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Vol. 5, #1 January 2007 Nelson Waller, Editor PN Secretary, Assistant Editor
Dr. Robert Clarkson, Publisher
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IN THIS EXCITING ISSUE:
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1. Your Friendly Neighborhood Bank Thinks You are a Terrorist
2. Taxing Times for the 16th Amendment
3. Collections and Confessions
4. IRS Chief Admits All
5. Sloan Files Lawsuit Against Greenville
6. The Big Bad Wolf Tries Again
7. Taxes for Revenue Purposes are Obsolete
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1. Your Friendly Neighborhood Bank Thinks You are a Terrorist
ePC Editor comments: Ever notice how sneaky and devious the bureaurats running our asylum are? When they lose a battle with us (i.e. try to foist some infuriating totalitarian scheme on us but fail), they simply pull the same coup on a different front. Banking's "Know Your Customer" racket (KYC) is the classic case.
We were warned a few years back that Big Brother wanted to institute a "program" of the above name, whereby banks would become volunteer spies for the government and IRS at the depositor level. They were already freely handing over taxpayers' bank records and even assets at the IRS's demand, but the fedgov (as always) wanted more, more, MORE power and loot than it already had.
My recollection was that we the people had shot this tyrannical plot down through massive protests, but evidently not: Wikipedia (the main online encyclopedia) breezes that KYC "is the due diligence and bank regulation that financial institutions and other regulated companies must perform to identify their clients and ascertain relevant information pertinent to doing financial business with them. Typically, KYC is a policy implemented to conform to a customer identification program mandated under the Bank Secrecy Act and USA PATRIOT Act"!!!
Isn't that lovely! Don't they think of everything for our comfort and happiness! The only problem is that the whole point of banking is security achieved partly through privacy and anonymity. The chilling details of the article you're about to read have to be part of the KYC family of government plagues. Don't make any sudden moves with that checkbook, comrade, or somebody may get hurt!
Guidelines for filing a Suspicious Activity Report
http://www.bankrate.com/msn/news/bank/20060628b1.asp
What are the guidelines for filing Suspicious Activity Reports, or SARs?
Banks, bank holding companies and their subsidiaries are required by federal regulations to file a SAR with respect to:
• Criminal violations involving insider abuse in any amount.
• Criminal violations aggregating $5,000 or more when a suspect can be identified.
• Criminal violations aggregating $25,000 or more regardless of a potential suspect.
• Transactions conducted or attempted by, at or through the bank (or an affiliate) and aggregating $5,000 or more, if the bank or affiliate knows, suspects or has reason to suspect that the transaction: May involve potential money laundering or other illegal activity (e.g., terrorism financing).
Is designed to evade the Bank Secrecy Act, or BSA, or its implementing regulations.
Has no business or apparent lawful purpose or is not the type of transaction that the particular customer would normally be expected to engage in, and the bank knows of no reasonable explanation for the transaction after examining the available facts, including the background and possible purpose of the transaction.
A transaction includes a deposit; a withdrawal; a transfer between accounts; an exchange of currency; an extension of credit; a purchase or sale of any stock, bond, certificate of deposit or other monetary instrument or investment security; or any other payment, transfer or delivery by, through or to a bank................
POSTSCRIPT TO ARTICLE:
ePC Editor continues: The good news is -- thank God, there always seems to be some -- that the scheme is a headache for the banks in the end. This link is added at the article's original internet location:
Is your bank spying on you? See "Suspicious Activity Reports: Terrorism and you."
Yes! At that link, the very same website moans, "A government program designed to track down terrorists and money launderers is frightening bank customers, frustrating financial institutions and inundating federal agencies with secret reports of dubious value.
"It's called the Suspicious Activity Report, or SAR, and critics say it victimizes honest citizens who are conducting legitimate financial activities through legitimate banking channels, while generating a flood of useless paperwork and burdening financial institutions with billions of dollars in costs".............
2. "It's So Simple, It's Ridiculous"
Taxing times for 16th Amendment rebels
http://www.papillonsartpalace.com/itsso.htm
by Brian Doherty
e-PC Editor comments: Here's an exceptional article from April 2005 Reason magazine about some of our good friends and cohorts in the movement — Bob Schulz and company. The article is exciting (it's a "mainstream" tribute to the tax freedom cause) and unintentionally funny (Reason's obvious skittishness about the whole subject).
Reason, you see, is the deluxe "libertarian"/humanist periodical. Its motto is "Free minds and free markets." This would normally connote a healthy hatred for tax tyranny, but the writer (who's actually the magazine's Senior Editor!) is clearly as anxious (or skeptical) about the idea of tax resistance as your brother Tom or your Aunt Jane would be.
It's two and a half years since this article appeared. Bob Schulz is still riding high as one of the most visible and professional tax freedom leaders, and has never been anywhere near the jailhouse. That's because he knows his rights and the IRS does too. We had no idea that Mr. Schulz had put over $1,000,000 into the Cause, and we're proud to say he invited Dr. Clarkson onto his traveling cable TV talk show in
The article makes what has to be a muted reference to the PN ("books and seminars"). The "mainstream" print media are often squeamish about mentioning the longest-running and hardest-hitting tax freedom organization — your Patriot Network, headed by a renowned Libertarian figure! — even though Dr. Clarkson has been privileged to get the word out to vast audiences as the invited guest on hundreds of radio and TV talk shows through the years. We look forward to the day when (thanks in no small measure to The Great One) tax truth is commonplace and the IRS is defunct.
"I WON'T GO TO JAIL."
Bob Schulz announces this in late January to a rapt crowd of 200 gathered in an auditorium in
He delivers his declaration not with reckless bravado but with a dignified, quiet, middle-management-lifer assurance, in keeping with his general mien. Schulz is a serious white male in a nice conservative dark suit, a former environmental engineer for both General Electric and the Environmental Protection Agency.
He's been married for 38 years to the same woman, and he has four children of whom he is quite proud. Yet when his kids begged him to reconsider the path that requires him to declare publicly that he won't go to jail, his wife Judy told them, "Your father put his country before his family, and I support him."
Schulz has stopped paying federal income tax, and he isn't afraid to let anyone, including the Internal Revenue Service (IRS), know it. Not only is he not paying, but he's also leading a national movement telling everyone else they shouldn't pay either.
When I talk to him after the conference, he doesn't seem quite so confident he won't go to jail. But he doesn't seem to care one way or the other. "Clearly [the government is] going to react," he says. "They may well sooner or later come at me in one way or another. You hear people say, 'Bob, they're going to take you out. Dozens of armed agents will come turn your life upside down.' You hear all these things. I have to say I have no fears. I fear God and God alone."
Americans have been protesting and avoiding taxes since before the
Schulz's We The People Foundation is transforming the often subterranean struggle to deny the legitimacy of the income tax. For decades this movement has been an inchoate collection of small congregations following varied gurus. Schulz and his crew, by contrast, offer a unified church with a canon of Right Arguments. The anti-income tax movement now has, through Schulz, a united, highly activist national membership organization claiming around 5,000 dues-paying members, a mailing list of 64,000, and local coordinators in 39 states and 600 counties.
While in the past evangelists of the "income tax is a fraud" message have tended to sell books and seminars, the We The People Foundation has the advantage of being hard to blithely condemn as a scam. It is not a business selling advice but a nonprofit dedicated to spending money--more than $1 million since taking up this fight--to spread the word. Its founder claims Gandhi as his influence: From him Schulz learned that to fight an unjust tyranny, you need a proactive, nonviolent mass movement, and that is what he is trying to create.
The movement against the income tax has lately adopted one of the tropes that define an on-the-rise minority in modern America: Its members want to be called what they call themselves--the "tax honesty" movement--and not be slapped with the pejoratives that most people have known them by (if aware of them at all).
At the politest, their nemesis the ms calls them "tax protesters." (Less politely, they've been known as "income tax cranks.") A woman who runs a small business making and selling display boards in Massachusetts, who claims to have not paid personal income tax for a few years now with no practical repercussions, tells me that "when people say 'tax protester movement,' it drives me nuts. I do not protest taxes. I think they are absolutely necessary. I protest illegal confiscation of assets, which is what the income tax is" She has no problem, she assures me, with sales taxes, property taxes, or corporate taxes.
The partisans of the tax honesty movement go beyond complaining that the income tax is too high, or that out-of-control IRS agents enforce it in thuggish ways. They claim, for a dizzyingly complicated variety of reasons, that there is no legal obligation to pay it. The continued life--and even flourishing--of that notion, in the face of obloquy, fines, and jail sentences, says something fascinating about a peculiarly American spirit of defiance. It may even say something encouraging about what it means to live in a nation of laws, not of men.
e-PC Editor further comments: The original article is immense in length and we have cut it not only for reasons of space but to eliminate long, pointless tangents as to the IRS's supposed validity. For instance, the writer (who does us much good sometimes) said "The tax honesty folks similarly believe that their foe the IRS must also be bound by these grimoires of magic: that without the properly sanctified OMB number an IRS form holds no power, that without uttering the mystic word liable no authority to tax can truly exist.
"And always, always, the ultimate incantation, The Question: Where does it say that I owe income taxes? Show me the law!"
This is an unfortunate and misguided (one might say childish or frumpy) way to cover one of the most vital issues of the day — the struggle to save the Constitution! It so happens that IRS forms ARE NOT valid without OMB numbers; that no taxing authority exists without liability; that wages are not income, and no law requires people to pay "income taxes" on "wages, salaries, tips, or other forms of compensation."
We agree (and often advise people) that such cold hard facts are blithely disregarded by tax rats. But to mock the law and the few citizens honestly trying to make the government obey it? Let's just say we hope writer Doherty sees the light before writing too many more articles on this subject.
3. Collections and Confessions
EXTRA! EXTRA! IRS collections agents cut by two-thirds!
e-PC editor comments: Here's an extra-ripe article about a tax rat who somehow grew a conscience and wrote a book about his misadventures in the "Service." Even after everything the harried taxpayers have been through thanks to the rats in question, it's stunning to read how decadent they are personally and how much their internal dealings sound like demons at work in hell's office building. Incredibly, the reviewer comments that the book author's "Accounts of paranoia and bureaucratic infighting within the collections offices are even scarier than the things they do to taxpayers"!
Of interest also is the fact that this confessional volume doesn't even mention the IRS's well-known and despicable policy of agents doing all their work under pseudonyms. The author can't seem to bring himself to admit that he used this USSR-style tactic! Note also that this article comes from a patriotic-sounding publication called
"Yancey came to the IRS," we read, "as a scrawny, 135 lb. weakling with an English degree and a string of failed careers." Add this article to the dossier on how true Dr. Clarkson's accusations about tax rats and the tax system are!
The Taxman Cometh Clean
Review by Mike Holmes
http://www.libertyunbound.com/archive/2004_11/holmes-irs.html
The "Confessions of a . . ." literary genre has long been a popular format that entices readers by promising an inside look at some mysterious and usually disreputable profession, like Mafia hit man, or prostitute, or soldier of fortune or other career choice which average people rarely have firsthand knowledge about. Richard Yancey's "Confessions of a Tax Collector" is no exception. Tax collection, like butchering animals or gathering foreign intelligence on WMDs, has remained shrouded in mystery, and for good reason. Sausage makers and government spooks do not want you to share their secrets.
Yancey's book does a credible job of giving us a look inside the IRS Beast (Yancey's term). It is both less and more than the typical insider account of an unsavory profession. There is plenty of salacious action: mild-mannered, middle-class tax collectors come across as pretty sexed up, and Yancey claims pressured taxpayers regularly offer sexual favors as bribes. But what makes this book distinctive is that it manages to achieve a degree of literary merit.
Yancey came to the IRS as a scrawny, 135 lb. weakling with an English degree and a string of failed careers. His real ambitions were literary, and his literary talent is evident as he paints a vivid picture of the first three years of his often terrifying twelve-year descent into the bizarre world of tax collection. He tells how he (and other) IRS agents intimidate taxpayers into filing and paying taxes, and when they cannot collect, how they barge into their homes and businesses, hauling away cars and trucks, emptying bank accounts, and stickering everything in sight with bright notices warning citizens that their property now belongs to the federal government.
In 1991, Yancey answered a blind newspaper ad in central
Yancey manages to present himself as a sympathetic protagonist despite his working for the most despised agency of the government. This is a genuine literary accomplishment, achieved by detailing the progress of his career while presenting himself as different than the insider career-climbing clerks or ex-military types typically hired as R.O.'s (Revenue Officers). Yancey is one of the first of a crop of "Distinguished Scholars," who are hired solely on their demonstrated academic success rather than any knowledge about taxes or ability to bully others successfully. Most of this book centers on the severe and weird year-long training internship designed to turn him into a loyal IRS functionary.
Readers looking for revelations of IRS tradecraft won't be disappointed. Yancey skillfully weaves into the tale many interesting tidbits about, and insights into, the IRS's collection process and the paramilitary mindset of its collections officers. His accounts of paranoia and bureaucratic infighting within the collections offices are even scarier than the things they do to taxpayers. Readers come away with even less confidence in their privacy and in the security of their assets. But they get some small solace in the emotional and psychological price the tax collectors themselves pay for their pitiless intrusions.
The book is full of anecdotes, among them his encounters with tax protesters. He develops a specific hatred for them, especially the promoters of the "untax" movement; and his account of how the IRS squashes their misguided efforts is must reading for libertarians.
What makes this book extremely readable is that it consists almost entirely of reconstructed dialogues between Yancey and co-workers, friends, or taxpayers, and interior monologues which reveal Yancey's often panicked state of mind. While the author mentions several times his 4 a.m. writing sessions before work at the local Denny's, I have to wonder just how accurately these 8-to-12-year-old conversations are rendered, especially with Yancey's claim that all names and identifying details have been changed. The book jacket tells us that his interactions with taxpayers were all conducted under a self-selected IRS pseudonym, as is common practice, yet nowhere in the actual book is this mentioned. In his reconstructed dialogues, everyone refers to him as "Mr. Yancey." He reports considerable career success, and yet we learn nothing about the final eight years of his service in the Treasury Department.
At one point, he shares a detailed account of how he picked up a wounded dog that had been struck by a hit-and-run driver and left for dead, and heroically rescues the animal despite the owner's indifference. This story, I suppose, serves to demonstrate his charitable moral fiber, but seems so self-serving and irrelevant as to be merely annoying.
Aside from a brief mention in the afterward, where Yancey claims the mid-90s Republican Revolution put severe restraints on R.O.'s with the list of "Ten things that can get you fired" (this was originally, by the way, 30 things), he doesn't deal with many of the changes in the IRS since the early 1990s. The number of field-collection R.O.'s has been cut by over two-thirds, and recent massive IRS reorganizations have doubtlessly made much of his description of the bureaucracy obsolete.
There are plenty of former IRS employees now in civilian life, many of them now representing taxpayers. Some have written similar insider accounts. The IRS functions in three large segments: tax return processing (mostly clerical and data processing), tax return examination (the dreaded audit process, partly by automated methods, partly by trained accountants and attorneys), and the collection process, which, according to Yancey, requires virtually no knowledge of business, tax law, or anything else we usually associate with the IRS. All it takes is a strong stomach and a thick skin, plus a willingness to become part of a dysfunctional bureaucracy full of back stabbing co-workers and managers who spy on their employees.
"Confessions of a Tax Collector" was much more enjoyable than one would expect, given its subject. And if you can justify its purchase as an "ordinary, necessary and reasonable" expenditure for your business, you may even be able to write off the purchase price. But you didn't hear that from me.
The Elements of
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This Clarkson Classic will show you how to fend off meddling government agents, to protect the record and hurl the ball back in their court.
This book shows successful techniques to make life miserable for your known adversaries, comply with requirements and how to respond without furnishing information.
Available from the Patriot Bookstore on CD Text for $30. Click here to order.
4. IRS Chief Admits ALL
"I don't like the income tax. Every time we talk about these taxes we get around to the idea of 'from each according to his capacity and to each according to his needs'. That's socialism. It's written into the Communist Manifesto.
Maybe we ought to see that every person who gets a tax return receives a copy of the Communist Manifesto with it so he can see what's happening to him."
---- T.Coleman Andrews, Commissioner of Internal Revenue
May 25, 1956, in US News & World Report"
e-PC editor comments: The above is one of the most damning admissions ever made about modern tyranny. It ranks with President Bush-41's bragging speeches about the "new world order" he and his globalist buddies are forcing on us. Mr. Andrews' statement is 100% factual; it is not a conjecture or hyperbole. This is what they're doing and this is how it works!
It's moments like this that make my work sheerly enjoyable. I was about to title this "Things Admitted in Retirement," feeling safe in assuming that's the only time an IR commissioner would speak this way. Then I checked Wikipedia.org and found it was smashingly true: its says the career bureaucrat retired from two fedgov positions "in 1953 to become the Commissioner of the Internal Revenue Service. He left the position in 1955 claiming his opposition to the Income Tax."
The tyrants have publicly confessed everything we "crazy conspiracy nuts" accuse them of — it's only a matter of digging the quotes up and showcasing them.
5. Sloan files lawsuit against
Alleges city violated a state competitive bidding law
ePC Editor comments: We occasionally have the honor of introducing the larger patriot community to highly distinguished freedom fighters of whom the national public would not otherwise be aware. In many cases we know them personally because they live and move in our own milieu, the worldwide center of rightist action — western Carolinas and
At this time we're extremely proud to bring you another of the many outstanding warriors headquartered right here in
The
This page turned up in the course of preparing this article:
http://www.powerreporting.com/knight/sc_the_greenville_news.html
Whoop-de-do, it's a "Newsroom diversity report for The
Taxpayer watchdog Edward D. Sloan Jr. filed three lawsuits against the City of
All three suits concern what has become Sloan's specialty: the inside baseball of how local governments buy goods and services. The retired contractor has filed dozens of suits over the years against city, state and county governments.
Sloan's attorney, James Carpenter, estimates that his client has 15-20 active suits.
In the round filed Wednesday, one suit asks the court to find that the city's policies violate state law by failing to embody "sound principles of appropriately competitive procurement."
City attorney Ron McKinney said he's satisfied that the city's procurement policies meet state law. Further, he said
"Unfortunately, we've been unable to please Ned Sloan,"
All three suits seek costs, attorneys fees and any other relief deemed proper. They were filed in the Greenville County Court of Common Pleas.
Plantiffs are Sloan and The South Carolina Public Interest Foundation. Defendants are the City of
http://www.greenvilleonline.com/apps/pbcs.dll/article?AID=/20061115/NEWS01/61115004
6. The big bad wolf tries again . . . sort of
IRS to target corporate secrecy (
ePC Editor comments: One of the funniest, most purely enjoyable aspects of the present income tax mess is the desperation of the "Service" to do anything meaningful at all to justify its existence. One of its favorite ways is sending out press releases about how enforcements and collections are down to a fraction of their former glory and how the tax goons are going to "get tough" on us by various means — seemingly on alternate days of the week. Their success rate never improves, and their bold action plans always fizzle. Clarkson comments: "More IRS lies. Generally, this fake PR comes out in Jan of every year."
Now, here's the 2007 model of this old jalopy: an IRS announcement that it's going to go after people who the intriguing defense option we've all heard about -- Nevada corporations, long rumored (!) to be extra-private and safe. Thanks, IRS, for letting the world know that people are trying this strategy out for us!
We gleaned this brief from www.rawstory.com and have added some comments from that site by its readers in order to show (mostly) how smart some of the "common" people still are, as well as what ignorance prevails in others. One of them actually complains that the government thieves won't really follow through: "We could use the revenue," he (or she) laments!
Below the comments, part of a related news story which stunningly fills in the picture. "
Exciting times!
The Internal Revenue Service is considering "mass audits" of
An IRS official reported those plans in testimony this week before the U.S. Senate Permanent Subcommittee on Investigations. The subcommittee is reviewing state laws that allow corporations and limited liability companies to keep their owners' identities secret.
Martin Lobel, a
Comments from readers
November 18th, 2006 at 21:53:11 From: just me
I will believe this when I see it.....even if changes are made, it will have no effect because they won't be enforced, except on small companies that cannot afford big time lawyers to find loopholes for their CEO's to slip through! Look at the history of who the IRS makes pay and who gets away with not paying their fair share!!!! If we think the IRS will stand up for the Average American we are just deluding ourselves!!!
November 19th, 2006 at 09:15:49 From: al
Long over due but I am not holding my breath
It is so wide spread that they will make a few examples like Martha Stewart. Too bad, we could use the revenue. Just Me sums up my opinion,
November 19th, 2006 at 19:40:34 From: drivenalmostcrazy
It will only be on shell company corps .the ones little guys wanting to avoid state taxes hide in.If you think the IRS is going to go after Exxon or Halliburton ,you're way wrong
November 20th, 2006 at 05:32:09 From: Creepy IRS
The IRS has been only concerned with 'getting' the little guy and ignoring massive loopholes and tricks by big corporations and industry. They'd send a fleet of trouble your way for $2000. But for millions and millions of untaxed dollars and gigantic profits made on the backs of these corporations, they turn a blind eye. The IRS has become very republican in outlook and and therefore almost unAmerican in essence. Go ahead, IRS, protect the rich guys and the oil industry. You're a bunch of creeps anyway.
Related AP Story from International Herald Tribune
Law enforcement hampered by secret ownership of
Some $15 million (€11.7 million) in international aid for improving the safety of nuclear power plants in the former
Shell companies exist mainly on paper and lack real operations............ Read full story: http://www.iht.com/articles/ap/2006/11/15/business/NA_FIN_US_Shell_Companies.php
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Long to set up a home church but do not know the procedures and laws?
Unaware of when, where, and how to form and operate a religious organization?
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Available from the Patriot Bookstore on DVD Text for $30. Click here to order.
7. "Taxes for revenue purposes are obsolete"
Article by Al
RBC comments: The tax dollars we deny the thieves not only prevents them from increasing their own numbers but also prevents them from increasing their vote-buying power.
Economist Beardsley Ruml stated in 1946 that taxes for revenue purposes are obsolete.
The pheddz can print up all they think they need to buy votes with and pay bribes. Why, they are real environmentally conscious today; they don't have to waste paper and ink on bills of credit. They can just reduce the "reserve" scam and issue more 0s and 1s by clicking on a mouse.
The entire pheddral "debt" could be easily paid off by printing one phoney money bill of credit in, say, $46,298,450,137,295 or whatever it's supposed to be today, and giving it to the pheddral reserve banksters. Let them spend that at Wal-mart!
The criminal gang passing themselves off as the government of the
King Nebuchadrezzar of the Babylonian empire was put out to pasture to eat grass with the cows for 7 years.He was the most powerful monarch in the world west of
"Honest" thieves just take your possessions. They don't try to convince me that my shirt is theirs and that I owe them rent for it. Who do these crooks think they're dealing with, a bunch of fools? (Don't answer!)
Peep! Peep! Go the little chicks. But soon their parents send them out on their own. If they keep on just 'peeping' they will soon starve. But the bureaurats have found that if they don't give them little chicks the boot out of the nest that they will have a secure place. At least until the house of cards collapses.
The wife is feeling that our children, entrusted by holy Father in heaven to us to raise up in his nurture and admonition, are all going to have to sell themselves into slavery to survive. Even the devil offers more for a soul than these merchants of men.
ePC Editor comments: We want to hear from you!
Readers' comments, questions and feedback are always important to us.
Click here to email yours to the editor.
Patriot Cannon Is Now Digital!
The Patriot Cannon, the monthly newsletter of the Patriot Network, has been converted to an electronic format. The new Patriot Network newsletter, the e-Patriot Cannon, is now totally electronic and is only distributed via e-mail. The membership newsletter is now an e-zine.
The mailing list for the ePC is now an e-group by Yahoo entitled Patriot Network e-group [PN]. You should receive our new e-zine occasionally at your email address. If you receive this issue via the PN-egroup that means you are in the Yahoo e-group for members. If you receive this e-zine directly from Clarkson, that means you are not subscribed to the membership e-group. If you do not receive this e-zine on a regular basis, that means you are not subscribed to the e-group. To subscribe, ask the PN to send you the invitation.
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