CONTEXT: Many anons appear to need a bit of a nudge or help in pushing back legally and Constitutionally against the IRS over-reach in a LOW RISK, non confrontational way. There appears to be a "Breach in the IRS Wall" created by W. Virginia v EPA (2022) and it is time to ATTACK now.
DISCLAIMER: Not legal or financial advice; Suggested DRAFT is for teaching purposes only (as an example) and must be modified for each individual case circumstances in consultation with your accountant and/or lawyer as applicable. DISCLAIMER also applies to all comments attached to this post.
Annotations and explanation in BOLD
---------------------------------------------LETTER START-------------------------------------
[Your address]_________________________________________[Date]
[IRS Office that deals with you]
RE: [Case Info]
Dear IRS,
Be respectful and professional. This is a effectively a letter dealing with individual, personal business with this government entity.
It has come to my attention that IRS (Federal) taxation of my labor may be unconstitutional. A brief review of Constitutional Law and the national vs federal structure of the state and federal governments in our Constitutional Republic indicates that the IRS may collect ONLY indirect taxes from state citizens, of which I am one. The overall flow of labor tax payments per the structure of the American Constitutional Republic is from individual state citizen to state, then state to Federal government, NOT individual state citizen to the Federal government.
Introduction of the issue and establishment of your status as a "state citizen", putting you outside their direct tax jurisdiction. Sauce "Federalist Papers No. 39 (1776)": https://billofrightsinstitute.org/primary-sources/federalist-no-39 [explanation in his own words by one of the 3 authors of the 1788 Constitution, James Madison]
While I concede that the IRS may have specific legislatively-granted instructions from the the Congress to collect specific taxes on their behalf, these appear to be limited. Per Constitutionally approved legislation, the IRS appears to be able to collect a tax on labor from 1. Federal employee labor, 2. labor performed on Federal lands, and 3. labor performed via jobs listed on the Federal excise tax list. I hereby claim that my labor is NONE of these.
Review of Constitutionally-approved limit to IRS authority for direct labor tax collection from individuals, itemized. Declaration that your labor is not in list. Sauce: "1913 Congressional Record, Vol L, Part 4 pg. 3844": https://capitalvsincome.com/what-is-capital/ [BLOCKED if IP not US/Canada]
In addition, it appears that the recent SCOTUS precedent established in West Virginia v EPA (2022) also applies to the IRS as an Article II entity. This case established as LAW that an Article II entity (Executive Branch) may NOT usurp the Constitutional powers of either an Article I entity (Congress) NOR an Article III entity (Judiciary) per the Constitution and Separation of Powers Doctrine. And your letter to me declaring a "penalty and payment due" per "violation of IRS tax rule XX" is admissible evidence of usurpation of both.
Veiled threat and notice that if the IRS gives you standing by continuing their current actions and inflicting "harm" on you by their actions, you may sue them in Federal District Court for $402 filing fee over this specific matter to resolve it if necessary. The letter they sent is the only evidence you need to win your case. Sauce https://www.supremecourt.gov/opinions/21pdf/20-1530_n758.pdf
With the two above points in mind, I humbly request IRS assistance in resolution of the tax dispute you have presented to me. I hereby request that the IRS review this case as a potential error or your part. Further, I request that the IRS make any adjustments determined to be required in order to ensure Constitutional compliance with all IRS actions in this matter; and going forward into the future regarding interactions with me or any of my family members sharing my Last Name.
Here is your ASK. You are not instructing them or demanding they do anything. You are manufacturing their consent to get them to take action to correct the situation. You are not asking them to admit anything, you are just asking that they "make it go away" at their own discretion per an "error" or any other reason they choose to come up with.
Lastly, I request that the IRS issue or request that the Treasury Department issue a check in the amount of $1000 payable to me out of the "Litigation and Settlement Fund" or other similar budget for my labor consumed working as a defacto "Private Investigator" in dealing with an issue that may be your error. And when sending me a tax form for Tax Year 2023 related to this $1000 payment you will please note that it is untaxable as labor, and it is indeed NOT "income", as "Private Investigator" is not on the Federal excise tax list.
Legitimate request for compensation of your labor per you doing their job for them in the capacity as a "Private Investigator". If needed you may supply them with an invoice at a labor rate of $71.43/hr for 14 hours of labor. Note $71/hr is near a typical Per Diem number and well below a typical $200/hr lawyer labor rate. Sauce: "SCOTUS Case Law on 'What is Income?' ": https://foundationfortruthinlaw.org/Files/11-IRS-Documents/US-Supreme-Ct-Question-on-Income.pdf
Loyal citizen of the Constitutional Republic,
Be courteous, but forceful. You are defending the Republic.
[Your name]
[Your Signature, preferrably blue ink with 207 pen]
[List of Attachments, if any]
-----------------------------------------------LETTER END------------------------------------
Send letter via certified mail with return receipt, estimated cost $8 plus cost to make any copies
How to correct your W-2 via form 4852, Adjust W-4, and potentially file amended returns going back 5 Tax Years to get most of payroll tax deductions refunded from the IRS: https://greatawakening.win/p/16aA4T1R4C/success-constitutional-action-ag/c/
Case to use for Rights: Hale v Henkel (1906): https://supreme.justia.com/cases/federal/us/201/43/
Case to use for Standing: Lujen v Defenders of Wildlife (1992): https://supreme.justia.com/cases/federal/us/504/555/
Case to use to get any law or action ruled unconstitutional: Marbury v Madison (1803): https://www.archives.gov/milestone-documents/marbury-v-madison
Case to use to get any law or action ruled unconstitutional, from the beginning (ab initio): Hubbard et al. v Lowe (1915)
What makes you think any of these people care about what is legal? They will make your life a living hell and charge you more if you are late. Look what they did to people standing in the capital building between the ropes
Until we actually get control nothing is going to change. I’m personally sick of paying the government a monthly fee to own my own house. That has to be unconstitutional as well.
The only thing you can do is try and see what works, fren. Provide the incentive (or threat) for them to change. They not going to do it on their own.
Your government has declared war on you and wants to murder you and take all of your assets. The only question is: "Are you going to fight, or not?"
A non outwardly confrontational letter may be the best way to push back on them to avoid them targeting you. If you wish, you may make a payment along with letter, and then ask for a refund later if needed. Sometimes a portion of the "payment due" like 10% will suffice as a "goodwill deposit" to keep them from targeting you aggressively.
Think of them as local mafia boss trying to extract "his cut". They know that if they push too hard they end up in a neighborhood mafia civil war, so the smart ones will recognize the limits of how hard they can squeeze when seeing this sort of pushback.
Well isn't this interesting....
-Anon dressed as Spartacus
This is interesting but remember the IRS can lock your bank account, freeze your credit cards and harass you for years while you starve to death. I KNOW of what I speak and it is hard to get a tax lawyer to take you case when you have no way to pay him! Jus sayin if the kick the dragon, be prepared to get scorched!
They can't freeze your crypto.
They can play whackamole with your offramps. You aren’t wrong though. Need to develop an argument that crypto on the blockchain isnt in their jurisdiction. Capital gains on crypto is not applied uniformly especially with some states like NY and their bitlicense nonsense which restricts what services are available in certain jurisdictions but not others.
Note that the "do you have any digital assets?" question is just that, a question. Do not answer any questions on the 1040 form because they are not LAW. Just put the numbers in. If you have capital gains from crypto you can report them as other capital gains without details and just pay capital gains tax owed on this INCOME.
The battle over IRS rules on crypto will be long and painful. Best just to reign them in by challenging the Constitutionality of ALL their rules, imo. This forces them to try to pass actual legislation for EACH and EVERY specific tax. They do not have blanket rule-making authority as these are NOT legally enforcable LAW per West Virginia v EPA. It is usurpation of Congress.
Understood. The best countermeasures against the IRS is to setup an LLC. You can move assets into the LLC and be "off the radar" in the case of severe attack. LLC has its own bank account, credit card, etc. AND the LLC can own a house, pay for all the utilities, and then rent it to you for a nominal monthly fee (which might just be your yearly capital contribution into the LLC that you own divided by 12).
The best structure is 95%/5% ownership with a family member incorporated in Delaware with an operational setup as a "foreign" LLC in your current state.
If you make it a Delaware LLC you can force them to set a precedent that would allow the seizure of the 90% of the assets of the US elites now held in Delaware corporations and LLCs in the event they try to seize your LLC assets.
At this point I believe shielding yourself with an LLC is the only real protection against the biomedical security state.
Do you have to have an “issue” or could this be used to simply get out of paying taxes altogether, since most of our income doesn’t fall within one of the 3 categories listed above?
Simple answer is you won't have standing to sue them, and thus limited "leverage" unless they are coming after you and you are defending yourself.
Until there is an injuction against them to stop them from collecting "income" directly from all state citizens, they can legally claim to they have been instructed to collect "inocme", but not tax on "labor capital."
This means all capital gains are still "income", and any proceeds from Federal programs or Federally-subsidized programs such as 401k, IRA, SS, Medicare, etc. AND Business income falls into this category.
If you own a small business the effect of using the untaxable "labor capital" against them is to increase what you compensate yourself for labor, but you have to weigh that against additional state fees and SS, Medicare FICA that would then get taken out as well. States have full authority to tax both labor and income per their state tax rules as things stand.
You can legally opt out of Social Security and Medicare via becoming a state national, but you give up any potential benefits as well when you do this. However, if you want to litigate against any state or Fed gov't entity it is best to not become a state national until litigation is done.
Thank you for all of the info!
You don't have to sue them to get paid payroll tax back. All you have to do is correct your W-2 via Form 4852 and ask them to return it. They can always so no, and then you might have to sue them. If they say "no" and do not refund it, you now have standing to sue and your case victory is a slam-dunk AND the IRS has to pay all your legal fees after you win.
Change your W-4 to "EXEMPT" to prevent Federal deductions from your paycheck going forward. You will have to do this EACH year until we can pressure the corporations or accounting firms to make the default "EXEMPT". This will be the issue in future litigation and possibly may be made moot if the House of Rep passes "IRS Reform" legislation which appears to be in DRAFT form. You can check Congressional Record to see what is going on with that.
Very interesting, does marking exempt make them come after you for failing to pay enough taxes?
Possibly. Just be prepared with this letter. You can even write it ahead of time if needed. Be prepared to stand your ground and fight. The IRS is not going to just give up as we dismantle them piece by piece.
As noted in other comments, you should be prepared to spend some of the money you get back to defend yourself. However, keep in mind that if you file a lawsuit in Federal District Court, learn the above law, and go Pro/Se (without a laywer), your total cost will be ~$1900 or ~$2500 if you file an appeal to the Circuit Court. Circuit Courts appear to following the Constitution and love smacking down Federal overreach.
Note that there is no such thing according the IRS. If they could collect 300% of "income taxes owed" by deploying armed IRS agents, they would gladly do that in a second. It is not "enough" until they have all your assets and all inheritances.
LOVE IT! Thanks
More questions:
How are you calculating the values to report in sections 7 and 8? My guess is you’re claiming the info to be incorrect. I’m curious how you’re applying your thesis from WV vs EPA to determine the corrected values.
Similarly, what are your rationales provided for sections 9 and 10?
One more: When we consider capital gains, if we’re talking about crypto held and transacted on the blockchain exclusively. Do you think there is an argument to be made that the assets exist in a foreign jurisdiction (ie Ethereum mainnet). Have considered amending my returns on a 2555 form to restate the gains on item 23 as Other Foriegn Earned Income to reap the $112,000 exemptions.
All numbers above are thrown in as reasonable examples. You may modify as you think you can justify if IRS calls you out.
You may add rationale as needed. I dropped some sauce with links on sources you may use to modify the language for your specific situation.
TBD on application of West Virginia vs EPA. IRS appears to be terrified of it. They back down immediately and give me whatever I demand when I mention it.
Very difficult to find loopholes in the IRS rules regarding crypto. Best to just sue them and use W Virginia vs EPA to get all their crypto rules struckdown as "not LAW" and unenforcable, imo. Then they have to get specific legislation for that specific tax passed by Congress that make it actual law.
IRS bookmark - thanks
Ditto
Thank you! Saved.
I'm gonna be crippled by the capital gains tax I owe for taking advantage of an over inflated market and profiting on the sale of my house last summer.
I would ask for a payment plan if needed. It is hard to escape income taxes due on capital gains.
Something to consider in the future is putting property into an LLC where "gains on sale" can be offset to some extent by property maintenance costs, property tax payments, and any other business-related expenses. Property usually gets put into LLCs for landlords to do this, but it is useful for individual as well, imo.
This requires setting up an LLC in your state which can be done via Secretary of State website. You need Articles of Incorporation and a few other things that are easy to create. Then just add a registered agent, and you are in business. Request Biz Tax ID from IRS if needed for national operation and filing 1065 tax form (flow through onto Individual 1040).
One may also potentially delay tax payments if the asset is in a Trust, but I'm just getting into that now, and don't have any first hand sauce to share right now. Note that it appears the elites are buying property with gold and silver, getting FULL TITLE and not paying property taxes to the Counties; All with Family Trust assets that are protected for centuries and which allow them to defer tax payments on 100 year payment plans.
I received a letter that we're being audited by the state. I'm curious if this letter can be used in a similar manner.
if your State of XX Bar Corporation (foreign corporation incorporated in DC) has been unconstitutionally integrated into your State Judicial Branch (there would be a specific date it was integrated via a change to your State Constitution, see changes to the Judicial Branch article) then you can argue that it violates Article IV, Section 4 of the U.S. Constitution that guarantees "a republican form of government" NOT a "corporate form of gov't". This integration, usually prior to passage of the Amendment that allows the State Tax Franchise Board makes that Amendment unconstitutional as well as all actions after the change to a corporate gov't are automatically null and void, ab initio per Marbury v. Madison (1803).
If this is for California, the unconstitutional integration into the Judicial Branch happened on November 8, 1966, and the State Income Tax Amendment 13 was in the early 70s so it is automatically null and void, ab initio. The CA Franchise Tax Board is also null and void and must repay all taxes ever collected as they have no Constitutional authority and their operation is illegal and unconstitutional, imo.
I would go read the State Constitution to see if they define labor capital separate from income (labor capital = property per 5th,14th, and =effects per 4th Amendment). Usually Income Tax is Article 13 of most State Constitutions. You can always ask for clarification on their definition of "income" and claim it is labor capital untaxable and not subject to audit, but since they are an unconstitutional criminal organization they may not buy it and you may have to sue them in Federal District Court for $402 filing fee to get an injunction to halt all of their attempted audit actions against you. State audits are usually targeted shakedowns.
Arguably violation of 4th Amendment "warrantless search" per their demand for financial information (i.e. "papers") and violation of 5th Amendment "cannot be compelled to be witness against himself" per demand for information AND "deprivation of liberty and (potentially) property without due process" (no crime has been committed and no charges filed by them). Force them to provide "probable cause" for their actions and watch the audit disappear.
Thank you. It is not for California. It is for Ms. I didn't see anything in the state constitution regarding taxes other than property related. I'm collecting any info that will help.
If you have state income taxes there should be an Amendment or something in there notionally authorizing it. Most of the state income taxes were "authorized" between 1933 and 1984. Prior to 1933 very few if any states had income tax from the limited research I have done on the state tax topic. I've been too busy getting my assets into a Trust prior to suing the IRS to be able to get into the state issue.
I understand. I appreciate your insight.
You are welcome. If you sue a state agency or the state- in Fed Court they will try to use 11th Amendment and say you can't sue them, but your STATE OF XX CORP is a corporation domiciled in Washington D.C. And corporations do not have any immunity per Hale v Henkel (1906), especially since they have usurped the Sovereignty of your Mississippi State via their STATE OF MISSISSIPPI CORP (typically setup by your STATE BAR CORP which likely was incorporated in D.C. prior to 1933).
I love this!. But I'm sincerely curious: are there any known cases where such a letter worked?
If I've learned anything from the past few years, it's that the law doesn't count for a damned thing if it isn't followed or enforced. So it looks like the legal argmuent here is solid...but I'm very skeptical about such a letter having the intended effect.
Thanks!
I have sent letters similar to this that were effective and resulted in either a complete elimination or very large reduction. They know that cost of a case is $402 and most people will need to hire a lawyer, so they try to game it to extract as much as possible knowing that a large % of people will not actually sue them.
Okay, thanks! Good to know this isn’t merely theoretical.
I have beaten the IRS 4 times, working on 5 now as an individual without a lawyer by 1. pointing out they were not following their own rules, 2. Identifying mathematical errors and assumptions they make ALL THE TIME, and 3. Constitutional beatdown where I ignore all their rules and just thrash them with the Constitution (latest).
RULES ARE NOT LAWS, and enforcement of non laws violates 42 USC 1983, 18 USC 241/241 per "color of law" violations [CIVIL CASE]; Then add-on CRIMINAL CASE is 18 USC 241/242 + 18 USC 2384 and any IRS agent signing their name to any letter they send you goes to prison for 20 years. Note Civil case standard of proof is only "preponderance of evidence", and they usually give you all the evidence you need to win.
NOTICE OF CRIMINAL LIABILITY letter via certified mail that requests that they cease and desist, giving them 30 days to do so "pre-strips" them of the "Intent Defense" for criminal trial and increases your chance of victory above 50/50 per criminal standard of "beyond a reasonable doubt". They may ignore you until you fire off one of these after you have exhausted all CIVIL remedies.
Constitutional Law attack is the best because they really have no Defense since it supercedes ALL. If you start arguing with them about IRS rules, it is hard to win and they will just grind you down.
You can only try it. There are no "guarantees" in life except that big one in Article IV, Section 4 of the Constitution...hehe (yes, I'm baiting you into reading it, but here's the link below).
https://constitution.congress.gov/browse/article-4/section-4/