Series Summary
This is a multi-part series detailing some of the evidence (the law itself, court decisions, etc.) of how the income-tax does NOT apply to most Americans!
Upon completion of this series, you will be able to see how simple the issue really is!
Brief Review - “income-tax” can ONLY apply to a privilege
In Part-1 we learned (based on their own words from US Supreme Court decisions):
The income-tax is a tax upon a privilege
Congress cannot name something to be a taxable privilege unless it is first a privilege
Earnings from employment are a right and thus not taxable as a privilege
Now we know that the income-tax can only apply to a privilege and earnings are NOT a privilege. This is also buttressed by the Brushaber decision that said the purpose of the 16th Amendment was “maintaining the limitations of the Constitution and harmonizing their operation”. The result of the 16th Amendment was NO change in the government's taxing powers! So if there was no constitutional authority to tax “income” (a right) before the 16th Amendment, and this wasn't changed after its passage, what then is the “income” to which the 16th Amendment refers that is earned as a privilege?
Who has “income” that is not earned as a right and thus liable for the “income-tax”?
Those that have written the tax code are sneaky bastards! There are many reasons it is so confusing and filled with legalese. In this context, to purposely make it difficult to determine exactly to whom the income-tax applies!
U.S. Code Title 26 is titled Internal Revenue Code. Chapters 1 & 2 of Subtitle A-Income Taxes are essentially just the rules of computation and only use general and vague terms as to whom the tax may apply to. But Chapter 3 jumps right out! Chapter 3 is titled:
WITHHOLDING OF TAX ON NONRESIDENT ALIENS AND FOREIGN CORPORATIONS
This is whose earnings are NOT a right that a U.S. Citizen would have, and thus are exercising a privilege! And thus, THIS is to whom the “income-tax” applies!
Now most might say that I have jumped the shark here and I admit that as the tax code is written, it can be VERY difficult to discern that the income-tax doesn't apply to the earnings of the average US Citizen merely exercising a right. But as we have already seen by the US Supreme Courts own words that a U.S. Citizen earnings are a right which cannot be the subject of an excise tax (which the income-tax has been defined as).
Who does a Withholding Agent deal with?
One of the KEY definitions in the tax code is the Withholding Agent. And this is just one of the details to show that the income-tax DOES apply to non-resident aliens and foreign corporations!
A withholding agent is the entity that is required to withhold any tax. Seems straightforward enough, but we still don't know upon whom “withholding agents” deal with. But sections 1441, 1442, 1443 and 1461 make it clear!
The title of section 1441 is: Withholding of tax on nonresident aliens
Well I know that's not me since I am NOT a non-resident alien, are you?
The title of section 1442 is: Withholding of tax on foreign corporations
I am also NOT a foreign corporation, what about you?
The title of section 1443 is: Foreign tax-exempt organizations
Strike three! I am NOT a foreign tax-exempt organization either, are you?
And finally, section 1461 is just where a withholding agent is made liable for such tax (to be collected from entities defined in 1441-1443).
So we see that a withholding agent is required to deduct and withhold any tax from:
non-resident aliens
foreign corporations
foreign tax-exempt organizations
Its clear to me that I am NOT any of those things! Are you?
And these facts align with the multiple US Supreme Court decisions that U.S. Citizens earnings (generally) are a right and thus cannot be subject to the income-tax! The income-tax IS constitutional (as written) since it doesn't apply to the average Americans earnings that are a right!
More to come-stay tuned!
I am not the expert on this subject, but I have learned a lot from the man that IS the expert and literally wrote the book on it! Dave Champion's book:
Dave has a short introduction here (backup on LBRY here) about The Largest Financial Crime In History! Here (backup on LBRY here), he has mini-course on the 16th Amendment (11-min video). Dave has a much more detailed (his book is the definitive guide) video here (backup on LBRY here).
Dave was also one of many subject matter experts (including Dr. Ron Paul, Edwin Vieira, Joe Banister and many others) in Aaron Russo's documentary: America: Freedom to Fascism (2006)
Disclaimer
I am not an attorney, accountant or CPA. I am not giving tax advice. I am just trying to shed some light on information that most may not be aware. What anyone does or does not do with this information is up to them. I encourage all to DYOR to properly follow what the law ACTUALLY says!
I have no affiliation with Dave Champion or any other entity discussed herein.
