To Find The Truth
I am presuming that certain lawyers are putting tax related information on their websites as a Public Service Announcement in an attempt to prevent others from causing harm to themselves by following theories that do not have merit. This is a laudable action on the part of these lawyers.
However, these people are still lawyers. So there's the grains of truth in all those lawyer jokes.
What these lawyers state does not line up with other things I have read and examined. By other things I have read and examined, I mean the Constitution, the 16th Amendment, Supreme Court decisions, tax statutes, tax codes, tax regulations, and IRS instructions. Some of the very things these lawyers quote to support their narratives.
If my conclusions shown on my website, based upon the things I've examined, are in error, then I could be leading others to harm if I present my conclusions containing errors to others as truths. Not to mention, leading myself to harm. Harm being defined as anything negative that happens.
I welcome any IRS officer, agent, or employee to publicly answer this questionnaire. I may be contacted via the contact page of this website.
I have personally experienced the IRS refusing to answer specific questions on more than one occasion and when asked by more than one human. I find myself wondering about the motivation of the refusal of the IRS to answer questions. Why would it do this when it has a duty to speak. ⇐ Rhetorical. No question mark.
- Would a murderer admit to being at the location of a murder at the time of the murder?
- Would the IRS answer questions about tax laws if those laws show the IRS is not properly enforcing those tax laws?
Just something to think about.
Warning to non-lawyers and non-lawyer people who don't like to read:
One of the jokes about lawyers is that they will write a 20,000 word document and call it a Brief. This document is approximately 17,000 words.
Since lawyers are all about using or plugging loop-holes, everything needs to be nailed down. No assumptions or equivocation can be allowed to exist. Therefore I will provide links to the sources of the words quoted on this page. Where I can I will provide links to .gov web sites. Where I can not I will provide links to secondary sources such as Justia, CourtListener, Leagle, or FindLaw. For other sources I will provide images I found on the internet that look like authentic copies of scans of law sources. The quotes I am presenting are themselves the links to
their sources. Click or tap within the box border, the quotes will open a new page and display the source if
your browser is configured to allow javascript and popups for this site.
These questions are set up such that any unanswered question defaults to admitting the truth of the question. Any denial without reasonable evidence is likewise an admission of truth. Ignoring all the questions in this document admits that the entire document is true. As you will see in the Duty To Speak section, my questions are to prove the IRS has a duty to speak and thus has a duty to answer questions such as contained in this document.
Quod gratis asseritur, gratis negatur.
An assertion without proof may be refuted without proof.
Legal Principles
1. Admit or deny that the Constitution is fundamental law.
2. Admit or deny that these are the words of the United States Supreme Court:
That the terms of a penal statute creating a new offense must be sufficiently explicit to inform those who are subject to it what conduct on their part will render them liable to its penalties, is a well-recognized requirement, consonant alike with ordinary notions of fair play and the settled rules of law. And a statute which either forbids or requires the doing of an act in terms so vague that men of common intelligence must necessarily guess at its meaning and differ as to its application, violates the first essential of due process of law.
Connally v. General Const. Co., 269 U.S. 385, 391 (1926)
3. Admit or deny that it is a solid legal principle that the words of a law must be sufficiently explicit to inform those who are subject to it so they can obey it.
4. Admit or deny that these words are the United States Supreme Court quoting the words of Lord Camden in the Entick v. Carrington case:
Lord Camden says: "Such is the power, and, therefore, one would naturally expect that the law to warrant it should be clear in proportion as the power is exorbitant. If it is law, it will be found in our books; if it is not to be found there, it is not law.
Boyd v. United States, 116 U.S. 616, 627 (1886)
5. Admit or deny that "If it is law, it will be found in our books; if it is not to be found there, it is not law" means a law is not to be assumed to exist by implication.
6. Admit or deny that these are the words of the United States Supreme Court:
In the interpretation of statutes levying taxes it is the established rule not to extend their provisions, by implication, beyond the clear import of the language used, or to enlarge their operations so as to embrace matters not specifically pointed out. In case of doubt they are construed most strongly against the government, and in favor of the citizen."
GOULD v. GOULD, 245 U.S. 151, 153 (1917).
7. Admit or deny that matters not specifically pointed out are matters not found in the law books.
8. Admit or deny that these are the words of the United States Supreme Court:
Judge Gray, dissenting, said: "Keeping in mind the well settled rule, that the citizen is exempt from taxation, unless the same is imposed by clear and unequivocal language, and that where the construction of a tax is doubtful, the doubt is to be resolved in favor of those upon whom the tax is sought to be laid, [...]
Spreckels Sugar Refining Co. v. McClain, 192 U.S. 397 (1904)
9. Admit or deny that though part of the dissent, the stated rule is a well settled rule.
10. Admit or deny that the well settled rule is that the citizen is exempt from taxation, unless the same is imposed by clear and unequivocal language.
11. Admit or deny that these are the words of the United States Supreme Court:
In view of other settled rules of statutory construction,which teach that a law is presumed, in the absence of clear expression to the contrary, to operate prospectively; that, if doubt exists as to the construction of a taxing statute, the doubt should be resolved in favor of the taxpayer, [...]
1938: Hassett v. Welch, 303 U.S. 303, 314 (1938)
12. Admit or deny that unless a statute imposes a tax in clear and unequivocal language the doubt favors the taxpayer.
Duty To Speak
Estoppel By Silence
A type of estoppel that prevents someone from asserting something when that person had both the duty and the opportunity to speak up earlier, and his or her silence put another person at a disadvantage.
nolo.com/estoppel-by-silence-term
Estoppel by silence arises when a party is under a duty to speak but fails to do so. Estoppel by silence is also known as estoppel by standing or estoppel by inaction.
Estoppel by silence arises from an obligation. The doctrine of estoppel by silence also requires an intention to mislead or at least a willingness that others should be deceived. [Wiser v. Lawler, 189 U.S. 260 (U.S. 1903)]
uslegal.com/e/estoppel-by-silence/
Silence can only be equated with fraud where there is a legal or moral duty to speak or where an inquiry left unanswered would be intentionally misleading.
UNITED STATES v. PRUDDEN 424 F.2d 1021 (1970)
Silence can only be equated with fraud where there is a legal or moral duty to speak or where an inquiry left unanswered would be intentionally misleading. [Citing Prudden.]
We cannot condone this shocking conduct by the IRS. Our revenue system is based upon the good faith of the taxpayers and the taxpayers should be able to expect the same from the government in its enforcement and collection activities.
Footnote 9: During oral argument counsel for the government stated that these procedures were "routine". If that is the case we hope our message is clear. This sort of deception will not be tolerated and if this is the "routine" it should be corrected immediately.
UNITED STATES v. TWEEL 550 F.2d 297 (5th Cir. 1977)
13. Admit or deny that the preceding four quotes present that a duty to speak is a legal principle.
14. Admit or deny that a prudent person, aware of the claim that ignorance of the law is no excuse, would with due diligence, ask the IRS questions about the tax laws the IRS enforces.
15. Admit or deny that estoppel would prevent the IRS from initiating a law suit to enforce laws it can't or won't explain.
16. Admit or deny that these are the words of the IRS Mission Statement:
IRS Mission
Provide America’s taxpayers top quality service by helping them understand and meet their tax responsibilities and by applying the tax law with integrity and fairness to all.
17. Admit or deny that these are the words of the IRS Quality Taxpayer Correspondence policy:
1.2.1.13.3 (03-14-1991) Policy Statement 21-3 (Formerly P-6-12),
- Timeliness and Quality of Taxpayer Correspondence
- The Service will issue quality responses to all taxpayer correspondence.
- Taxpayer correspondence is defined as all written communication from a taxpayer or his/her representative, excluding tax returns, whether solicited or unsolicited. This includes taxpayer requests for information, as well as that which may accompany a tax return; responses to IRS requests for information; and annotated notice responses.
- A quality response is timely, accurate, professional in tone, responsive to taxpayer needs (i.e., resolves all issues without further contact).
18. Admit or deny that by the preceding six quotes it is clear that the IRS has a legal duty to answer questions about the tax laws it enforces.
Instructions
19. Admit or deny that these are words found in section 5 USC 552:
Title 5 - GOVERNMENT ORGANIZATION AND EMPLOYEES
PART I - THE AGENCIES GENERALLY
CHAPTER 5 - ADMINISTRATIVE PROCEDURE
SUBCHAPTER II - ADMINISTRATIVE PROCEDURE
Sect. 552. Public information; agency rules, opinions, orders, records, and proceedings
(a) Each agency shall make available to the public information as follows:
(1) Each agency shall separately state and currently publish in the Federal Register for the guidance of the public--
[...]
(C) rules of procedure, descriptions of forms available or the places at which forms may be obtained, and instructions as to the scope and contents of all papers, reports, or examinations;
Except to the extent that a person has actual and timely notice of the terms thereof, a person may not in any manner be required to resort to, or be adversely affected by, a matter required to be published in the Federal Register and not so published.
20. Admit or deny that these are words found in CFR 601.602:
26 CFR 601.602
Subpart F_Rules, Regulations, and Forms
Sec. 601.602 Tax forms and instructions.
(a) Tax return forms and instructions.
The Internal Revenue Service develops forms and instructions that explain the requirements of the Internal Revenue Code and regulations. The Service distributes the forms and instructions to help taxpayers comply with the law. The tax system is based on voluntary compliance, and the taxpayers complete and return the forms with payment of any tax owed.
(b) Other forms and instructions.
In addition to tax return forms, the Internal Revenue Service furnishes the public copies of other forms and instructions developed for use in complying with the laws and regulations. These forms and instructions lead the taxpayer step-by-step through data needed to accurately report information required by law.
21. Admit or deny that this section of the Code of Federal Regulations claims that forms such as the Form 1040 and its instructions lead the taxpayer step-by-step through data needed to accurately report information required by law.
Reporting Instructions
22. Admit or deny that these words are on page 9 of the 2019 IRS Form 1040 instructions within Chart A:
**Gross income means all income you received in the form of money, goods, property, and services that is not exempt from tax, including any income from sources outside the United States or from the sale of your main home [...]
23. Admit or deny that according to this instruction, gross income does NOT mean all income because income exempt from tax can not be gross income.
24. Admit or deny that these words are on page 20 of the 2019 IRS Form 1040 instructions:
Income
Generally, you must report all income except income that is exempt from tax by law.
25. Admit or deny that exempt income is not required to be reported.
26. Admit or deny that these words are on page 20 of the 2019 IRS Form 1040 instructions:
Foreign-Source Income
You must report unearned income, such as interest, dividends, and pensions, from sources outside the United States unless exempt by law or a tax treaty. You also must report earned income, such as wages and tips, from sources outside the United States.
27. Admit or deny that the instructions for the 2019 IRS Form 1040 instructions twice state on page 20 that income from sources outside the United States must be reported.
28. Admit or deny that these words are contained in the online 2018 IRS Publication 525:
Publication 525 (2018), Taxable and Nontaxable Income
Foreign income.
If you're a u.s. citizen or resident alien, you must report income from sources outside the United States (foreign income) on your tax return unless it’s exempt by U.S. law. This is true whether you reside inside or outside the United States and whether or not you receive a Form W-2, Wage and Tax Statement, or Form 1099 from the foreign payer. This applies to earned income (such as wages and tips) as well as unearned income (such as interest, dividends, capital gains, pensions, rents, and royalties). If you reside outside the United States, you may be able to exclude part or all of your foreign source earned income. For details, see Pub. 54, Tax Guide for U.S. Citizens and Resident Aliens Abroad.
29. Admit or deny that the IRS would be remiss in their legal duty if their step-by-step instructions did not address certain data needed to accurately report information required by law.
30. Admit or deny that the 2019 IRS Form 1040 instructions do not have these words anywhere on pages 1 through 108 inclusive:
You also must report earned income, such as wages and tips, from sources inside the United States...
31. Admit or deny that the online 2019 IRS Publication 525 does not have these words anywhere on that page:
If you're a U.S. citizen or resident alien, you must report income from sources inside the United States (domestic income) on your tax return unless it’s exempt by U.S. law.
32. Admit or deny that under the concept of statutory construction canon Expressio unius est exclusio alterius (the express mention of one thing excludes all others), the express mention of income from sources outside the United States is meant to exclude income from sources inside the United States.
33. Admit or deny that no statutory construction would be required if the page 20 quote were written as shown:
Foreign or Domestic Source Income
You must report all unearned income, such as interest, dividends, and pensions, from sources inside or outside the United States unless exempt by law or a tax treaty. You also must report all earned income, such as wages and tips, from sources inside or outside the United States.
34. Admit or deny that as shown, the reworded text shows what the taxpayer is intended to assume by implication.
When A Return Is Required
35. Admit or deny that these words are contained within section 6151:
§6151. Time and place for paying tax shown on returns
(a) General rule
Except as otherwise provided in this subchapter, when a return of tax is required under this title or regulations, the person required to make such return shall, without assessment or notice and demand from the Secretary, pay such tax to the internal revenue officer with whom the return is filed, and shall pay such tax at the time and place fixed for filing the return (determined without regard to any extension of time for filing the return).
36. Admit or deny that this section is subordinate to a person actually being required to make a return.
37. Admit or deny that actually being required to make a return is subordinate to actually being liable for the section 1 tax.
38. Admit or deny that actually being liable for the section 1 tax is subordinate to actually being made liable for the section 1 tax.
39. Admit or deny that this section is a "General rule."
40. Admit or deny that this section applies to the following examination of the distilled spirits tax, the section 1 income tax, as well as every other internal revenue tax that requires a tax be paid by "return".
Distilled Spirits Tax Provisions
Tax Imposed On Taxable Items
41. Admit or deny that these words are contained within section 5001:
TITLE 26 - INTERNAL REVENUE CODE
Subtitle E - Alcohol, Tobacco, and Certain Other Excise Taxes
CHAPTER 51 - DISTILLED SPIRITS, WINES, AND BEER
Subchapter A - Gallonage and Occupational Taxes
PART I - GALLONAGE TAXES
Subpart A - Distilled Spirits
Sec. 5001. Imposition, rate, and attachment of tax
(a) Rate of tax
(1) General
There is hereby imposed on all distilled spirits produced in or imported into the United States a tax at the rate of $13.50 on each proof gallon and a proportionate tax at the like rate on all fractional parts of a proof gallon.
42. Admit or deny that this section, using clear and unequivocal language and without implication, imposes a tax upon a taxable item (specifically distilled spirits).
Who Is Made Liable For § 5001 Taxes
43. Admit or deny that these words are contained within section 5005:
TITLE 26 - INTERNAL REVENUE CODE
Subtitle E - Alcohol, Tobacco, and Certain Other Excise Taxes
CHAPTER 51 - DISTILLED SPIRITS, WINES, AND BEER
Subchapter A - Gallonage and Occupational Taxes
PART I - GALLONAGE TAXES
Subpart A - Distilled Spirits
Sec. 5005. Persons liable for tax
(a) General
The distiller or importer of distilled spirits shall be liable for the taxes imposed thereon by section 5001(a)(1).
44. Admit or deny that this section, using clear and unequivocal language and without implication, makes specific persons (importers or distillers) liable for the tax imposed in section 5001.
The Taxable Item Is Defined
45. Admit or deny that these words are contained within section 5002:
TITLE 26 - INTERNAL REVENUE CODE
Subtitle E - Alcohol, Tobacco, and Certain Other Excise Taxes
CHAPTER 51 - DISTILLED SPIRITS, WINES, AND BEER
Subchapter A - Gallonage and Occupational Taxes
PART I - GALLONAGE TAXES
Subpart A - Distilled Spirits
Sec. 5002. Definitions
(a) In general
For purposes of this chapter -
(8) Distilled spirits
The terms "distilled spirits", "alcoholic spirits", and "spirits" mean that substance known as ethyl alcohol, ethanol, or spirits of wine in any form (including all dilutions and mixtures thereof from whatever source or by whatever process produced).
(10) Proof spirits
The term "proof spirits" means that liquid which contains one-half its volume of ethyl alcohol of a specific gravity of 0.7939 at 60 degrees Fahrenheit (referring to water at 60 degrees Fahrenheit as unity).
(11) Proof gallon
The term "proof gallon" means a United States gallon of proof spirits, or the alcoholic equivalent thereof.
46. Admit or deny that this section, using clear and unequivocal language and without implication, defines the item being taxed.
47. Admit or deny that by way of the three different sections the format of the distilled spirits tax follows this form:
- The tax is imposed upon a taxable item.
- The liability for the tax is imposed upon a class of persons.
- The taxable item is defined.
Tax Imposed On Taxable Items
48. Admit or deny that these words are contained in section 1:
TITLE 26 - INTERNAL REVENUE CODE
Subtitle A - Income Taxes
CHAPTER 1 - NORMAL TAXES AND SURTAXES
Subchapter A - Determination of Tax Liability
PART I - TAX ON INDIVIDUALS
Sec. 1. Tax imposed
(a) Married individuals filing joint returns and surviving spouses
There is hereby imposed on the taxable income of -
[...] a tax determined in accordance with the following table:
If taxable income is: The tax is:
[Table omitted]
(b) Heads of households
There is hereby imposed on the taxable income of every head of a household [...] a tax determined in accordance with the following table:
If taxable income is: The tax is:
[Table omitted]
(c) Unmarried individuals (other than surviving spouses and heads of households)
There is hereby imposed on the taxable income of every individual
[...] a tax determined in accordance with the following table:
If taxable income is: The tax is:
[Table omitted]
(d) Married individuals filing separate returns
There is hereby imposed on the taxable income of every married individual [...] a tax determined in accordance with the following table:
If taxable income is: The tax is:
[Table omitted]
(e) Estates and trusts
There is hereby imposed on the taxable income of -
[...] a tax determined in accordance with the following table:
If taxable income is: The tax is:
[Table omitted]
49. Admit or deny that the purpose of all five subsections is to affix; to set; five different tax levels upon five different categories of "taxable income".
50. Admit or deny that this section, using clear and unequivocal language and without implication, imposes a tax upon a taxable item (specifically taxable income) in the same format as the tax imposed upon a taxable item (specifically distilled spirits) in section 5001.
Who Is Made Liable For § 1 Taxes
51. Admit or deny that these words are contained within section 641:
TITLE 26 - INTERNAL REVENUE CODE
Subtitle A - Income Taxes
CHAPTER 1 - NORMAL TAXES AND SURTAXES
Subchapter J - Estates, Trusts, Beneficiaries, and Decedents Tax & Liability Imposed
PART I - ESTATES, TRUSTS, AND BENEFICIARIES
Subpart A - General Rules for Taxation of Estates and Trusts
Sec. 641. Imposition of tax
(a) Application of tax
The tax imposed by section 1(e) shall apply to the taxable income of estates or of any kind of property held in trust, including -
[...]
(b) Computation and payment
The taxable income of an estate or trust shall be computed in the same manner as in the case of an individual, except as otherwise provided in this part. The tax shall be computed on such taxable income and shall be paid by the fiduciary. For purposes of this subsection, a foreign trust or foreign estate shall be treated as a nonresident alien individual who is not present in the United States at any time.
52. Admit or deny that this section commands specific persons (fiduciaries) to pay the tax imposed in subtitle A, section 1.
53. Admit or deny that these words are contained within section 701:
TITLE 26 - INTERNAL REVENUE CODE
Subtitle A - Income Taxes
CHAPTER 1 - NORMAL TAXES AND SURTAXES
Subchapter K - Partners and Partnerships
PART I - DETERMINATION OF TAX LIABILITY
Sec. 701. Partners, not partnership, subject to tax
A partnership as such shall not be subject to the income tax imposed by this chapter. Persons carrying on business as partners shall be liable for income tax only in their separate or individual capacities.
54. Admit or deny that this section makes specific persons (partners of a partnership) liable for tax imposed in Subtitle A.
55. Admit or deny that these words are contained within section 2:
TITLE 26 - INTERNAL REVENUE CODE
Subtitle A - Income Taxes
CHAPTER 1 - NORMAL TAXES AND SURTAXES
Subchapter A - Determination of Tax Liability
PART I - TAX ON INDIVIDUALS
Sec. 2. Definitions and special rules
(d) Nonresident aliens
In the case of a nonresident alien individual, the taxes imposed by sections 1 and 55 shall apply only as provided by section 871 or 877.
56. Admit or deny that this section links a nonresident alien individual to the tax imposed in subtitle A, section 1.
57. Admit or deny that these words are contained within section 871:
TITLE 26 - INTERNAL REVENUE CODE
Subtitle A - Income Taxes
CHAPTER 1 - NORMAL TAXES AND SURTAXES
Subchapter N - Tax Based on Income From Sources Within or Without the United States
PART II - NONRESIDENT ALIENS AND FOREIGN CORPORATIONS
Subpart A - Nonresident Alien Individuals
Sec. 871. Tax on nonresident alien individuals
(b) Income connected with United States business - graduated rate of tax
(1) Imposition of tax
A nonresident alien individual engaged in trade or business within the United States during the taxable year shall be taxable as provided in section 1 or 55 on his taxable income which is effectively connected with the conduct of a trade or business within the United States.
58. Admit or deny that this section links specific persons (nonresident alien individuals) to the tax imposed in subtitle A, section 1.
59. Admit or deny that these words are contained within section 876:
TITLE 26 - INTERNAL REVENUE CODE
Subtitle A - Income Taxes
CHAPTER 1 - NORMAL TAXES AND SURTAXES
Subchapter N - Tax Based on Income From Sources Within or Without the United States
PART II - NONRESIDENT ALIENS AND FOREIGN CORPORATIONS
Subpart A - Nonresident Alien Individuals
Sec. 876. Alien residents of Puerto Rico, Guam, American Samoa, or the Northern Mariana Islands
(a) General rule
This subpart shall not apply to any alien individual who is a bona fide resident of Puerto Rico, Guam, American Samoa, or the Northern Mariana Islands during the entire taxable year and such alien shall be subject to the tax imposed by section 1.
60. Admit or deny that this section links specific persons (alien individuals residing in the listed U.S. territories) to the tax imposed in subtitle A, section 1.
61. Admit or deny that these words are contained within section 877:
TITLE 26 - INTERNAL REVENUE CODE
Subtitle A - Income Taxes
CHAPTER 1 - NORMAL TAXES AND SURTAXES
Subchapter N - Tax Based on Income From Sources Within or Without the United States
PART II - NONRESIDENT ALIENS AND FOREIGN CORPORATIONS
Subpart A - Nonresident Alien Individuals
Sec. 877. Expatriation to avoid tax
(a) Treatment of expatriates
(1) In general
Every nonresident alien individual to whom this section applies and who, within the 10-year period immediately preceding the close of the taxable year, lost United States citizenship shall be taxable for such taxable year in the manner provided in subsection (b) if [...]
(b) Alternative tax
A nonresident alien individual described in subsection (a) shall be taxable for the taxable year as provided in section 1 or 55, except that - [...]
62. Admit or deny that this section links specific persons (expatriated nonresident alien individuals) to the tax imposed in subtitle A, section 1.
63. Admit or deny that these words are contained within section 7701:
Title 26 - INTERNAL REVENUE CODE
Subtitle F - Procedure and Administration
CHAPTER 79 - DEFINITIONS
Sec. 7701 - Definitions
(a) When used in this title, where not otherwise distinctly expressed or manifestly incompatible with the intent thereof—
[...]
(16) Withholding agent
The term "withholding agent" means any person required to deduct and withhold any tax under the provisions of section 1441, 1442, 1443, or 1461.
64. Admit or deny that these words are contained in chapter 3:
Title 26 - INTERNAL REVENUE CODE
Subtitle A - Income Taxes
CHAPTER 3 - WITHHOLDING OF TAX ON NONRESIDENT ALIENS AND FOREIGN CORPORATIONS
Subchapter A - Nonresident Aliens and Foreign Corporations
Table Of Contents
Sec.
1441. Withholding of tax on nonresident aliens.
1442. Withholding of tax on foreign corporations.
1443. Foreign tax-exempt organizations.
65. Admit or deny that these words are contained within section 1461:
TITLE 26 - INTERNAL REVENUE CODE
Subtitle A - Income Taxes
CHAPTER 3 - WITHHOLDING OF TAX ON NONRESIDENT ALIENS AND FOREIGN CORPORATIONS
Subchapter B - Application of Withholding Provisions
Sec. 1461. Liability for withheld tax
Every person required to deduct and withhold any tax under this chapter is hereby made liable for such tax and is hereby indemnified against the claims and demands of any person for the amount of any payments made in accordance with the provisions of this chapter.
66. Admit or deny that this section makes specific persons (withholding agents) liable for the tax imposed in Subtitle A.
67. Admit or deny that these words are contained within section 1473:
TITLE 26 - INTERNAL REVENUE CODE
Subtitle A - Income Taxes
CHAPTER 4 - TAXES TO ENFORCE REPORTING ON CERTAIN FOREIGN ACCOUNTS
Sec. 1473. Definitions
For purposes of this chapter -
(4) Withholding agent
The term "withholding agent" means all persons, in whatever capacity acting, having the control, receipt, custody, disposal, or payment of any withholdable payment.
68. Admit or deny that these words are contained within section 1474:
TITLE 26 - INTERNAL REVENUE CODE
Subtitle A - Income Taxes
CHAPTER 4 - TAXES TO ENFORCE REPORTING ON CERTAIN FOREIGN ACCOUNTS
Sec. 1474. Special rules
(a) Liability for withheld tax
Every person required to deduct and withhold any tax under this
chapter is hereby made liable for such tax and is hereby
indemnified against the claims and demands of any person for the
amount of any payments made in accordance with the provisions of
this chapter.
69. Admit or deny that this section makes specific persons (withholding agents) liable for tax imposed in Subtitle A.
70. Admit or deny that only sections 701, 1461 & 1474 all using clear and unequivocal language and without implication, makes specific persons liable for the "income" tax in subtitle A, section 1 in the same format as section 5005 makes specific persons liable for the tax imposed in section 5001.
Other "income" taxes in subtitle A not researched as they have no bearing on an American living and working solely within any of the fifty States united.
71. Admit or deny that a prudent person, aware of the claim that ignorance of the law is no excuse, would with due diligence, continue to examine the law using these terms to search Subtitle A for imposition of section 1 tax liability:
- shall be liable;
- is liable;
- made liable;
- shall pay;
- must pay;
- shall be paid;
- shall be subject to tax;
- shall be subject to taxation;
- shall be taxable.
The Taxable Item Is Defined
72. Admit or deny that these words are contained within section 63:
Title 26 - INTERNAL REVENUE CODE
Subtitle A - Income Taxes
CHAPTER 1 - NORMAL TAXES AND SURTAXES
Subchapter B - Computation of Taxable Income
PART I - DEFINITION OF GROSS INCOME, ADJUSTED GROSS INCOME, TAXABLE INCOME, ETC.
§63. Taxable income defined
(a) In general
Except as provided in subsection (b), for purposes of this subtitle, the term "taxable income" means gross income minus the deductions allowed by this chapter (other than the standard deduction).
(b) Individuals who do not itemize their deductions
73. Admit or deny that this section defines the item being taxed.
74. Admit or deny that this definition is in general and is not specific.
75. Admit or deny that in general, taxable income is gross income minus deductions allowed.
76. Admit or deny that these words are contained within section 61:
Title 26 - INTERNAL REVENUE CODE
Subtitle A - Income Taxes
CHAPTER 1 - NORMAL TAXES AND SURTAXES
Subchapter B - Computation of Taxable Income
PART I - DEFINITION OF GROSS INCOME, ADJUSTED GROSS INCOME, TAXABLE INCOME, ETC.
§61. Gross income defined
(a) General definition
Except as otherwise provided in this subtitle, gross income means all income from whatever source derived, including (but not limited to) the following items:
(1) Compensation for services, including fees, commissions, fringe benefits, and similar items;
(2) Gross income derived from business;
(3) Gains derived from dealings in property;
(4) Interest;
(5) Rents;
(6) Royalties;
(7) Dividends;
(8) Annuities;
(9) Income from life insurance and endowment contracts;
(10) Pensions;
(11) Income from discharge of indebtedness;
(12) Distributive share of partnership gross income;
(13) Income in respect of a decedent; and
(14) Income from an interest in an estate or trust.
77. Admit or deny that exceptions to this definition of gross income are provided elsewhere in Subtitle A - Income Taxes.
78. Admit or deny that except as otherwise provided in this subtitle means other provisions (sections of Subtitle A) override this section.
79. Admit or deny that income from whatever source derived is a direct referral to the 16th Amendment.
80. Admit or deny that a prudent person, aware of the claim that ignorance of the law is no excuse, would with due diligence, continue to examine the sections and regulations to determine if provisions overriding section 61 and regulations thereunder are applicable to that prudent person.
81. Admit or deny that these words are contained within the Code of Federal Regulations (CFR) section 1.61-1:
Title 26
Chapter I
Subchapter A
Part 1
§1.61-1 Gross income.
(a) General definition. Gross income means all income from whatever source derived, unless excluded by law.
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(b) Cross references. Cross references to other provisions of the Code are to be found throughout the regulations under section 61.
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To the extent that another section of the Code or of the regulations thereunder, provides specific treatment for any item of income, such other provision shall apply notwithstanding section 61 and the regulations thereunder. The cross references do not cover all possible items.
82. Admit or deny that other sections and regulations override section 61 and this regulation under section 61.
83. Admit or deny that these words are contained within CFR section 1.61-2:
§1.61-2 Compensation for services, including fees, commissions, and similar items.
(a) In general. (1) Wages, salaries, commissions paid salesmen, compensation for services [...] are income to the recipients unless excluded by law.
84. Admit or deny that a prudent person, aware of the claim that ignorance of the law is no excuse, would with due diligence, continue to examine the sections and regulations to determine if their wages or compensation is excluded by law.
85. Admit or deny that where law does not include a specific item, that item is by definition, excluded.
16th Amendment
86. Admit or deny that these are the words of the 16th Amendment of the United States Constitution:
The Congress shall have power to lay and collect taxes on incomes, from whatever source derived, without apportionment among the several states, and without regard to any census or enumeration.
87. Admit or deny that because of the 16th Amendment the sources that the income is derived from has no bearing on the taxability of the income from those sources.
88. Admit or deny that the income that this amendment addresses is derived from sources.
89. Admit or deny that these are the words of the United States Supreme Court:
In order, therefore, that the clauses cited from Article I of the Constitution may have proper force and effect, save only as modified by the Amendment, and that the latter also may have proper effect, it becomes essential to distinguish between what is and what is not "income,"as the term is there used; and to apply the distinction, as cases arise, according to truth and substance, without regard to form. Congress cannot by any definition it may adopt conclude the matter, since it cannot by legislation alter the Constitution, from which alone it derives its power to legislate, and within whose limitations alone that power can be lawfully exercised.
Eisner v. Macomber, 252 U.S. 189, 199 (1920)
90. Admit or deny that after the ratification of the 16th Amendment Congress is not allowed to change the definition of "income".
91. Admit or deny that this gives rise to the term "Constitutional Income".
92. Admit or deny that these are the words of the United States Senate Committee on finance dated June 18, 1954:
H. R. 8300
Section 61(a) provides that gross income includes "all income from whatever source derived. This definition is based upon the 16th Amendment and the word "income" is used in its constitutional sense.
93. Admit or deny that this gives rise to the term "Constitutional Income".
94. Admit or deny that these are the words of the House of Representatives Committee on Ways and Means dated March 9, 1954:
H. R. 8300
Section 61(a) provides that gross income includes "all income from whatever source derived. This definition is based upon the 16th Amendment and the word "income" is used in its constitutional sense.
95. Admit or deny that this gives rise to the term "Constitutional Income".
96. Admit or deny that these are the words of the United States Supreme Court:
After examining dictionaries in common use [...], we find little to add to the succinct definition adopted in two cases arising under the Corporation Tax Act of 1909 ([...]; [...])-"Income may be defined as the gain derived from capital, from labor, or from both combined," provided it be under-stood to include profit gained through a sale or conversion of capital assets, to which it was applied in the Doyle Case([...]).
Brief as it is, it indicates the characteristic and distinguishing attribute of income essential for a correct solution of the present controversy.
The Government, although basing its argument upon the definition as quoted, placed chief emphasis upon the word "gain," which was extended to include a variety of meanings; while the significance of the next three words was either overlooked or misconceived. " Derived-from-capital ";-" the gain-derived-from-capital," etc.
Here we have the essential matter: not a gain accruing to capital, not a growth or increment of value in the investment; but a gain, a profit, something of exchangeable value proceeding from the property, severed from the capital however invested or employed, and coming in, being "derived," that is, received or drawn by the recipient (the taxpayer) for his separate use, benefit and disposal;--that is income derived from property. Nothing else answers the description.
Eisner v. Macomber, 252 U.S. 189, 199 (1920)
97. Admit or deny that Constitutional Income is gain; profit available to its owner.
98. Admit or deny that income derived from invested property is also known as a return on investment. (ROI).
99. Admit or deny that these are the words of the United States Supreme Court:
Here we have instances of undeniable accessions to wealth, clearly realized, and over which the taxpayers have complete dominion.
Commissioner v. Glenshaw Glass Co., 348 U.S. 426 (1955).
100. Admit or deny that the undeniable accessions to wealth are gains in capital that no labor was exerted in acquiring, much like lottery winnings would be.
101. Admit or deny that the undeniable accessions to wealth are gains in capital that no labor was exerted in acquiring, much like returns on investments would be.
102. Admit or deny that these are the words of the United States Supreme Court:
8 The long history of departmental rulings holding personal injury recoveries nontaxable on the theory that they roughly correspond to a return of capital cannot support exemption of punitive damages following injury to property.
[Cites omitted]
Damages for personal injury are by definition compensatory only. Punitive damages, on the other hand, cannot be considered a restoration of capital for taxation purposes.
Commissioner v. Glenshaw Glass Co., 348 U.S. 426 (1955).
103. Admit or deny personal injury recoveries roughly corresponding to a return of capital admits that human capital is, in fact and deed, capital.
104. Admit or deny that these are the words of the United States Supreme Court:
Yet it is plain, we think, that by the true intent and meaning of the act the entire proceeds of a mere conversion of capital assets were not to be treated as income.
Whatever difficulty there may be about a precise and scientific definition of "income," it imports, as-used here, something entirely 'distinct from principal or capital either as a subject of taxation or as a measure of the tax; conveying rather the idea of gain or increase arising from corporate activities.
As was said in Straton's Independence v. Howbert, 231 U. S. 399,- 415: "(Income may be defined as the gain derived from capital, from labor, or from both combined."Understanding the term in this natural and obvious sense, it cannot be said that a conversion of capital assets invariably produces income.
If sold at less than cost, it produces rather loss or outgo. Nevertheless, in many if not in most cases there results a gain that properly may be accounted as a part of the "gross income"received "from all- sources"; and by applying to this the authorized deductions we arrive at "net income." In order to determine whether there has been gain or loss, and the amount of the gain, if any, we must withdraw from the gross proceeds an amount sufficient to restore the capital value that existed at the commencement of the period under consideration.
Doyle v. Mitchell Bros. Co., 247 U.S. 179 (1918)
105. Admit or deny that the entire proceeds of a conversion of capital assets is not Constitutional Income.
106. Admit or deny that amounts sufficient to restore the capital value must be withdrawn from the gross proceeds before tax can be computed on the Constitutional Income.
107. Admit or deny that these are the words of the United States Supreme Court:
We must reject in this case, as we have rejected in cases arising under the Corporation Excise Tax Act of1909 (Doye v. Mitchell Brothers Co., ante, 179, and Hays v.Gauley Mountain Coal Co., ante, 189) the broad contention submitted in behalf of the Government that all receipts--everything that comes in-are income, within the proper definition of the term "gross income," and that the entire proceeds of a conversion of capital assets, in what ever form and under whatever circumstances accomplished, should be treated as gross income.
Southern Pacific Co. v. Lowe, 247 U.S. 330 (1918)
108. Admit or deny that not every item of revenue created by a conversion of capital assets is a clear accession to wealth.
109. Admit or deny that the term wealth is the abundance of valuable financial assets (capital assets) or physical possessions which can be converted into a form that can be used to create more wealth gain (Constitutional Income).
110. Admit or deny that the purpose of deductions from gross income is to replenish the capital assets consumed in the creation of such income.
111. Admit or deny that not allowing deductions sufficient to restore the capital taxes the capital.
112. Admit or deny that such a tax on capital is a direct tax requiring apportionment.
113. Admit or deny that these are the words of the U.S. District Court for the Southern District of Texas:
Instead, the courts have chosen to use the meaning given the term "income" by its everyday use in common speech. Helvering v. Edison Bros. *1191 Stores, 133 F.2d 575 (8th Cir. 1943); 1 Mertens, supra, n. 5, p. 2. And the meaning of income in its everyday sense is "a gain or recurrent benefit usually measured in money that derives from capital or labor; also: the amount of such gain recovered by an individual in a given period of time." Webster's Seventh New Collegiate Dictionary, p. 425 (1965Emphasis Added). Income is nothing more nor less than realized gain. Shuster v. Helvering, 121 F.2d 643 (2nd Cir. 1941). It is not synonymous with receipts. 47 C.J.S. Internal Revenue § 98, p. 226.
Whatever may constitute income, therefore, must have the essential feature of gain to the recipient. This was true when the sixteenth amendment became effective, it was true at the time of the decision in Eisner v. McComber, supra, it was true under section 22(a) of the Internal Revenue Code of 1939, and it is likewise true under section 61 (a) of the Internal Revenue Code of 1954. If there is no gain, there is no income.
George E. and Dorothy E. Conner v. UNITED STATES of America.
303 F. Supp. 1187 (1969)
114. Admit or deny that revenue, gross income, or everything that comes in, is not gain and thus not Constitutional Income.
115. Admit or deny that "income" has two meanings: (1) everything that comes in, and (2) gain or profit which the 16th amendment allows to be taxed without apportionment.
116. Admit or deny that equivocation is the logical fallacy of using a word having two distinct meanings leading to a false conclusion.
117. Admit or deny that deliberately equivocating; deliberately calling two different things by a single term could be considered fraud when the differences of the items matter.
Wages
118. Admit or deny that these are the words of the United States Supreme Court:
Decided cases have made the distinction between wages and income and have refused to equate the two in withholding or similar controversies.
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Central Illinois Public Serv. Co. v. United States, 435 U.S. 21 (1978)
119. Admit or deny that there is a distinction between wages and income.
120. Admit or deny that these are the words of the Tennessee Supreme Court:
It cannot be denied that the Legislature can name any privilege a taxable privilege and tax it by means other than an income tax, but the Legislature cannot name something to be a taxable privilege unless it is first a privilege.
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Realizing and receiving income or earnings is not a privilege that can be taxed.
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Since the right to receive income or earnings is a right belonging to every person, this right cannot be taxed as privilege.
Jack Cole Company v. MacFarland 337 S.W.2d 453 (1960)
121. Admit or deny that something must first be a privilege before it can be taxed as a privilege.
122. Admit or deny that working for a living is not a privilege? That is, admit or deny that trading labor to compensate for the consumption of that labor used to sustain life is not a privilege.
123. Admit or deny that these are the words of the Virginia Supreme Court:
Compensation for labor is not profit.
The word "profit" is defined in Black's Law Dictionary (3rd ed.) as "The advance in the price of goods sold beyond the cost of purchase. The gain made by the sale of produce or manufactures, after deducting the value of the labor, materials, rents, and all expenses, together with the interest of the capital employed." There is a clear distinction between "profit" and "wages" or compensation for labor. "Compensation for labor can not be regarded as profit within the meaning of the law. The word 'profit', as ordinarily used, means the gain made upon any business or investment -- a different thing altogether from mere compensation for labor." The Commercial League Association of America
The People ex rel. Thomas B. Needles, Auditor, 90 Ill. 166. "Reasonable compensation for labor or services rendered is not profit." Laureldale Cemetery Association Matthews, 354 Pa. 239, 47 A.(2d) 277.
Oliver v. Halstead 196 Va. 992 (1955)
124. Admit or deny that compensation for labor (wages) is NOT Constitutional income.
125. Admit or deny that these are the words of the Pennsylvania Supreme Court:
The payment by the Association of salaries to its president, superintendent, and secretary afford no basis for denying exemption. The president receives, $2400, the superintendent $2600, and the secretary $1400 per annum. In each case the salary is in the same amount paid for the same work by Laureldale Cemetery Company, a shareholder's company organized for profit, and considering the nature and extent of the Association's business they are not excessive. Like wages paid the gravediggers such outlays are chargeable as necessary expenses incident to the proper maintenance of the cemetery. Reasonable compensation for labor or services rendered is not profit. To hold otherwise would be to nullify the exemption statute.
Laureldale Assn. v. Matthews, 47 A.2d 277 (Pa. 1946)
126. Admit or deny that compensation for labor (wages) is NOT Constitutional income.
127. Admit or deny that these are the words of the United States Supreme Court:
"The issue presented in the Pollock Case was whether an income tax was direct within the meaning of the Constitution. The contentions which the case involved were thus presented. On the one hand, it was argued that only capitation taxes and taxes on land as such were direct,within the meaning of the Constitution, considered as a matter of first impression, and that previous adjudications had construed the Constitution as having that import.On the other hand, it was asserted that, in principle, direct taxes, in the constitutional sense, embraced not only taxes on land and capitation taxes, but all burdens laid on real or personal property because of its ownership, which were equivalent to a direct tax on such property, and it was affirmed that the previous adjudications of this court had settled nothing to the contrary.
Flint v. Stone Tracy, 220 U.S. 107, 148-149 (1911)
128. Admit or deny that taxes on personal property are direct taxes requiring apportionment.
129. Admit or deny that these are the words of the United States Supreme Court:
The tax under consideration, as we have construed the statute, may be described as an excise upon the particular privilege of doing business in a corporate capacity, i. e., with the advantages which arise from corporate or quasi corporate organization; or, when applied to insurance companies, for doing the business of such companies. As was said in the Thomas Case, supra, the requirement to pay such taxes involves the exercise of privileges, and the element of absolute and unavoidable demand is lacking. If business is not done in the manner described in the statute, no tax is payable.
Flint v. Stone Tracy, 220 U.S. 107, 151-152 (1911)
130. Admit or deny that any tax on the following listed items is a direct tax because they are not "privileges" to which an excise (privilege) tax would apply.
131. Admit or deny that any tax on the following listed items is a direct tax because the element of absolute and unavoidable demand is missing:
- Right to Life;
- Right to Liberty;
- Right to Property;
- The value of real estate property owned;
- The value of personal property owned;
- The value of Labor;
- The value of Federal Reserve Notes owned;
- Property traded for like valued property;
- The value of revenue;
- The value of money owned;
- The value of gold owned;
- The value of silver owned;
- The value of anything owned;
- Body;
- Mind;
- Soul.
W-4 §6109
132. Admit or deny that these words are in the instructions for the 2020 IRS Form W-4:
Privacy Act and Paperwork Reduction Act Notice.
We ask for the information on this form to carry out the Internal Revenue laws of the United States. Internal Revenue Code sections 3402(f)(2) and 6109 and their regulations require you to provide this information; your employer uses it to determine your federal income tax withholding.
133. Admit or deny that the Form W-4 instructions cite section 6109 and its regulations as authority for this information collection.
134. Admit or deny that these are the words of section 6109:
§6109. Identifying numbers
(a) Supplying of identifying numbers
When required by regulations prescribed by the Secretary:
(1) Inclusion in returns
Any person required under the authority of this title to make a return, statement, or other document shall include in such return, statement, or other document such identifying number as may be prescribed for securing proper identification of such person.
(2) Furnishing number to other persons
Any person with respect to whom a return, statement, or other document is required under the authority of this title to be made by another person or whose identifying number is required to be shown on a return of another person shall furnish to such other person such identifying number as may be prescribed for securing his proper identification.
(3) Furnishing number of another person
Any person required under the authority of this title to make a return, statement, or other document with respect to another person shall request from such other person, and shall include in any such return, statement, or other document, such identifying number as may be prescribed for securing proper identification of such other person.
135. Admit or deny that this section transfers authority to the Secretary of Treasury to prescribe regulations for complying with this section.
136. Admit or deny that these are the words of the 2018 IRS Form W-9:
Use Form W-9 to request the taxpayer identification number (TIN) of a U.S. person (including a resident alien) and to request certain certifications and claims for exemption.
137. Admit or deny that if a U.S. person includes a resident alien then in such case a U.S. person is a resident alien.
138. Admit or deny that these are the words of CFR 301.6109-1:
301.6109-1(b) Requirement to furnish one's own number—(1) U.S. persons.
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A U.S. person whose number must be included on a document filed by another person must give the taxpayer identifying number so required to the other person on request.
139. Admit or deny that the requirement to provide an identifying number to another person is subordinate to an actual requirement that the other person must file a document.
140. Admit or deny that if a U.S. person was stated as a U.S. Citizen or a resident alien, then this regulation would not look like it is hiding something.
141. Admit or deny that these are the words of CFR 301.6109-1:
301.6109-1(c) Requirement to furnish another's number. Every person required under this title to make a return, statement, or other document must furnish such taxpayer identifying numbers of other U.S. persons and foreign persons that are described in paragraph (b)(2)(i), (ii), (iii), (vi), (vii), or (viii) of this section as required by the forms and the accompanying instructions. The taxpayer identifying number of any person furnishing a withholding certificate referred to in paragraph (b)(2)(vi) or (viii) of this section shall also be furnished if it is actually known to the person making a return, statement, or other document described in this paragraph (c). If the person making the return, statement, or other document does not know the taxpayer identifying number of the other person, and such other person is one that is described in paragraph (b)(2)(i), (ii), (iii), (vi), (vii), or (viii) of this section, such person must request the other person's number. The request should state that the identifying number is required to be furnished under authority of law.
142. Admit or deny that U.S. persons and foreign persons are listed in the cited paragraphs (b)(2)(i), (ii), (iii), (vi), (vii), or (viii).
143. Admit or deny that the request for an identifying number "under authority of law" only pertains to a request for a number from the people listed in the cited paragraphs.
144. Admit or deny that these are the words of CFR 301.6109-1:
301.6109-1(b)(2) Foreign persons. The provisions of paragraph (b)(1) of this section regarding the furnishing of one's own number shall apply to the following foreign persons—
(i) A foreign person [...];
(ii) A foreign person [...];
(iii) A nonresident alien [...];
(iv) A foreign person [...];
(v) A foreign person [...];
(vi) A foreign person [...];
(vii) A foreign person [...]; and
(viii) A foreign person [...].
145. Admit or deny that the identifying numbers required "under authority of law" are from foreigners.
146. Admit or deny that these are the words of CFR 301.6109-1:
301.6109-1(c) When the person making the return, statement, or other document does not know the number of the other person, and has complied with the request provision of this paragraph (c), such person must sign an affidavit on the transmittal document forwarding such returns, statements, or other documents to the Internal Revenue Service, so stating.
147. Admit or deny that the request provision of paragraph (c) only applies to the specific people listed in paragraph (b).
148. Admit or deny that calling a foreign person a U.S. person could be considered an act of fraud.
W-4 §3402
Privacy Act and Paperwork Reduction Act Notice.
We ask for the information on this form to carry out the Internal Revenue laws of the United States. Internal Revenue Code sections 3402(f)(2) and 6109 and their regulations require you to provide this information; your employer uses it to determine your federal income tax withholding.
149. Admit or deny that the Form W-4 instructions cite section 3402(f)(2) and its regulations as authority for this information collection.
150. Admit or deny that these are the words of section 3402:
§3402(f)(2) Allowance certificates
(A) On commencement of employment
On or before the date of the commencement of employment with an employer, the employee shall furnish the employer with a signed withholding allowance certificate relating to the withholding allowance claimed by the employee, which shall in no event exceed the amount to which the employee is entitled.
151. Admit or deny that this command to furnish a signed withholding allowance certificate is subordinate to an employee and employer actually being within the codified definitions provided in §3401.
152. Admit or deny that the 2020 IRS Form W-4 has these words in the instructions:
Exemption from withholding. You may claim exemption from withholding for 2020 if you meet both of the following conditions: you had no federal income tax liability in 2019 and you expect to have no federal income tax liability in 2020.
153. Admit or deny that according to this instruction, no withholding is required unless there is a Constitutional Income tax liability. See questions 86 - 117.
154. Admit or deny that these words are contained in section 7806:
§7806. Construction of title
(b) Arrangement and classification
No inference, implication, or presumption of legislative construction shall be drawn or made by reason of the location or grouping of any particular section or provision or portion of this title, nor shall any table of contents, table of cross references, or similar outline, analysis, or descriptive matter relating to the contents of this title be given any legal effect. The preceding sentence also applies to the side notes and ancillary tables contained in the various prints of this Act before its enactment into law.
155. Admit or deny that section and subsection titles are descriptive matter.
156. Admit or deny that section and subsection titles are not to be given any legal effect.
157. Admit or deny that these are the words of section 3402:
§3402. Income tax collected at source
(a) Requirement of withholding
(1) In general
Except as otherwise provided in this section, every employer making payment of wages shall deduct and withhold upon such wages a tax determined in accordance with tables or computational procedures prescribed by the Secretary. Any tables or procedures prescribed under this paragraph shall-
(A) apply with respect to the amount of wages paid during such periods as the Secretary may prescribe, and
(B) be in such form, and provide for such amounts to be deducted and withheld, as the Secretary determines to be most appropriate to carry out the purposes of this chapter and to reflect the provisions of chapter 1 applicable to such periods.
158. Admit or deny that "§3402. Income tax collected at source" is a descriptive matter and is not to be given any legal effect.
159. Admit or deny that the provisions of the tax imposed in section 1, according to the Senate and Congressional reports shown above, is to tax income in its constitutional sense; that is to tax profits after sufficient amounts are deducted to restore the capital consumed in creating the taxable profit.
160. Admit or deny that a tax on wages is not a tax on sixteenth amendment Constitutional Income.
161. Admit or deny that a tax on wages would be a direct tax requiring apportionment because such a tax is not on unearned profit to which the sixteenth amendment's suspension of apportionment applies.
162. Admit or deny that calling a direct tax on wages a tax on Constitutional Income could be considered an act of fraud.
163. Admit or deny that these are the words of section 3402:
§3402. Income tax collected at source
(n) Employees incurring no income tax liability
Notwithstanding any other provision of this section, an employer shall not be required to deduct and withhold any tax under this chapter upon a payment of wages to an employee if there is in effect with respect to such payment a withholding allowance certificate (in such form and containing such other information as the Secretary may prescribe) furnished to the employer by the employee certifying that the employee—
(1) incurred no liability for income tax imposed under subtitle A for his preceding taxable year, and
(2) anticipates that he will incur no liability for income tax imposed under subtitle A for his current taxable year.
164. Admit or deny that withholding is not required if there is no Constitutional Income tax liability.
165. Admit or deny that a Constitutional Income tax liability would be a tax liability on gain or profit minus the costs of replacing the invested capital.
166. Admit or deny that these are the words of section 3401:
§3401. Definitions
(a) Wages
For purposes of this chapter, the term "wages" means all remuneration (other than fees paid to a public official) for services performed by an employee for his employer, including the cash value of all remuneration (including benefits) paid in any medium other than cash; except that such term shall not include remuneration paid—[...]
167. Admit or deny that wages are what an employee is paid by an employer.
168. Admit or deny that actually being paid statutory wages is subordinate to actually being paid by the statutory employer.
169. Admit or deny that these are the words of section 3401:
§3401. Definitions
(d) Employer
For purposes of this chapter, the term "employer" means the person for whom an individual performs or performed any service, of whatever nature, as the employee of such person, except that—[...]
170. Admit or deny that the statutory definition of employer is determined by the statutory definition of employee.
171. Admit or deny that these are the words of section 3401:
§3401. Definitions
(c) Employee
For purposes of this chapter, the term "employee" includes an officer, employee, or elected official of the United States, a State, or any political subdivision thereof, or the District of Columbia, or any agency or instrumentality of any one or more of the foregoing. The term "employee" also includes an officer of a corporation.
172. Admit or deny that this statutory definition of employee does not list the common usage, dictionary definition of employee.
173. Admit or deny that these are the words of the US Court of Appeals for the Sixth Circuit:
[I]t is well-settled law that when a statutory definition contradicts the everyday meaning of a word, the statutory language generally controls: judges should "construe legislation as it is written, not as it might be read by a layman."
Tenn. Prot. & Advocacy Inc. v. Wells, 371 F.3d 342 (6th Cir. 2004).
174. Admit or deny that the statutory definition in §3401(c) only lists people employed by the government, its agencies, or its instrumentalities.
175. Admit or deny that these are the words of the United States Supreme Court:
It is axiomatic that the statutory definition of the term excludes unstated meanings of that term. Cites omitted.
[...]
As judges, it is our duty to construe legislation as it is written, not as it might be read by a layman, or as it might be understood by someone who has not even read it.
Meese v. Keene, 481 U.S. 465, 485 (1987)
176. Admit or deny that the statutory definition in §3401(c) omits the common usage, dictionary definition of employee.
177. Admit or deny that these are the words of the United States Supreme Court:
In Broom's Legal Maxims,p. 450, it is said: "It is a rule laid down by Lord Bacon, that copulatio verborum indicat acceptationem in eodem sensu, -the coupling of words together shows that they are to be understood in the same sense. And where the meaning of any particular word is doubtful or obscure, ... the intention of the party who has made use of it may frequently be ascertained and carried unto effect by looking at the adjoining words."The same author says (p. 455): "In the construction of statutes, likewise, the rule noscitur a sociis is very frequently applied ; the meaning of a word, and, consequently, the intention of the legislature, being ascertained by reference to the context, and by considering whether the word in question and the surrounding words are, in fact, ejusdem generis, and referable to the same subject-matter."
Neal v. Clark, 95 U.S. 704, 708-09 (1878)
178. Admit or deny that the words used in the statutory definition in §3401(c) are all words referring to the same subject-matter, specifically people employed by the government, its agencies, or its instrumentalities.
179. Admit or deny that these are the words of section 7701:
Title 26 - INTERNAL REVENUE CODE
Subtitle F - Procedure and Administration
CHAPTER 79 - DEFINITIONS
(c) Includes and including
The terms "includes" and "including" when used in a definition contained in this title shall not be deemed to exclude other things otherwise within the meaning of the term defined.
180. Admit or deny that according to this statutory definition, things within the meaning of the term defined in section 3401; that is, people working for the government, its agencies, or its instrumentalities; shall not be excluded.
The Tennessee Valley Authority ( TVA) is a federally owned corporation in the United States created by congressional charter on May 18, 1933
181. Admit or deny that the Tennessee Valley Authority is a corporation that is an agency or instrumentality of the government.
182. Admit or deny that an officer of the Tennessee Valley Authority corporation is within the noscitur a sociis and ejusdem generis statutory construction and definition of a statutory employee as defined in §3401(c).
183. Admit or deny that an employee of the TVA would be within the meaning of the statutory employee defined in section 3401; that is, a person working for the government, its agencies, or its instrumentalities.
184. Admit or deny that these are the words of 15 USC §2651:
15 USC §2651 (b)
Any public or private employee or representative of employees who believes he or she has been fired or otherwise discriminated against in violation of subsection (a) may within 90 days after the alleged violation occurs apply to the Secretary of Labor for a review of the firing or alleged discrimination.
185. Admit or deny that these are the words of 38 USC §4323:
38 USC §4323 (a)(1) A person who receives from the Secretary a notification pursuant to section 4322(e) of this title of an unsuccessful effort to resolve a complaint relating to a State (as an employer) or a private employer may request that the Secretary refer the complaint to the Attorney General.
186. Admit or deny that Congress knows the difference between public and private employers and employees.
187. Admit or deny that these are the words of section 3402:
§3402. Income tax collected at source
(p) Voluntary withholding agreements
(3) Authority for other voluntary withholding
The Secretary is authorized by regulations to provide for withholding—
(A) from remuneration for services performed by an employee for the employee's employer which (without regard to this paragraph) does not constitute wages, and
(B) from any other type of payment with respect to which the Secretary finds that withholding would be appropriate under the provisions of this chapter,
if the employer and employee, or the person making and the person receiving such other type of payment, agree to such withholding. Such agreement shall be in such form and manner as the Secretary may by regulations prescribe. For purposes of this chapter (and so much of subtitle F as relates to this chapter), remuneration or other payments with respect to which such agreement is made shall be treated as if they were wages paid by an employer to an employee to the extent that such remuneration is paid or other payments are made during the period for which the agreement is in effect.
188. Admit or deny that non-codified persons making and receiving compensation for labor payments; making and receiving non-codified wages, can voluntarily have such revenue treated as codified wages by voluntary agreement.
189. Admit or deny that an agreement to allow withholding on non-taxable revenue is the voluntary withholding to which section 3402(p)(3) applies.
190. Admit or deny that these are words found in CFR 601.602:
26 CFR 601.602
Subpart F_Rules, Regulations, and Forms
Sec. 601.602 Tax forms and instructions.
(a) Tax return forms and instructions.
The tax system is based on voluntary compliance, and the taxpayers complete and return the forms with payment of any tax owed.
191. Admit or deny that these are the words of the United States Supreme Court:
Mark, of course, in saying this we are not here considering a tax not within the provisions of the Sixteenth Amendment, that is, one in which the regulation of apportionment or the rule of uniformity is wholly negligible because the tax is one entirely beyond the scope of the taxing power of Congress and where consequently no authority to impose a burden either direct or indirect exists.
Stanton v. Baltic Mining Co., 240 U.S. 103, 113 (1916)
192. Admit or deny that there are Constitutional restrictions regarding what can be taxed by Congress even after the ratification of the 16th Amendment.
W-9
193. Admit or deny that these words are in the instructions for the 2020 IRS Form W-4:
Privacy Act and Paperwork Reduction Act Notice.
You are not required to provide the information requested on a form that is subject to the Paperwork Reduction Act unless the form displays a valid OMB control number.
Click to view IRS Form W-9
194. Admit or deny that the IRS Form W-9 does not have an OMB control number.
195. Admit or deny that these are the words of 44 USC §3502:
SUBCHAPTER I - FEDERAL INFORMATION POLICY
§3502. Definitions
As used in this subchapter—
(3) the term "collection of information"—
(A) means the obtaining, causing to be obtained, soliciting, or requiring the disclosure to third parties or the public, of facts or opinions by or for an agency, regardless of form or format, calling for either—
(i) answers to identical questions posed to, or identical reporting or recordkeeping requirements imposed on, ten or more persons, other than agencies, instrumentalities, or employees of the United States; or
(ii) answers to questions posed to agencies, instrumentalities, or employees of the United States which are to be used for general statistical purposes; and
[...]
196. Admit or deny that requiring information to be shown on an IRS Form W-9 is a reporting requirement.
197. Admit or deny that these are the words of 44 USC §3506:
§3506. Federal agency responsibilities
(c) With respect to the collection of information and the control of paperwork, each agency shall—
(B) ensure that each information collection—
(iii) informs the person receiving the collection of information of—
(V) the fact that an agency may not conduct or sponsor, and a person is not required to respond to, a collection of information unless it displays a valid control number;
198. Admit or deny that a domestic American is not required to fill an IRS Form W-9 because it does not have a valid OMB control number.
199. Admit or deny that these are the words of 44 USC §3512:
§3512. Public protection
(a) Notwithstanding any other provision of law, no person shall be subject to any penalty for failing to comply with a collection of information that is subject to this subchapter if—
(1) the collection of information does not display a valid control number assigned by the Director in accordance with this subchapter; or
(2) the agency fails to inform the person who is to respond to the collection of information that such person is not required to respond to the collection of information unless it displays a valid control number.
(b) The protection provided by this section may be raised in the form of a complete defense, bar, or otherwise at any time during the agency administrative process or judicial action applicable thereto.
200. Admit or deny that there is no penalty to be imposed on a non employee performing labor for their clients within the United States for refusing to fill out an IRS Form W-9.
Statute Requirements
201. Admit or deny that these are the words of the United States Supreme Court:
“It is elementary law that every statute is to be read in the light of the Constitution. However broad and general its language it cannot be interpreted as extending beyond those matters which it was within the constitutional power of the legislature to reach.”
McCullough v. Virginia, 172 U.S. 102, 112 (1898)
202. Admit or deny that It is elementary law that every code statute is to be read in the light of the Constitution.
203. Admit or deny that Constitutional interpretation limits the reach of Congressional statutes.
204. Admit or deny that these words are contained within section 7805:
Title 26 - INTERNAL REVENUE CODE
Subtitle F - Procedure and Administration
CHAPTER 80 - GENERAL RULES
Subchapter A - Application of Internal Revenue Laws
§7805. Rules and regulations
(a) Authorization
Except where such authority is expressly given by this title to any person other than an officer or employee of the Treasury Department, the Secretary shall prescribe all needful rules and regulations for the enforcement of this title, including all rules and regulations as may be necessary by reason of any alteration of law in relation to internal revenue.
205. Admit or deny that by way of this section Congress has authorized the Secretary of Treasury to make tax regulations.
206. Admit or deny that in making regulations interpreting the sections, the Secretary's regulations must not extend beyond the constitutional power of the legislature.
1939 Tax Code ⇒ Present Tax Code
207. Admit or deny that these words are contained in the Front Matter of Title 26 of the United States Code aka the Internal Revenue Code of 1986:
The following tables have been prepared as aids in comparing provisions of the Internal Revenue Code of 1954 (redesignated the Internal Revenue Code of 1986 by Pub. L. 99–514, §2, Oct. 22, 1986, 100 Stat. 2095 ) with provisions of the Internal Revenue Code of 1939.
208. Admit or deny that these cross references are contained in the Front Matter of Title 26 of the United States Code aka the Internal Revenue Code of 1986:
209. Admit or deny that these are the words of the United States Senate Committee on finance dated June 18, 1954:
1986 Code section number 1939 Code section number 1 11, 12(b)(3), (c), (f) 63 21 61 22(a) 861 119(a), (b), (e) 862 119(c), (d), (e) 863 119(e) 864 119(f)
H. R. 8300
This section corresponds to section 22(a) of the 1939 Code. While the language in existing section 22 (a) has been simplified, the all-inclusive nature of statutory gross income has not been affected thereby. Section 61 (a) is as broad in scope as section 22 (a).
210. Admit or deny that these are the words of the United States House of Representatives Committee on Ways and Means dated March 9, 1954:
H. R. 8300
This section corresponds to section 22(a) of the 1939 Code. While the language in existing section 22 (a) has been simplified, the all-inclusive nature of statutory gross income has not been affected thereby. Section 61 (a) is as broad in scope as section 22 (a).
211. Admit or deny that these words are contained in the 1939 tax code:
SEC. 11. NORMAL TAX ON INDIVIDUALS.
There shall be levied, collected, and paid for each taxable year upon the net income of every individual a normal tax of 4 per centum of the amount of the net income in excess of the credits against net income provided in section 25.
212. Admit or deny that these words are contained in the 1939 tax code:
SEC. 21. NET INCOME.
"Net income" means the gross income computed under section 22, less the deductions allowed by section 23
213. Admit or deny that these words are contained in the 1939 tax code:
SEC. 22. GROSS INCOME.
(a) GENERAL DEFINITION.-"Gross income" includes gains, profits, and income derived from salaries, wages, or compensation for personal service, of whatever kind and in whatever form paid, or from professions, vocations, trades, businesses, commerce, or sales, or dealings in property, whether real or personal, growing out of the ownership or use of or interest in such property; also from interest, rent, dividends, securities, or the transaction of any business carried on for gain or profit, or gains or profits and income derived from any source whatever.
214. Admit or deny that these are the words contained in the regulations under former section 21:
§ 39.21—1 Meaning of net income
(a) The tax imposed by chapter 1 is upon income. Neither income exempted by statute or fundamental law, nor expenses incurred in connection therewith, other than interest, enter into the computation of net income as defined by section 21.
215. Admit or deny that this former regulation notified the public that some income is not taxable because of fundamental law (the Constitution).
216. Admit or deny that these are the words contained in the regulations under former section 22:
§ 39.22 (a)—1 What included in gross income
(a) Gross income includes in general compensation for personal and professional services, business income, profits from sales of and dealings in property, interest, rent, dividends, and gains, profits, and income derived from any source whatever, unless exempt from tax by law. See sections 22(b) and 116. In general, income is the gain derived from capital, from labor, or from both combined, provided it be understood to include profit gained through a sale or conversion of capital assets. Profits of citizens, residents, or domestic corporations derived from sales in foreign commerce must be included in their gross income; but special provisions are made for nonresident aliens and foreign corporations by sections 211 to 238, inclusive, and, in certain cases, by section 251, for citizens and domestic corporations deriving income from sources within possessions of the United States. Income may be in the form of cash or of property.
§ 39.22 (b)—1 Exemptions; exclusions from gross income
Certain items of income specified in section 22(b) are exempt from tax and may be excluded from gross income. These items, however, are exempt only to the extent and in the amount specified. No other items are exempt from gross income except (a) those items of income which are, under the Constitution, not taxable by the Federal Government;
217. Admit or deny that these former regulations notified the public that some income is not taxable because of fundamental law; because of the Constitution.
218. Admit or deny that these promulgated notifications to the public by way of these regulations was after the ratification of the 16th Amendment.
219. Admit or deny that the constitution only allows tax without apportionment on profit or gain from unearned revenues after subtracting the costs of replacing the invested capital.
Taxable Sources
220. Admit or deny that these words are contained within section 861:
Title 26 - INTERNAL REVENUE CODE
Subtitle A - Income Taxes
CHAPTER 1 - NORMAL TAXES AND SURTAXES
Subchapter N - Tax Based on Income From Sources Within or Without the United States
PART I - SOURCE RULES AND OTHER GENERAL RULES RELATING TO FOREIGN INCOME
§861. Income from sources within the United States
(a) Gross income from sources within United States
The following items of gross income shall be treated as income from sources within the United States:
(1) - (9) [Not shown]
(b) Taxable income from sources within United States
From the items of gross income specified in subsection (a) as being income from sources within the United States there shall be deducted the expenses, losses, and other deductions properly apportioned or allocated thereto and a ratable part of any expenses, losses, or other deductions which cannot definitely be allocated to some item or class of gross income. The remainder, if any, shall be included in full as taxable income from sources within the United States.
221. Admit or deny that these words are contained within CFR section 1.861-1:
Title 26
Chapter I
Subchapter A
Part 1
§1.861-1 Income from sources within the United States.
(a) Categories of income. Part I (section 861 and following), subchapter N, chapter 1 of the Code, and the regulations thereunder determine the sources of income for purposes of the income tax.
[...]
See §§1.861-8 and 1.863-1.
[...]
(f)(3)(b)(ii) Relationship of sections 861, 862, 863(a), and 863(b).
Sections 861, 862, 863(a), and 863(b) are the four provisions applicable in determining taxable income from specific sources. Each of these four provisions applies independently.
222. Admit or deny that section 861 and the regulations thereunder determine the sources of income for purposes of the income tax.
223. Admit or deny that section 861 (and its regulations thereunder) applies independently.
224. Admit or deny regulation §1.861-1, informs that regulation 1.861-8 is to be used for determining taxable income from sources within the United States.
225. Admit or deny that these words are contained within CFR section 1.862-1:
Title 26
Chapter I
Subchapter A
Part 1
§1.862-1 Income specifically from sources without the United States.
(b) Taxable income. The taxable income from sources without the United States, in the case of the items of gross income specified in paragraph (a) of this section, shall be determined on the same basis as that used in §1.861-8 for determining the taxable income from sources within the United States.
226. Admit or deny that these words are contained within CFR section 1.863-1:
Title 26
Chapter I
Subchapter A
Part 1
§1.863-1 Allocation of gross income under section 863(a).
(c) Determination of taxable income. The taxpayer's taxable income from sources within or without the United States will be determined under the rules of §§1.861-8 through 1.861-14T for determining taxable income from sources within the United States.
227. Admit or deny regulations §1.861-1, §1.862-1 & §1.863-1 inform that regulation 1.861-8 is to be used for determining taxable income from sources within or without the United States.
228. Admit or deny that the following ten quotes are words contained within CFR sections 1.861-8 & 1.861-8T:
Title 26
Chapter I
Subchapter A
Part 1
§1.861-8 Computation of taxable income from sources within the United States and from other sources and activities.
(a) In general—(1) Scope. Sections 861(b) and 863(a) state in general terms how to determine taxable income of a taxpayer from sources within the United States after gross income from sources within the United States has been determined. Sections 862(b) and 863(a) state in general terms how to determine taxable income of a taxpayer from sources without the United States after gross income from sources without the United States has been determined. This section provides specific guidance for applying the cited Code sections by prescribing rules for the allocation and apportionment of expenses, losses, and other deductions (referred to collectively in this section as “deductions”) of the taxpayer. The rules contained in this section apply in determining taxable income of the taxpayer from specific sources and activities under other sections of the Code, referred to in this section as operative sections. See paragraph (f)(1) of this section for a list and description of operative sections.
229. Admit or deny that this section gives specific guidance for determining taxable income from sources within the United States.
230. Admit or deny that the rules contained in this section apply in determining taxable income from specific sources and activities.
231. Admit or deny that the specific guidance of this regulation overrides section 61 and overrides regulation 1.61-1 per regulation 1.61-1.
Title 26
Chapter I
Subchapter A
Part 1
§1.861-8 Computation of taxable income from sources within the United States and from other sources and activities.
(a)(2) Allocation and apportionment of deductions in general. A taxpayer to which this section applies is required to allocate deductions to a class of gross income and, then, if necessary to make the determination required by the operative section of the Code, to apportion deductions within the class of gross income between the statutory grouping of gross income (or among the statutory groupings) and the residual grouping of gross income.
[...]
(a)(3) Class of gross income. For purposes of this section, the gross income to which a specific deduction is definitely related is referred to as a “class of gross income” and may consist of one or more items (or subdivisions of these items) of gross income enumerated in section 61, namely:
[...]
232. Admit or deny that A taxpayer to which this section applies is any Subtitle A taxpayer.
Title 26
Chapter I
Subchapter A
Part 1
§1.861-8 Computation of taxable income from sources within the United States and from other sources and activities.
(a)(4) Statutory grouping of gross income and residual grouping of gross income. For purposes of this section, the term “statutory grouping of gross income” or “statutory grouping” means the gross income from a specific source or activity which must first be determined in order to arrive at “taxable income” from which specific source or activity under an operative section. (See paragraph (f)(1) of this section.) Gross income from other sources or activities is referred to as the “residual grouping of gross income” or “residual grouping.” In some instances, where the operative section so requires, the statutory grouping or the residual grouping may include, or consist entirely of, excluded income. See paragraph (d)(2) of this section with respect to the allocation and apportionment of deductions to excluded income.
233. Admit or deny that income that is not within a statutory grouping is income that is in a residual grouping.
234. Admit or deny that the statutory grouping or the residual grouping may include, or consist entirely of, excluded income.
Title 26
Chapter I
Subchapter A
Part 1
§1.861-8 Computation of taxable income from sources within the United States and from other sources and activities.
(b) Allocation—(1) In general. For purposes of this section, the gross income to which a specific deduction is definitely related is referred to as a “class of gross income” and may consist of one or more items of gross income. The rules emphasize the factual relationship between the deduction and a class of gross income. See paragraph (d)(1) of this section which provides that in a taxable year there may be no item of gross income in a class or less gross income than deductions allocated to the class, and paragraph (d)(2) of this section which provides that a class of gross income may include excluded income.
[...]
235. Admit or deny that a class of gross income may include excluded income.
Title 26
Chapter I
Subchapter A
Part 1
§1.861-8 Computation of taxable income from sources within the United States and from other sources and activities.
(d) Excess of deductions and excluded and eliminated income—
(2) Allocation and apportionment to exempt, excluded, or eliminated income—
(i) In general. For further guidance, see §1.861-8T(d)(2)(i).
Title 26
Chapter I
Subchapter A
Part 1
§1.861-8T Computation of taxable income from sources within the United States and from other sources and activities (temporary).
(d) Excess of deductions and excluded and eliminated items of income.
(2) Allocation and apportionment to exempt, excluded or eliminated income—
(i) In general. In the case of taxable years beginning after December 31, 1986, except to the extent otherwise permitted by §1.861-13T, the following rules shall apply to take account of income that is exempt or excluded, or assets generating such income, with respect to allocation and apportionment of deductions.
236. Admit or deny that income that is exempt or excluded, or assets generating such income, is to be taken into account.
Title 26
Chapter I
Subchapter A
Part 1
§1.861-8 Computation of taxable income from sources within the United States and from other sources and activities.
(d) Excess of deductions and excluded and eliminated income—
(2) Allocation and apportionment to exempt, excluded, or eliminated income—
(ii) Exempt income and exempt asset defined—
(A) In general. For purposes of this section, the term exempt income means any gross income to the extent that it is exempt, excluded, or eliminated for Federal income tax purposes. The term exempt asset means any asset to the extent income from the asset is (or is treated as under paragraph (d)(2)(ii)(B) or (C) of this section) exempt, excluded, or eliminated for Federal income tax purposes.
[...]
(iii) Income that is not considered tax exempt. For further guidance, see §1.861-8T(d)(2)(iii).
237. Admit or deny that income from an exempt source is exempt income.
238. Admit or deny that exempt income is income that is not to be used for Federal income tax purposes.
239. Admit or deny that income from an exempt source is income not required to be reported on a Form 1040, per the Form 1040 instructions. See question 25.
240. Admit or deny that any gross income that it is exempt, excluded, or eliminated for Federal income tax purposes is income not required to be reported on a Form 1040, per the Form 1040 instructions. See question 25.
Title 26
Chapter I
Subchapter A
Part 1
§1.861-8T Computation of taxable income from sources within the United States and from other sources and activities (temporary).
(d) Excess of deductions and excluded and eliminated items of income.
(2) Allocation and apportionment to exempt, excluded or eliminated income—
(iii) Income that is not considered tax exempt. The following items are not considered to be exempt, eliminated, or excluded income and, thus, may have expenses, losses, or other deductions allocated and apportioned to them:
(A) In the case of a foreign taxpayer (including a foreign sales corporation (FSC)) computing its effectively connected income, gross income (whether domestic or foreign source) which is not effectively connected to the conduct of a United States trade or business;
(B) In computing the combined taxable income of a DISC or FSC and its related supplier, the gross income of a DISC or a FSC; and
(C) For further guidance, see §1.861-8(d)(2)(iii)(C) through (E).
(D)-(E) [Reserved]
241. Admit or deny that tax exempt means not taxable.
242. Admit or deny that not considered tax exempt means considered taxable.
243. Admit or deny that the regulations for determining what is not tax exempt (that is, for determining what is taxable) does not specify income from sources inside the United States for people living and working solely within any of the 50 States united, in alignment and corresponding with the missing Form 1040 instructions regarding income from sources inside the United States. See question 32.
Title 26
Chapter I
Subchapter A
Part 1
§1.861-8 Computation of taxable income from sources within the United States and from other sources and activities.
(A) For further guidance, see §1.861-8T(d)(2)(iii)(A) and (B).
(B) [Reserved]
(C) Dividends for which a deduction is allowed under section 245A;
(D) Foreign earned income as defined in section 911 (however, the rules of §1.911-6 do not require the allocation and apportionment of certain deductions, including home mortgage interest, to foreign earned income for purposes of determining the deductions disallowed under section 911(d)(6)); and
(E) Inclusions for which a deduction is allowed under section 965(c). See §1.965-6(c).
244. Admit or deny that section 245 is about dividends received from certain foreign corporations. Click for source.
245. Admit or deny that this section corresponds with Form 1040's missing instructions to include income from sources inside the United States.
246. Admit or deny that this section corresponds with Publication 525's missing instructions to include income from sources inside the United States.
Title 26
Chapter I
Subchapter A
Part 1
§1.861-8 Computation of taxable income from sources within the United States and from other sources and activities.
(f) Miscellaneous matters—(1) Operative sections. The operative sections of the Code which require the determination of taxable income of the taxpayer from specific sources or activities and which give rise to statutory groupings to which this section is applicable include the sections described below.
(i) [Reserved]
(ii) Separate foreign tax credit limitations. Section 904(d)(1) [...]
(iii) DISC and FSC taxable income. Sections 925 and 994 [...]
(iv) Effectively connected taxable income. Nonresident alien individuals and foreign corporations engaged in trade or business within the United States, under sections 871(b)(1) and 882(a)(1), [...]
(v) Foreign base company income. Section 954 [...]
(vi) Other operative sections. The rules provided in this section also apply in determining—
(A) The amount of foreign source items [...]
(B) 901(e);
(C) [Reserved]
(D) [...] 907;
(E) [...] 931 and [...] 936
(F) [...] 933;
(G) [...] 934
(H) [...] 935
(I) [...] 941;
(J) [...] 952(b);
(K) [...] 953(b)(5);
(L) [...] 999;
(M) The taxable income attributable to the operation of an agreement vessel under section 607 of the Merchant Marine Act of 1936, as amended, and the Capital Construction Fund Regulations thereunder (26 CFR, part 3). See 26 CFR 3.2(b)(3).
PART II - NONRESIDENT ALIENS AND FOREIGN CORPORATIONS (Sections 871 - 898)
PART III - INCOME FROM SOURCES WITHOUT THE UNITED STATES (Sections 901 - 989)
PART V -INTERNATIONAL BOYCOTT DETERMINATIONS (Sections 999 - 1000)
247. Admit or deny that the sections listed as operative sections are all related to international considerations.
248. Admit or deny that as the terms are used in this section, statutory groupings and operative sections are synonymous with, and related to, matters of international considerations.
Merchant Marine Act of 1936
Sec. 607. (a) Every contract for an operating-differential subsidy made under authority of this title shall provide that the contractor shall be entitled to annually withdraw from net earnings of subsidized vessels and services incident thereto as profit, if the contractor is a natural person or a partnership, or may pay to its share-holders or stockholders, as dividends, if the contractor is an association or corporation, a sum not in excess of 10 per centumn per annum on the contractor's capital necessarily employed in his business, except subject to the further provisions of this section which likewise shall be incorporated in such contract.
249. Admit or deny that the MMA of 1936 has no bearing on compensation for labor within any of the 50 States united.
§1.992-1 Requirements of a DISC.
(a) “DISC” defined. The term “DISC” refers to a domestic international sales corporation.
250. Admit or deny that a DISC is a Domestic International Sales Corporation.
§1.921-2 Foreign Sales Corporation—general rules.
(a) Definition of a FSC and the Effect of a FSC Election.
Q-1. What is the definition of a Foreign Sales Corporation (hereinafter referred to as a “FSC” (All references to FSCs include small FSCs unless indicated otherwise))?
A-1. As defined in section 922(a), an FSC must satisfy the following eight requirements.
251. Admit or deny that an FSC is a Foreign Sales Corporation.
Bank and Wage Levy
§6331. Levy and distraint
(a) Authority of Secretary
If any person liable to pay any tax neglects or refuses to pay the same within 10 days after notice and demand, it shall be lawful for the Secretary to collect such tax (and such further sum as shall be sufficient to cover the expenses of the levy) by levy upon all property and rights to property (except such property as is exempt under section 6334) belonging to such person or on which there is a lien provided in this chapter for the payment of such tax. Levy may be made upon the accrued salary or wages of any officer, employee, or elected official, of the United States, the District of Columbia, or any agency or instrumentality of the United States or the District of Columbia, by serving a notice of levy on the employer (as defined in section 3401(d)) of such officer, employee, or elected official.
252. Admit or deny that per the inspection of section 3401 above, this section only allows levy upon government employees. See questions 172 - 180 inclusive.
253. Admit or deny that this is a reasonable facsimile of form 668-B:
Click to view IRS Form 688-B
254. Admit or deny that Form 668-B(ICS) (Rev. May 2003) does show section 6331(a).
255. Admit or deny that this is a reasonable facsimile of form 668-A:
Click to view IRS Form 688-A
256. Admit or deny that Form 668-A(ICS) (Rev. July 2002) does not show section 6331(a).
257. Admit or deny that this is a reasonable facsimile of form 668-W (wage levy):
Click to view IRS Form 688-W
258. Admit or deny that Form 668-W(ICS) (April 2018) does not show section 6331(a).
259. Admit or deny that such omissions could be construed as an act of fraud.
Penalty Section
260. Admit or deny that these words are contained within section 7203:
Title 26 - INTERNAL REVENUE CODE
Subtitle F - Procedure and Administration
CHAPTER 75 - CRIMES, OTHER OFFENSES, AND FORFEITURES
Subchapter A - Crimes
§7203. Willful failure to file return, supply information, or pay tax
Any person required under this title to pay any estimated tax or tax, or required by this title or by regulations made under authority thereof to make a return, keep any records, or supply any information, who willfully fails to pay such estimated tax or tax, make such return, keep such records, or supply such information, at the time or times required by law or regulations, shall, in addition to other penalties provided by law, be guilty of a misdemeanor and, upon conviction thereof, shall be fined not more than $25,000 ($100,000 in the case of a corporation), or imprisoned not more than 1 year, or both, together with the costs of prosecution. [...]
261. Admit or deny that triggering of this section is subordinate to any person actually having a requirement to pay such estimated tax or tax, make such return, keep such records, or supply such information and failing to do so.
262. Admit or deny that these words are on page 100 of the 2019 IRS Form 1040 instructions:
Disclosure, Privacy Act, and Paperwork Reduction Act Notice
Our legal right to ask for information is Internal Revenue Code sections 6001, 6011, and 6012(a), and their regulations. They say that you must file a return or statement with us for any tax you are liable for. Your response is mandatory under these sections. Code section 6109 requires you to provide your identifying number on the return.
263. Admit or deny that the requirement to file a return or statement is subordinate to actually being liable for any (income) tax.
264. Admit or deny that these words are contained within section 6001:
§6001. Notice or regulations requiring records, statements, and special returns
Every person liable for any tax imposed by this title, or for the collection thereof, shall keep such records, render such statements, make such returns, and comply with such rules and regulations as the Secretary may from time to time prescribe.
265. Admit or deny that the requirement to file a return or statement is subordinate to actually being liable for any (income) tax.
266. Admit or deny that these words are contained within section 6011:
§6011. General requirement of return, statement, or list
(a) General rule
When required by regulations prescribed by the Secretary any person made liable for any tax imposed by this title, or with respect to the collection thereof, shall make a return or statement according to the forms and regulations prescribed by the Secretary. Every person required to make a return or statement shall include therein the information required by such forms or regulations.
267. Admit or deny that the requirement to file a return or statement is subordinate to actually being made liable for any (income) tax.
268. Admit or deny that these words are contained within subsection 6012(a):
§6012. Persons required to make returns of income
(a) General rule
Returns with respect to income taxes under subtitle A shall be made by the following:
(1)(A) Every individual having for the taxable year gross income which equals or exceeds the exemption amount, except that a return shall not be required of an individual—
269. Admit or deny that the requirement to make a return for income taxes is subordinate to actually having gross Constitutional Income.
270. Admit or deny that gross Constitutional Income is receipts prior to deduction of amounts sufficient to restore the capital consumed in creating the gain.
Cheek
271. Admit or deny that these are the words of the United States Supreme Court:
Held:1.
A good-faith misunderstanding of the law or a good-faith belief that one is not violating the law negates willfulness, whether or not the claimed belief or misunderstanding is objectively reasonable. Statutory willfulness, which protects the average citizen from prosecution for innocent mistakes made due to the complexity of the tax laws, United States v. Murdock, 290 U. S. 389, is the voluntary, intentional violation of a known legal duty. United States v. Pomponio, 429 U. S. 10. Thus, if the jury credited Cheek's assertion that he truly believed that the Code did not treat wages as income, the Government would not have carried its burden to prove willfulness, however unreasonable a court might deem such a belief. Characterizing a belief as objectively unreasonable transforms what is normally a factual inquiry into a legal one, thus preventing a jury from considering it. And forbidding a jury to consider evidence that might negate willfulness would raise a serious question under the Sixth Amendment's jury trial provision, which this interpretation of the statute avoids. Of course, in deciding whether to credit Cheek's claim, the jury is free to consider any admissible evidence showing that he had knowledge of his legal duties.
Cheek v. United States, 498 U.S. 192 (1991)
272. Admit or deny that statutory willfulness is the voluntary, intentional violation of a known legal duty.
273. Admit or deny that If it is law, it will be found in our books; if it is not to be found there, it is not law as stated in Boyd v. United States applies to whether a legal duty can be known if it is not found in the law books.
274. Admit or deny that the existence of this web page & web site is evidence of a due diligence search through the law to find the alleged legal duty in the law (books).