INCOME TAX IS DESTROYING AMERICA AND OUR FREEDOM Income tax is the second plank of the Communist Manifesto. As long as we here in America accept and continue to use a defacto communistic application and practice of the federal income tax, instead of a dejure application of the written federal law, in order to legitimately fund our federal government under all of the provisions of the Constitution of the United States of America as they were actually upheld by the U.S. Supreme Court in 1916, we doom ourselves to an ever increasing invasion and destruction of our personal liberties, rights, and freedoms, by an ever-more intrusive federal government; as it becomes more and more invasive and destructive of our individual rights in order to secure ever increasing revenues to fund its ever expanding needs and desires; made certain by an ever-expanding national debt; made certain by the fiat paper money system of the fractional reserve banking system run by the federal reserve bank money monopolists who ensure that every penny of currency in existence can only be borrowed into existence from them, thus always creating more debt for the American people to service. Today, the federal reserve bank possesses an unlawful, unconstitutional monopoly on and over our money. This (what we are practicing) is not capitalism. This is socialism, specifically communism. The federal income tax must end in order to begin addressing these critical underlying, foundational causes for our national economic crises.
As long as America has only federal reserve notes (and bank issued credits) circulating as the exclusive form of currency in place of sound and realmoney, there will of course be a resulting insurmountable amount of debt created for the nation’s people to service, as a result of the monopolistic creation of those paper and credit “currencies” by the banksters. Of course, the more national debts there are to service, the greater the degree of service, in the form of ever-greater taxation of the people, will be necessary to sustain the increasing debt levels of the government resultant from its unconstitutionally borrowing money into existence from a private monopoly at the people’s expense. The ever greater the income tax rates we choose to suffer as a people, the closer we become to a pure communist socialist state without private property, individual rights, or personal liberties, which must all inevitably fall by the wayside in order to sustain the solvency and viability of the socialist state and its communistic redistributive operations. You see the Federal Reserve bank, with its monopoly on currency and credit is the fifth plank of the Communist Manifesto, and between the two mechanisms (the two planks), income tax and the federal reserve bank, we have nearly completely destroyed the constitutional systems of sound money and private property upon which the nation was founded, and upon which our Constitution and its recognized rights, freedoms, and liberties are dependent and hinged, and have thereby nearly converted ourselves into a true total socialist democracy, as opposed to the Constitutional Republic we rightfully should be.
Through the adoption and dependence on these two mechanisms we have destroyed the systems of private property, individual liberty, and in fact, capitalism itself, that the constitution is itself predicated and founded upon. For the last near 100 years, America’s politicians have surreptitiously (or ignorantly) abandoned the Constitution of the United States of America, and have instead replaced it with a de-facto practice of the Communist Manifesto, in place of the Constitution. This may sound hard to believe, but I assure you it is true and I can prove it in les than 5 minutes. At least, as far as constitutional economics are concerned.
The constitutionally recognized and established systems of private property, written law, and free enterprise that comprise the true system of “capitalism”, are of course, almost immediately destroyed as soon as a nation takes up the communistic practice of taxing “income”, as America has done for the last (near) 100 years. And we, as a nation, need look no further than this communistic tax in order to understand, identify, and expose the root cause of the national economic dilemmas of insufficient revenues, insurmountable debts, divisive and non-representative laws and government spending priorities, political and corporate institutional corruption, etc., etc., etc. It all begins with the Federal Reserve bank’s unconstitutional monopoly to print fiat paper “notes” as money and an unauthorized “legal tender” (see Article 1, § 10, cl. 1), and ends with the enslavement of the People to the government through the unconstitutional application against the people, by the government, of a direct communistic income tax, necessary in order to repay the banksters for the “notes” borrowed from them into circulation as “money” in place of the real constitutional currencies.
Thus the taxation of income enables, and becomes, the destruction of capitalism and the capitalist system. Thus, what we are now witnessing, is not the collapse of Capitalism, because this (what we are practicing in America today) is not capitalism. Capitalism is actually the economic system where-in a “free” people create partnerships (and then companies) in order to lawfully maximize the profits of the business conducted, in order to provide a return on the investment in the form of interest or a dividend, to be paid to their shareholding investors and lenders on a regular basis. Under a true capitalist system, the people are motivated to invest in new and growing businesses, because the successful businesses return the investment to the investors many times over. The whole capitalist system works onlybecause companies are operated in a manner that is designed to legally maximize operational profits, in order to make large returns on investments, where principal is repaid many times over to the investors, with interest, through dividend and interest payments, and appreciating stock prices, while still growing the company and business at a manageable and sustainable rate.
Today of course, this situation does not exist because of the corporate income tax. Since 1913 and the adoption of the income tax under the 16thAmendment, companies have been operating in a manner NOT to make profits to deliver to their shareholders, but instead, to avoid showing any profitsat all at the end of the accounting year, in order to AVOID PAYING ANY corporate INCOME TAX to the federal government. Thus there is rarely much profit, if any, for the corporations to distribute at the end of the year to their shareholders, because it has all been expensed away to avoid paying federal income tax. Thus there is no meaningful return of capital made to the shareholders, regularly or annually, and thus there is very little apparent incentive for any average person to invest their money in any business, new or old, rather than just spend it on themselves, which is what we now seem to be witnessing in America.
Furthermore, this near total loss to the government of corporate tax revenue, expensed and deducted away from the depleted profits of the corporation through its year-end accounting manipulations, results in insufficient tax revenues for the government to operate, and thus compels the government to fraudulently shift more and more of the tax burden of the federal income tax from the intended corporate subjects, to the backs of We the People, the labor class, thus directly taking from the mouth of labor the bread it has earned, in a very un-American taxing system, that effectively transforms America from the constitutional free nation based on private property, written law and capitalism that it is supposed to be, into a socialist state based on the communistic taxation and redistribution of wealth proscribed in the Communist Manifesto, that does not actually share the national wealth, but instead destroys it, both its existence and creation, by transferring control over it from the hands that earned it and understand it, into the hands of the wasteful and corrupt politicians and government bureaucrats who will only expend and destroy it because they neither understand it, nor honestly deserve to be allowed to spend it, because they did not (and probably could not) earn it themselves as businessmen. The socialist taxation of income thus insidiously destroys the capitalist system, and “capitalism” within a nation, by nearly completely destroying the corporate motivation to show profit. This perversion of the capitalist system has resulted in the American companies expending all their profits on themselves, thus growing into huge impersonal wealthy bureaucratic monoliths that act more like an extension of the government and its agencies’ bureaucracies than as the private property and fiduciary agent of the people owning the company, the shareholders. Inevitably under this scenario we see the fascist mergerof the wealth of the corporate bureaucracy with the political power of the government bureaucracy, which always inevitably tramples the rights and takes the private property of the individuals, in the name of the co-called betterment of the collective society. Thus, completely effecting the perverse conversion of America from the constitutional Republic it is supposed to be, to a (communistic) social democracy, every aspect of which is controlled by the government, and where individual freedom and constitutional rights are a thing of the past.
So, ever since 1916, when Congress was misled into taxing “income”, instead of corporate revenues (like a 3% sales tax), the intended corporatesubjectsof the federal income tax have been living high on the hog, generating needless and excessive business expenses, in order to reduce or eliminate nearly all of the corporate profit, and “income”, so as to avoid paying any (or very much) federal (and state) income tax on the company’s business. Because of this Congressional communistic (see the 2nd plank of the Communist Manifesto) mistake made by Congress in 1916, very few of the intended corporate subjects today actually serve as a meaningful revenue stream to the U.S. government, because there are no meaningful corporate profits left to tax after all of the inflated corporate expenses are deducted (and the bonuses are passed out, and new cars are perked, and the paid trips to conventions in Hawaii, China, Paris, Rome, Las Vegas, and Cannes are all accounted for, etc., etc.); and the government is therein forced to unconstitutionally (and unlawfully) extract by extortion its revenue funding from the Sovereign, We the People, rather than being able to survive on the tax revenues of its lawful subjects – the corporations and foreign parties present in the U.S.
The U.S. Supreme court ruled in 1916, inStanton v Baltic Mining Co., 240 U.S. 103 (1916), that the income of the corporations operating in the United States of America is subject to federal taxation (i.e.: the federal income tax). It ruled that this corporate subjectivity was established NOT under the taxing power of the new 16th Amendment, but under the pre-existing powers granted by Article I, Section 8, Clause 1 of the U.S. Constitution. The court ruled that corporations were (and are) subject to the federal power to indirectlytax by excise, the earnings, activities, and income of the corporations. It had previously been held by the Court in Flint v. Stone Tracy Co., 220 U.S. 107 (1911), that the power to tax by excise, granted by Article I, Section 8, Clause 1 allowed the government to tax federally granted “privilege”. The court held that the doing of business in the corporate form is the identified “privilege”, sufficient to serve as the necessary legal constitutional basis for the application of an indirect “excise” tax to be imposed on any and all of the income (or earnings) derived from the business conducted under any corporate banner. No such tax can be applied to the citizen’s exercise of his or her constitutional right to work, as rights cannot be taxed by Congress, even as “income”, because they are not corporations.
However, just as Congress is constitutionally authorized to tax the income of the corporations on this indirect excise basis, they are also constitutionally authorized to tax the earnings or total revenuesof the corporations on this basis as well. However, they are not legitimately authorized to tax the “income”of the American citizens, derived from an exercise of their right to work,on this basis. If the government dropped the “income” tax entirely, both personal and corporate, and instead just flat taxed all corporate revenues at the rate of 3 %, without regard for any expenses, everything in this country could be changed and fixed in three months, without further un-constitutionally directly taxing the American people a single dime. With this simple change, everything can be changed in the twinkling of an eye. Every company in the nation, instead of being able, and allowed, to entirely avoid paying any federal tax at all, would instead, immediately, all become a meaningful revenue stream to the U.S. government on a monthly basis, who should then be required to live within its available monthly budget.
If we terminate, in its entirety, the unlawful direct taxation of the income of the American People that we currently engage in, and if the American people were suddenly allowed today to keep and take home 100% of their earned pay, as the founding fathers of course envisioned, it would immediately jump-start the economy of every single town, city, county, and state in the nation.The American people could finally pay-up (and pay-off) their bills and mortgages, and thus keep their homes and possessions; or, help their family, friends, and neighbors do the same. Also, a certain number of citizens would certainly finally be able to take a chance at starting a new small business of their own. Being finally allowed to keep their own business profits would further motivate them to try. American spending and consumption would resume and increase, businesses would grow, our debts would begin to be paid off, a new national productivity would begin almost immediately, and we would again have economic growth through sustainable expansion. All this is easily attainable in a short period of time, BUT ONLY IF the American People are allowed to keep for themselves and enjoy the fruits of their own labors, as intended by our Founding Fathers, rather than be forced to pay a communistic income tax (again, see the 2nd plank of the Communist Manifesto) under a defacto I.R.S. operation that in fact blatantly violates the written statutes, as well as the Supreme Law of the land, our Constitution (as identified and stated by the U.S. Supreme Court inBrushaber v. Union Pacific R. Co., 240 U.S. 1 (1916).
THE TRUTH WILL SET YOU FREE! RESTORE THE CONSTITUTION! RESTORE AMERICA! LET MY PEOPLE GO!
Read more amazing true information and ideas at www.Tax-Freedom.com by: Thomas Freed