15%. So now you're paying $115.00 for $100.00
worth of groceries. To get that $115.00 you need to earn $180.00.
NOTE - In all fairness, we're playing loose and fast with figures here in order
to get our point across. Other taxes, rebates, exemptions, licensing fees,
permits, and surcharges apply, but they only serve to complicate the issue -
these factors don't alter the fundamentals of the racket being foisted on us by
the gangsters... err, we mean the government.
What you'll learn here...
This article teaches you a method of tax resistance that allows both parties in
a transaction to keep every dollar they earn.
This system is already being successfully used in the USA by individuals and
small businesses. The IRS doesn't want you to know about this method because
they don't know how to stop it. Simply stated, this article shows you how to
beat the IRS.
IMPORTANT NOTE - Spy & CounterSpy does not condone any illegal act. Tax evasion
is a crime. Don't do it. You shouldn't let your judgment be clouded by the fact
that IRS "inspection agents" routinely carry concealed handguns in direct
violation of federal and state law. Just because the IRS routinely breaks the
law doesn't mean you should too. Remember, the material in this article is
presented for information, research, entertainment, and education purposes only.
Lesson 1: How to guarantee you'll continue to be fleeced by the government...
Let's consider a simple deal in which I agree to buy an item from you for
$100.00.
Sales tax. You must collect the sales tax from me. Let's assume it's 15%
(federal, state, county, and local all added together). That means I actually
pay $115.00 (not $100.00) for the $100.00 item I've agreed to buy from you.
Government gets the $15.00. As the buyer, I pay the sales tax under threat of
imprisonment.
Forced labor. You as the seller, meanwhile, are forced to do the government's
paperwork - you must calculate the tax, collect it from me, and remit it to the
government. You as the seller do all this work for free, again under threat of
imprisonment.
Income tax. You, as the seller, receive $100.00 for the item. Let's assume your
wholesale cost is $50.00. That means your real earnings are $50.00 (for your
labor, etc.). Let's assume an income tax rate of 30% (it's often higher). When
you fill out your income tax form next spring you're going to find that you must
pay the government $15.00 on the $50.00 you earned. So you as the seller really
make only $35.00 on a $100.00 transaction. As the seller, you pay your income
tax under threat of imprisonment.
The bottom line. In the simple example given here, the government skimmed
$30.00 off a $100.00 transaction. They took $15.00 from me, the buyer. They took
another $15.00 from you, the seller.
In actual practise, however, the government takes a lot more than this. We
haven't considered the wholesaler or the manufacturer, who will each be paying
30% income tax on their revenue too. Nor have we considered that the buyer needs
to earn $155.00 in order to have $100.00 in his/her pocket. If all parties are
considered, the government skims more than 50% off each and every transaction
every day in America. All under threat of imprisonment, of course.
Four hundred years ago we had a name for people who did things like this. We
called them robber barons.
NOTE - Government bureaucrats need an efficient money-raising system like this
if they're going to keep buying $600.00 hammers and $400.00 screwdrivers for
their departments. If you ever need a good laugh, consider looking through the
auditors' reports on how these idiots waste our tax dollars. They often spend
money just for the sake of spending it - in order to ensure their department
gets a bigger budget next fiscal year. It's insanity, but that's
business-as-usual for the government.
Lesson 2: How to pretend you're not being fleeced by the government...
Let's assume you agree to have some electrical work done in your office for
$100.00.
Suppose the electrician is a tax resister. He might wink at you and say, "If
you'll pay me cash, I won't charge you any sales tax."
(No nasty email please. We've got nothing against electricians, most of whom are
good people.)
You, being somewhat of a rube at the tax resister game, agree to this
conspiracy. After all, you figure you're saving the 15% sales tax. And you don't
need a receipt.
Unfortunately, however, things aren't that simple. One of you is still getting
fleeced.
The buyer's dilemma. If you're in business, you can't claim what you spent as
an expense - because you didn't get a receipt. So you're still stuck in the
position of needing to earn $155.00 in order to be able to spend $100.00. Of
course, these calculations are hidden and the stark reality doesn't really
confront you until next spring when you're filling out your income tax forms.
The seller's situation. The electrician did okay. Because he issued no receipt
to you, there is no record of the cash transaction. So he might be tempted not
to declare the money as revenue. In that case the seller pays no income tax. So
he gets to keep the full $50.00 he earned ($100 minus his wholesales costs of
$50.00).
The seller is a happy camper. But once you figure out what's happened to you,
you're unlikely to fall for the no-sales-tax ploy a second time. That's because
the seller is beating the IRS, but it's at the buyer's expense. In other words,
he beat the IRS but you didn't.
You're probably asking yourself, "Gee, there must be a better way, where both
buyer and seller come out ahead of the IRS."
And there is.
Lesson 3: How to beat the tax man...
The key to a successful, audit-proof, tax resistance strategy is the receipt.
Pay attention. Here's how tax resisters across America beat the IRS every day.
The seller winks and says, "If you'll pay me in cash, Mr. Buyer, I won't charge
you the sales tax."
The buyer replies, "Sure, I'd be glad to, but I'll still need a receipt for
income tax purposes."
"Of course," says the seller, who proceeds to make out a receipt for the buyer
under the name of a non-existent firm.
Both parties win. Here's why...
The buyer is happy. The buyer saves 15% off the top. He doesn't pay any sales
tax on the transaction. Plus, he gets to claim his purchase as a legitimate
expense because he's got a receipt to staple to his tax form next spring. So he
only needs to earn $100.00 in order to be able to spend $100.00.
The seller is happy. The seller saves 30% income tax on his earnings. It's a
cash transaction so there's no record of the sale. So he doesn't declare the
income. The preprinted receipt he gave the buyer is under the name of a
non-existent company that cannot be traced to the seller.
Criminal conspiracy. Let's be frank. What we're describing in this article is
criminal conspiracy and collusion. The IRS has found that, if both parties keep
quiet about what they've done, this method of tax resistance is audit-proof,
provided that the method isn't flagrantly overused.
SECURITY NOTICE - The "inspection agents" of the IRS will, however, open your
mail, bug your home or office, and put you under surveillance in their attempts
to get you. Whistleblowers at the IRS have told Spy & CounterSpy that these
goons carry guns - in direct violation of federal and state law, of course.
Thousands of transactions are conducted across America every day using this
method of tax resistance. Yes, it's illegal. Yes, it's criminal fraud. Yes, it's
tax evasion. Don't do it. Simply put, it would be unlawful for Spy &
CounterSpy to encourage you to join the thousands of Americans who already
practise tax resistance because they have lost faith in their government.
Summary. The receipt is what makes this method of tax resistance successful.
The IRS doesn't want you to know about it because they don't know how to stop
it.
NOTE - Spy & CounterSpy does not endorse, condone, or encourage any illegal act.
Tax evasion is a criminal offense. Don't do it. The material in this article is
presented for information, research, entertainment, and education purposes only.
The words "you" and "your" are used in this article for ease of readability
only.
WARNING - Tax evasion is a criminal offense. Don't do it. The material in this
article is presented for information, research, entertainment, & education
purposes only.
--original by: spy&counterspy, conversion: mrf