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)
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.