Here's a glaring example of wealth inequality

 [If an asset's price has increased and you haven't yet sold it, you have an "unrealized capital gain".] See below---

When the first permanent Income Tax legislative bill was passed into Law (there was a temporary one during our Civil War), wages were not taxed, only capital gains were. The tax applied to only about 2% of the adult population.

During the Golden Age of American Capitalism (right after WW II to the "Nixon Shock" in 1971), the Upper Crust was taxed at a rate of up to 90%...and they remained wealthy. Now they whine if they have to pay at a rate of 30%.

Be Well

REDUX: "Hoaxes and/or Lies by the Oligarchs"

[The original post has been edited a tiny bit.]

Here are just a few crucial ones---

1.  The Income Tax

Disregarding earlier, temporary income taxes in the 1860's (to fund the Civil War), the Big Kahuna was the Revenue Act of 1913.  It passed into Law shortly after the 16th Amendment to the Constitution was adopted.  [I won't get into arguments about whether or not the 16th was legitimately ratified.  That's a can of worms and could be argued until the End of Time...and is a waste of time.]  The purpose of the 16th Amendment apparently was to correct a glitch having to do with direct taxes and income from property & interest in the 1909 CORPORATE Income Tax law.

In passing the 1913 Revenue Act, the intent of Congress was to levy an income tax only on the very richest Americans.  [I forget the income threshold, but it was high.]   Only the top 2% of households were required to pay the tax; everyone else was exempt.  Furthermore, the tax was on income from property, rents, and interest, not wages.  [The top 2% had no wages.]  That was the original Income Tax Law.  Obviously, successive Congresses changed it...23 times if I recall correctly.  I sincerely doubt that We the People wanted all those changes...to the point where the IRS does what it does today.

The point is this:  I'm fairly certain that most Americans are largely unaware of the information above.  We've been sold a Bill of Goods relative to the history of the Income Tax Law.  The original intent of it never was to tax the wages of average Americans.  That was rammed through by the Oligarchy later.

According to Reagan's Grace Commission, 100% of your income tax dollars is used to pay the interest on the National Debt.  [97% of all money in circulation in the USA is debt.]  Gov't services are paid for by other taxes, fees, and more borrowing.

2.  The Cold War (1945-1989) Resulted in a Victory of Capitalism over Socialism

Not true, and here's why.  First of all, we had then and still have a Mixed Economy.  At best, it's Crony Capitalism, not Free Market Capitalism.  The only Capitalists in the Western World are SMALL business people.  Western societies, including the USA, have both a weak Welfare State AND strong socialism for the super-rich.  Corporate welfare abounds.  The State-Corporate Complex rules the day.  That is not Free Market Capitalism.  Secondly, when Lenin and his Gang seized power in Russia, socialistic institutions created during the 1917-1918 Revolution were eliminated.  Bolshevism morphed into Communism...which is a political system, not an economic system...and it's totalitarian.  Socialism is not a political system.  The Cold War resulted in the triumph of Democracy (of a sort) over Communism.

The point is this:  the Oligarchs in the Western World today continually claim that they are Free Market Capitalists and that the only other alternative is Socialism...which they claim was defeated by the Cold War.  None of that is a true picture of reality.  Crony Capitalists are not Free Market Capitalists; instead, they are married to the State.  Soviet Russia had a super-elite Class which practiced Totalitarianism...that's what was defeated by Democracy (of a sort) and a Mixed Economy.

Mega, transnational corporations and their propagandists falsely claim that they are Capitalists opposing Socialism.  What they really are (in general) is Fascists opposing the rest of us.  Both FDR and Mussolini defined Fascism as:  the marriage of the power of the State to the power of BIG Business.  That's pretty much what we have in almost the entire Western World today.  Even China now is more Fascist than Communist.  I don't remember any Communist countries ever having billionaire real estate moguls.  China does.

Don't buy into the Propaganda.  Despite their claims, the super-rich are not Free Market Capitalists and they're not opposing Socialism.  They are Neofascists and are opposing the rest of us.

3.  The Scam of Neoliberalism

In the USA, it dates back to at least the 1970's.  The overthrow (essentially by Nixon & Kissinger) of Allende and the installation of Pinochet in Chile on 9-11-73 (the other 9-11) was to be the first practical test of a portion of Neoliberalism.  What a disaster.  The implementation of this political and economic philosophy continues, but Oligarchs here have managed to keep it mostly in the shadows... until recently.  None of that is a conspiracy; to them, it's simply good business practice.  In general, most all Oligarchs today are Neoliberals.  Those at the highest levels are Democrats, or Republicans, or Liberals, or Conservatives in name only.  They don't care at all about those obsolete categories... except to use them as divisive propaganda.

Neoliberalism exploded in growth during the reigns of Reagan and Thatcher.  It continues today.  The goal is nothing short of domination of the worldwide economy and finance by super-rich elites and mega transnational corporations.  Its adherents agree with David Rockefeller, who stated publicly in 1991, "Surely it is preferable to have the world run by unelected elites than by the corrupt politicians of today.".  At least he got the "corrupt politicians" part correct.  He also thanked the Mainstream Press for keeping the Elites' work under wraps "for the past 40 years".  [You couldn't make this stuff up if you tried.]

The irony of this is that it seems some, perhaps many, of these Elites actually are altruists.  I'm convinced that some of them really believe that the world would be better off if it were run by the unelected super-rich.
.......................................................................
If all this seems convoluted, that's because it is.  It's so Orwellian that I'm afraid most people don't believe it.  Or, if they do believe it, they either don't grasp how it affects them directly or they think nothing can be done about it, or both.  And so it goes.

Not just my opinion.  Be Well

Hoaxes and/or Lies by the Oligarchs (Plutocrats)

Here are just a few crucial ones---

1.  The Income Tax

Disregarding earlier, temporary income taxes in the 1860s (to fund the Civil War), the Big Kahuna was the Revenue Act of 1913.  It passed into Law shortly after the 16th Amendment to the Constitution was adopted.  [I won't get into arguments about whether or not the 16th was legitimately ratified.  That's a can of worms and could be argued until the End of Time...and is a waste of time.]  The purpose of the 16th Amendment apparently was to correct a glitch having to do with direct taxes and income from property & interest in the 1909 CORPORATE Income Tax law.

In passing the 1913 Revenue Act, the intent of Congress was to levy an income tax only on the very richest Americans.  [I forget the income threshold, but it was high.]   Only the top 2% of households were required to pay the tax; everyone else was exempt.  Furthermore, the tax was on income from property, rents, and interest, not wages.  [The top 2% had no wages.]  That was the original Income Tax Law.  Obviously, successive Congresses changed it...23 times if I recall correctly.  I sincerely doubt that We the People wanted all those changes...to the point where the IRS does what it does today.

The point is this:  I'm fairly certain that most Americans are largely unaware of the information above.  We've been sold a Bill of Goods relative to the history of the Income Tax Law.  The original intent of it never was to tax the wages of average Americans.  That was rammed through by the Oligarchy later.

According to Reagan's Grace Commission, 100% of your income tax dollars is used to pay the interest on the National Debt.  [97% of all money in circulation in the USA is debt.]  Gov't services are paid for by other taxes, and more borrowing.

2.  The Cold War (1945-1989) Resulted in a Victory of Capitalism over Socialism

Not true, and here's why.  First of all, we had then and still have a Mixed Economy.  At best, it's Crony Capitalism, not Free Market Capitalism.  The only Capitalists in the Western World are SMALL business people.  Western societies, including the USA, have both a weak Welfare State AND strong socialism for the super-rich.  Corporate welfare abounds.  The State-Corporate Complex rules the day.  That is not Free Market Capitalism.  Secondly, when Lenin and his Gang seized power in Russia, socialistic institutions created during the 1917-1918 Revolution were eliminated.  Bolshevism morphed into Communism...which is a political system, not an economic system...and it's totalitarian.  Socialism is not a political system.  The Cold War resulted in the triumph of Democracy (of a sort) over Communism.

The point is this:  the Oligarchs in the Western World today continually claim that they are Free Market Capitalists and that the only other alternative is Socialism...which they claim was defeated by the Cold War.  None of that is a true picture of reality.  Crony Capitalists are not Free Market Capitalists; instead, they are married to the State.  Soviet Russia had a super-elite Class which practiced Totalitarianism...that's what was defeated by Democracy (of a sort) and a Mixed Economy.

Mega, transnational corporations and their propagandists falsely claim that they are Capitalists opposing Socialism.  What they really are (in general) is Fascists opposing the rest of us.  Both FDR and Mussolini defined Fascism as:  the marriage of the State to BIG Business.  That's pretty much what we have in almost the entire Western World today.  Even China now is more Fascist than Communist.  I don't remember any Communist countries ever having billionaire real estate moguls.  China does.

Don't buy into the Propaganda.  Despite their claims, the super-rich are not Free Market Capitalists and they're not opposing Socialism.  They are Neofascists and are opposing the rest of us.

3.  The Scam of Neoliberalism

In the USA, it dates back to at least the 1970s.  The overthrow (essentially by Nixon & Kissinger) of Allende and the installation of Pinochet in Chile on 9-11-73 (the other 9-11) was to be the first practical test of a portion of Neoliberalism.  What a disaster.  The implementation of this political and economic philosophy continues, but Oligarchs here have managed to keep it mostly in the shadows... until recently.  None of that is a conspiracy; to them, it's simply good business practice.  In general, most all Oligarchs today are Neoliberals.  Those at the highest levels are Democrats, or Republicans, or Liberals, or Conservatives in name only.  They don't care at all about those obsolete categories... except to use them as divisive propaganda.

Neoliberalism exploded in growth during the reigns of Reagan and Thatcher.  It continues today.  The goal is nothing short of domination of the worldwide economy and finance by super-rich elites and mega transnational corporations.  Its adherents agree with David Rockefeller, who stated publicly in 1991, "Surely it is preferable to have the world run by unelected elites than by the corrupt politicians of today.".  At least he got the "corrupt politicians" part correct.  He also thanked the Mainstream Press for keeping the Elites' work under wraps "for the past 40 years".  [You couldn't make this stuff up if you tried.]

The irony of this is that it seems some, perhaps many, of these Elites actually are altruists.  I'm convinced that some of them really believe that the world would be better off if it were run by the unelected super-rich.
.......................................................................
If all this seems convoluted, that's because it is.  It's so Orwellian that I'm afraid most people don't believe it.  Or, if they do believe it, they either don't grasp how it affects them directly or they think nothing can be done about it, or both.  And so it goes.

Not just my opinion.  Be Well

More Government-Speak

"Quantitative Easing"--- means printing money out of thin air in order to lower the value of each dollar, then giving the money to private banks at almost zero percent interest.

"Figuring the rate of inflation"--- means not counting the increases in the cost of food, energy, & housing.

"Income tax"--- means a tax on your labor that is used almost exclusively to pay the interest on the national debt.

"Regulate interstate commerce"--- means anything the Fed Government wants it to mean.

"Eminent Domain"--- means anything the Fed Government wants it to mean.

"Congress"--- means the two houses of our government's legislature that contain members who represent the mega Corporatocracy.

"Habeas corpus"--- means nothing; it now exists only at the whim of the Feds.

"Posse Comitatus"--- means nothing; it now exists only at the whim of the Feds.

"President of the United States (POTUS)"--- means the leader who now can,  without consent of the Congress or anyone, declare a "national emergency", arrest American citizens without a warrant, confine them indefinitely without access to a lawyer, and even execute them without a trial.  http://www.forbes.com/sites/erikkain/2012/01/02/president-obama-signed-the-national-defense-authorization-act-now-what/  Also: Google NDAA.

Sorry to say, my Conservative and Liberal friends (and those who are purple, not red or blue), but voting in this country no longer matters.  The only thing that could make a difference for the better would be a MASSIVE, PEACEFUL BOYCOTT of the Fed Government.  Unfortunately, the chances of that happening are essentially zero.  The Fascist Corporatocracy has won; We the People have lost.  Even if they wanted to, Mr. Pablum or the O Man cannot change that.  I suggest that everyone get hold of a paper ballot and write-in "Anonymous for President".  If you don't know who Anonymous is, Google the word.

Happy Trails

Taxes: "I Want My Money Back"

http://blog.independent.org/2008/08/07/radical-reform-is-needed-in-california/  NOTE:  the old link was broken, & I couldn't fix it.  The link above is not the original article, but it will suffice.

[Having lived in California for almost 20 years, I couldn't agree more...and couldn't have said it better myself. The chaos at the national level speaks for itself...institutionalized deficit spending, employees of our Fed Govt illegally kidnapping and assassinating people, the Fed Govt violating the Fourth Amendment over & over, the continual expansion of Fed Govt power in the private sector, the bailing out of failed companies, the pursuance of an overseas American Empire, the Fed manipulation of interest rates in order to create economic bubbles, and on & on.]

If the American people had any guts at all, no one would have submitted an Income Tax form today (or any day this year). Instead, we continue to believe that "voting" will save us.

The Republic of the United States of America no longer exists; it only appears to exist. BOYCOTT the Fed Govt at every opportunity. It's the only effective way to send a message. All other methods have failed, and failed miserably.

26 USC and You

Title 26 USC is impeccably Constitutional BECAUSE, as written, it DOES NOT tax the income of the average American wage-earner. It only taxes "taxable income", which does not include "eliminated income", "exempt income", or "excluded income" (all terms from the Tax Code).

See: www.whatistaxed.com/ Be sure to view the two short videos---the link for them is on the right side of the page, at the picture of a ball & chain. Those videos are a demonstration (with results) of data-mining the Tax Code to determine the meaning of key sections.

The uninformed believers in the Individual Income Tax respond by saying something like, "Taxable income is gross income minus deductions" (and so the tax applies to all); but they leave out this CRUCIAL introduction--- "Except as otherwise provided...", found in the description of gross income.

The Tax Code is riddled with phrases like that. "Section XX.XX to the contrary notwithstanding...", or, "Except as provided for in Section XX.XX...", "In general...", "Notwithstanding Section 61...", "Other than those specified...", "Except for excluded income...", etc.---when deciphering the Tax Code, ALL such phrases must be researched further.

The average duped American never bothers to fully research anything beyond, "There is hereby imposed on the taxable income of every individual a tax...". No wonder they think the tax applies to everyone! You folks who oppose the Tax Honesty Movement really do need to read the ENTIRE THING---26 USC, Subtitle A, Chapter 1 (the Income Tax)...and when it says things like, "Notwithstanding Section 61...", you have to go to 61 and see what they're talking about if you expect to truly understand the Tax Code.

Some dupe/dope in one comment on another website said something like, "They [members of the Tax Honesty Movement] keep saying 'Show me the law!'---well, it's on the very first page!". Such people don't have a clue; they don't do proper due diligence.

For those new to this blog, here a few pertinent points:
1. the purpose of the 16th Amendment was to correct a glitch in the 1909 Corporate Excise Tax Statute;
2. several Supreme Court rulings (never reversed) between 1918 and 1923 concluded that the word "incomes" in the 16th Amendment meant "gain or profit from corporate activity", and that the Amendment conferred "no new taxing powers" upon the Fed Govt;
3. Fed Govt services are not paid for by individual income taxes (those revenues pay the interest on the national debt, according to the Grace Commission)---Govt services are paid for by corporate taxes, many excise taxes, SS taxes, Medicare taxes, duties, imposts, a few miscellaneous taxes, and more borrowed money.

Are You an Employee According to the Tax Code?

The definitions for "employee" are found in Title 26> Subtitle C> chapter 24> Section 3401. Confirm with the link provided below.

1. Employment Taxes (Subtitle C)
TITLE 26 > Subtitle C—Employment TaxesCHAPTER 21—FEDERAL INSURANCE CONTRIBUTIONS ACTCHAPTER 22—RAILROAD RETIREMENT TAX ACTCHAPTER 23—FEDERAL UNEMPLOYMENT TAX ACTCHAPTER 23A—RAILROAD UNEMPLOYMENT REPAYMENT TAXCHAPTER 24—COLLECTION OF INCOME TAX AT SOURCE ON WAGESCHAPTER 25—GENERAL PROVISIONS RELATING TO EMPLOYMENT TAXES

2. Collection of Taxes at the source on wages (Chapter 24)
TITLE 26 > Subtitle C > CHAPTER 24—COLLECTION OF INCOME TAX AT SOURCE ON WAGES§ 3401. Definitions§ 3402. Income tax collected at source§ 3403. Liability for tax§ 3404. Return and payment by governmental employer§ 3405. Special rules for pensions, annuities, and certain other deferred income§ 3406. Backup withholding[§§ 3451 to 3456. Repealed.]
3. 3401 (definitions)...

3401 (c) Employee
(c) Employee For purposes of this chapter, the term “employee” includes an officer, employee, or elected official of the United States, a State, or any political subdivision thereof, or the District of Columbia, or any agency or instrumentality of any one or more of the foregoing. The term “employee” also includes an officer of a corporation.

Are YOU an employee?

See: http://www.article1-taxation.com/verify.html

Congress...On the Income Tax

Pay particular attention to # (8).

In 2002, HR 2525 entitled The Fair Tax Act, began with these words, "Congress finds [emphasis added] that the Federal income tax: (1) retards economic growth and has reduced the standard of living of the American public; (2) impedes the international competitiveness of United States industry; (3) reduces savings and investment in the United States by taxing income multiple times [emphasis added]; (4) slows the capital formation necessary for real wages to steadily increase; (5) lowers productivity; (6) imposes unacceptable and unnecessary administrative and compliance costs on individual and business taxpayers; (7) is unfair and inequitable; (8) unnecessarily intrudes upon the privacy and civil rights of United States citizens [emphasis added]; (9) hides the true cost of government by embedding taxes in the costs of everything Americans buy; (10) is not being complied with at satisfactory levels and therefore raises the tax burden on law abiding citizens; and (11) impedes upward social mobility."

Above are the findings of CONGRESS. Ask yourself, are they not in basic agreement with the Tax Honesty Movement? The fact is, not even our Government believes in the Individual Income Tax anymore. The charade must end.

The Individual Income Tax and the IRS

Some people may not be aware of this---

Many years ago, Melvin Belli (the famous attorney) attempted to locate the law requiring most Americans to pay an unapportioned direct tax on their compensation; he did so because a man by the name of Conklin offered $50,000 cash to anyone who could show him the law. Belli came up empty.

Ex-IRS agents Sherry Jackson and Joe Banister more recently attempted to locate the law, because the We the People Foundation also offered $50K to anyone who could locate such a law. Both Jackson and Banister came up empty.

As a side note, eight Supreme Court rulings (none of which have been reversed) between 1918 and 1923 concluded that the word "incomes" in the Sixteenth Amendment meant "gain from corporate activity" and that the Amendment "conferred no new taxing powers" upon the Fed Govt. [Example: Doyle v. Mitchell Brothers Company, 1918.]

Disbelievers ask, "Why, then, has the Individual Income Tax not been thrown out?" The answer is simple: other than Congressional action, the only way to do that is to file a court case. Judges will not allow it to proceed----"frivolous", they maintain.

OR THIS---

In 2002, HR 2525, entitled, The Fair Tax Act, began with these words, "Congress finds [emphasis added] that the Federal income tax: (1) retards economic growth and has reduced the standard of living of the American public; (2) impedes the international competitiveness of United States industry; (3) reduces savings and investment in the United States by taxing income multiple times; (4) slows the capital formation necessary for real wages to steadily increase; (5) lowers productivity; (6) imposes unacceptable and unnecessary administrative and compliance costs on individual and business taxpayers; (7) is unfair and inequitable; (8) unnecessarily intrudes upon the privacy and civil rights of United States citizens; [emphasis added] (9) hides the true cost of government by embedding taxes in the costs of everything Americans buy; (10) is not being complied with at sati sfactory levels and therefore raises the tax burden on law abiding citizens; and (11) impedes upward social mobility."

Regarding point # (8) above, the Fourth Amendment guarantees that we shall be secure in our persons, houses, papers and effects unless a proper, lawful warrant is issued to seize something specific. In the 1950s, the outgoing IRS Commissioner, T. Coleman Andrews, made a speech in which he said that enforcement of the Individual Income Tax violates the Fourth Amendment---because the amount of your income is no one's business but yours. In addition, every time you sign a Form 1040, "under penalty of perjury", you are waiving your Fifth Amendment right to protection from self-incrimination. No sovereign individual should be forced to waive his/her Rights.

Highly recommended:

http://edbrown.org/wordpress/?cat=4 --- the first video is the one at the next link (below).

http://www.theft-by-deception.com/ --- available for purchase (may be viewed for free above at edbrown.org...).

http://www.3rdear.com/861info/

http://www.originalintent.org/edu/ --- left side of page, under "Video Archive"--- Income Tax, a series of short (two minutes or so) videos on the Individual Income Tax.