Posts Tagged ‘TAXES’

From a brilliant unknown economist (and not likely a Keynesian)…

It is fortunate for the 10th man that the government was not involved in this.

Usually it is too much beer that leads to a bar fight, in this case it was “unfairness” and exploitation of the poor!


Suppose that every day, ten men go out for beer and the bill for all ten comes to $100…

If they paid their bill the way we pay our taxes, it would go something like this…

The first four men (the poorest) would pay nothing.

The fifth would pay $1.

The sixth would pay $3.

The seventh would pay $7.

The eighth would pay $12.

The ninth would pay $18.

The tenth man (the richest) would pay $59.

So, that’s what they decided to do..

The ten men drank in the bar every day and seemed quite happy with the arrangement, until one day, the owner threw them a curve ball. “Since you are all such good customers,” he said, “I’m going to reduce the cost of your daily beer by $20”. Drinks for ten men would now cost just $80.

The group still wanted to pay their bill the way we pay our taxes. So the first four men were unaffected. They would still drink for free. But what about the other six men? How could they divide the $20 windfall so that everyone would get his fair share?

They realized that $20 divided by six is $3.33. But if they subtracted that from everybody’s share, then the fifth man and the sixth man would each end up being paid to drink his beer

So, the bar owner suggested that it would be fair to reduce each man’s bill by a higher percentage the poorer he was, to follow the principle of the tax system they had been using, and he proceeded to work out the amounts he suggested that each should now pay.

And so the fifth man, like the first four, now paid nothing (100% saving).

The sixth now paid $2 instead of $3 (33% saving).

The seventh now paid $5 instead of $7 (28% saving).

The eighth now paid $9 instead of $12 (25% saving).

The ninth now paid $14 instead of $18 (22% saving).

The tenth now paid $49 instead of $59 (16% saving).

Each of the six was better off than before. And the first four continued to drink for free. But, once outside the bar, the men began to compare their savings.

“I only got a dollar out of the $20 saving,” declared the sixth man. He pointed to the tenth man,”but he got $10!”

“Yeah, that’s right,” exclaimed the fifth man. “I only saved a dollar too. It’s unfair that he got ten times more benefit than me!”

“That’s true!” shouted the seventh man “Why should he get $10 back, when I got only $2? The wealthy get all the breaks!”

“Wait a minute,” yelled the first four men in unison, “we didn’t get anything at all. This new tax system exploits the poor!”

The nine men surrounded the tenth and beat him up.

The next night the tenth man didn’t show up for drinks, so the nine sat down and had their beers without him. But when it came time to pay the bill, they discovered something important. They didn’t have enough money between all of them for even half of the bill!

And that, boys and girls, journalists and government ministers, is how our tax system works. The people who already pay the highest taxes will naturally get the most benefit from a tax reduction. Tax them too much, attack them for being wealthy, and they just may not show up anymore. In fact, they might start drinking overseas, where the atmosphere is somewhat friendlier.



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The destroyer of worlds

Shocked and yet not surprised.  Sounds like a contradiction, or perhaps a very conflicted person in a confusing circumstance.  It is long been known by some of us who actually take the time to question the dominate paradigm (as opposed to just googling stuff to support one’s bias) that government agencies deceive their citizens, violate the constitution and the rights of those same citizens, and use violence to enforce their unlawful edicts.

The U.S. Treasury, it’s counter part “The FED”, and it’s police (the IRS) are no exceptions.  In really, they are the worse of all offenders globally.  They look at citizens as milk cows to be drained, but they are really more like parasites that are slowing killing the host, which by the way, is you and me.

For instance, did you know that your wages, salaries, or compensation for your labor or product is not the same as your income?  I bet you did not.  But the IRS 1040 makes it look like it is which is in direct defiance to various supreme count rulings.  What rulings you ask?  Well how about these…

“If there is no gain, there is no income.” [1] …It [income] is not synonymous with receipts. Simply put, pay from a job is a ‘wage,’ and wages are not taxable. Congress has taxed income, not compensation.” United States Supreme Court Conner v. United States. 303 F. Supp. 1187 (1969) pg. 1191: 47 C.J.S. Internal Revenue 98, Pg. 226. (Emphasis added).

Read it carefully, WAGES ARE NOT TAXABLE, and Congress has taxed income, not compensation.  Well that was pretty clear.  How about this…

“The claim that salaries, wages, and compensation for personal services are to be taxed as an entirety and therefore must be returned by the individual… is without support, either in the language of the Act or in the decisions of the courts construing it… it is not salaries, wages or compensation for personal services that are to be included in gross income. That which is to be included is gains, profits, and income derived from salaries, wages, or compensation for personal services.” United States Supreme Court, Lucas v. Earl, 281 U.S. 111 (1930). (Emphasis added).

The act referred to in the above quote is the infamous 16th Amendment, which is a topic for some other day.

Now for sure the government has tried to force another meaning on the language by trying to get the court to support the pillage and impoverishment of the American people by trying to fold all earnings (everything that comes in) as gross income.  That was also struck down.

“We must reject in this case…the broad contention submitted in behalf of the Government that all receipts – everything that comes in – are income within the proper definition of the term ‘gross income’…” United States Supreme Court Doyle v. Mitchell Brother, Co., 247 US 179 (1918).

And the IRS code still defines gross income correctly (as of this research) in IRS code Section 22 GROSS INCOME:

(a): Gross income includes gains, profits, and income derived from salaries, wages, or compensation for personal service…

All this should be painfully clear.  The wages you earn is compensation for you time and labor.  It is not income according the the 16th Amendment and the Supreme Court.  Income (which are the same as gains and profits) is derived from your compensation, not the same as your compensation.  When I get paid, which is my compensation or my wages or salary, I pay my mortgage, I buy food, put gas in my car, I pay the utility bills, I go to the movies, etc.  All that is not income to be taxed.  What is to be taxed is if I take what ever is left over and invest it and make a return on it (that is I make a profit or gain from that investment) that is what is taxable.  This is very plain and clear.

So why is the IRS 1040 built so incorrectly?  It is intentionally designed to give you the false impression that wages, salaries, compensation are synonymous with income.  This is in clear defiance to the Supreme court and the 16th amendment.


Also, 1099’s shouldn’t be in there either, that is also compensation, not income. (See what-is-income).

As long as people remain unaware of this, the government can continue to borrow money for its wars and for buying votes (welfare) and to fund its police and surveillance state.  When this theft stops, the FED stockholders won’t get there 6% dividend.

I hope you do know that most of your taxes go to support the federal governments borrowing schemes, not to build roads and bridges.  They have to borrow and tax you to pay the banks the interest due for this borrowing, and to cover benefits and pensions so the bureaucrats, courts and law enforcement will continue to do there biding.

This endless borrowing is a major reason why MRI’s are many thousands of dollars when the true cost is $100 as in Japan, or why a hospital bed is $1500 a night for a shared room but a four star hotel runs $200 in the god-forsaken town of Washington DC.  (See The Market Ticker )  Government and the FED have driven everything sky high then they come to the rescue with something like EBT cards.  Government is the disease masquerading as the cure.   If that doesn’t work they lead us to war against a scapegoat.

To be far, perhaps TurboTax, TaxAct, H&R Block and TaxSlayer are just trying to get you to fill out the form the way the IRS expects you to.  Or perhaps they are counting on the deception to continue so the dominate paradigm will continue?  If it stops, so does their revenue.

One more thing.  To the American Christian you unthinkingly quotes “Render to Caesar what is Caesar’s”.  If you understood your own law and history, you would know that what is due Caesar is the tax on the profit or gain (income) from wages, not tax on the wages themselves.  Yes, you have to pay your lawful taxes, not unlawful ones, which is what we have been doing.

“The Constitution of these United States is the supreme law of the land. Any law that is repugnant to the Constitution is null and void of law.” Marbury v. Madison, 5 US 13

Stop taking the blue pill


Conner v. United States, 303 F. Supp. 1187 (S.D. Tex. 1969)

Lucas v. Earl 281 U.S. 111 (1930)

Doyle v. Mitchell Bros. Co. 247 U.S. 179 (1918)

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Clueless evil in the service of bankrupt governments = Nobel Prize

Clueless evil in the service of bankrupt governments = Nobel Prize


Two important articles…

1. Eight Things Bankrupt Governments Do


  • Cyprus and Direct Confiscation – Pensions will be raided – Bail-ins
  • More Taxes Coming – More theft at gun point
  • Theft by Inflation – The poor will get poorer
  • Capital Controls – Your money is not your money
  • Wage and Price controls
  • Severe Penalties attached to Wage and Price controls
  • Increased regulation – the government will expand its financial spy network
  • War and National emergency – false flags coming



2. Spy on people, Find their money, Take it

  • Fined for not spying on people
  • Government to track down where your money is
  • Then  they will take it



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I recently heard a claim recently that the Obaminator has cut taxes on small businesses more than any other president in HISTORY.  Sounds too fantastic to be believed.  Sources are the New York Times and CNBC (http://www.cnbc.com/id/49261153), both cheerleaders for the least transparent regime in US History.

They forgot to mention…

  • Almost all of them were temporary and almost all of them have expired.  This means that since they were considered a tax cut (or incentive), they should now be considered a tax increase.
  • Your business has to qualify.  At the most basic level this means it has to be profitable.
  • Also, to use most of them, you must submit to more regulation.  Well, that’s exactly what the owner of every small business wants.  Reduce his role and shop keeper and increase the possibility of exposure to federal regulators.  In Nazi Germany, that’s what pretty much happened to businesses there.  Owners became shop keepers while living in fear of the regulators.

And from the small business crowd…

If CNBC had any bahlls the title of this article would be: “Obama Lies About Cutting Taxes, Complicates Tax code.”  Weenchit

Smoke and mirrors, folks. I own 2 small businesses. The items mentioned don’t help 99% of small businesses. Obama’s constant ranting to raise taxes on the $200k crowd, plus obamacare is what worries small business the most.  No2RepublicanConJob


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