Claim of "white citizen" immunity from tax? $15,000 penalty

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Famspear
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Claim of "white citizen" immunity from tax? $15,000 penalty

Post by Famspear »

Mr. Arnold H. Pugh, a pro se litigant in United States Tax Court, did not have a happy result with respect to certain arguments, in a decision rendered yesterday, June 15, 2009:
After concessions, the issues for decision are whether petitioner is liable for the deficiency for 2004, and whether petitioner engaged in behavior warranting the imposition of a penalty pursuant to section 6673(a).

[ . . . . ]

Petitioner attached to his Form 1040 a Form 8275, Disclosure Statement. In the disclosure statement, petitioner argued that his compensation for services (wages) was exempt from income because: (1) “The claim is founded upon a common law immunity which rendered any money earned from the right of accession immune from taxation”; (2) “The United States Code defined this immunity as a ‘white citizen’ right”; and (3) his wages were not taxable under a claim of right and under section 1341.

Petitioner made similar arguments, notably that his wages were not taxable under section 1341, on his 2003 Form 1040. Petitioner’s 2003 tax year was at issue in [a separate Tax Court case at] docket No. 20893-06. In an order and decision, the Court [in that other case] upheld respondent’s determination not to allow a Schedule A itemized deduction for wages for 2003 and imposed a $10,000 section 6673 penalty as the Court determined that petitioner asserted only frivolous and groundless arguments of claim of right and under section 1341. The Court admonished petitioner that the Court would consider imposing a larger penalty if petitioner returned to the Court and advanced similar arguments.
--from Pugh v. Commissioner, T.C. Memo. 2009-138, docket no. 18062-07 (June 15, 2009) (footnote omitted) (bolding added).

The result?
Petitioner’s conduct has convinced us that he maintained this proceeding primarily for delay and to advance his frivolous and groundless arguments. Petitioner’s actions have resulted in a waste of limited judicial and administrative resources that could have been devoted to resolving bona fide claims of other taxpayers. See Cook v. Spillman, 806 F.2d 948 (9th Cir. 1986). Petitioner’s insistence on making frivolous tax-defier arguments indicates an unwillingness to respect the tax laws of the United States. Accordingly, in view of the fact that a $10,000 penalty was not a sufficient deterrent, and petitioner was warned that he faced a stiffer penalty if he made similar frivolous arguments with the Court, we shall require petitioner to pay a penalty of $15,000 to the United States pursuant to section 6673.
(bolding added).


Ka-ching! Thank you!

Mr. Pugh gets a $10,000 penalty, doesn't learn his lesson, and now a $15,000 penalty.

Slow learner.

Just another day in paradise.....
"My greatest fear is that the audience will beat me to the punch line." -- David Mamet
Doktor Avalanche
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Re: Claim of "white citizen" immunity from tax? $15,000 penalty

Post by Doktor Avalanche »

Dear Sir. Stop.

The Civil War is 144 years over.

Stop.

"White citizen"?!? What century is this guy living in?
The laissez-faire argument relies on the same tacit appeal to perfection as does communism. - George Soros
.
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Re: Claim of "white citizen" immunity from tax? $15,000 penalty

Post by . »

My opinion is (and has remained so for a very long time) that the slow learners are the federal courts, including the tax court.

Hit 'em with 25K, first time and every time and pursue collection immediately and relentlessly.

If 25K also turns out to be ineffectual, make it 50K or 100K or 250K or 500K.

There is a number that will drive TP frivolous BS filings close to zero, they just haven't yet discovered what it is.
All the States incorporated daughter corporations for transaction of business in the 1960s or so. - Some voice in Van Pelt's head, circa 2006.
Doktor Avalanche
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Re: Claim of "white citizen" immunity from tax? $15,000 penalty

Post by Doktor Avalanche »

. wrote:My opinion is (and has remained so for a very long time) that the slow learners are the federal courts, including the tax court.

Hit 'em with 25K, first time and every time and pursue collection immediately and relentlessly.

If 25K also turns out to be ineffectual, make it 50K or 100K or 250K or 500K.

There is a number that will drive TP frivolous BS filings close to zero, they just haven't yet discovered what it is.
That, plus a stint in the klink and I can totally get behind your suggestion.
The laissez-faire argument relies on the same tacit appeal to perfection as does communism. - George Soros
Demosthenes
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Re: Claim of "white citizen" immunity from tax? $15,000 penalty

Post by Demosthenes »

Wesley Snipes made the same argument in his correspondence with the IRS. He just didn't understand what he was arguing.
Demo.
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Re: Claim of "white citizen" immunity from tax? $15,000 penalty

Post by Judge Roy Bean »

. wrote:My opinion is (and has remained so for a very long time) that the slow learners are the federal courts, including the tax court.

Hit 'em with 25K, first time and every time and pursue collection immediately and relentlessly.

If 25K also turns out to be ineffectual, make it 50K or 100K or 250K or 500K.

There is a number that will drive TP frivolous BS filings close to zero, they just haven't yet discovered what it is.
If it happened quickly enough, punishment might discourage them but presently they can drag things on for years and most of them are hoping for some kind of sociopolitical uprising that will put the IRS out of business.

A lot of people with financial problems keep their heads in the sand and have their fingers crossed that whoever is coming after them is going to self-destruct or will be sued out of existence; it's often their only "strategy" and they are susceptible to all kinds of whacky ideas, including overly-creative approaches to their income taxes.
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jkeeb
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Re: Claim of "white citizen" immunity from tax? $15,000 penalty

Post by jkeeb »

“The United States Code defined this immunity as a ‘white citizen’ right
Are the courts trying to tell this guy the 14th amendment overturned Dred Scott? Next you'll be saying the 16th amendment overturned Pollard.
Remember that CtC is about the rule of law.

John J. Bulten
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Re: Claim of "white citizen" immunity from tax? $15,000 penalty

Post by Number Six »

If it happened quickly enough, punishment might discourage them but presently they can drag things on for years and most of them are hoping for some kind of sociopolitical uprising that will put the IRS out of business.

A lot of people with financial problems keep their heads in the sand and have their fingers crossed that whoever is coming after them is going to self-destruct or will be sued out of existence; it's often their only "strategy" and they are susceptible to all kinds of whacky ideas, including overly-creative approaches to their income taxes.[/quote]

I spoke with a policeman in the fall of 1999 who had maxed-out all his credit cards, banking on the pervasive fear, led by a popular author that Y2K would erase many data banks and leave him home free. I wonder how his strategy worked out?
'There are two kinds of injustice: the first is found in those who do an injury, the second in those who fail to protect another from injury when they can.' (Roman. Cicero, De Off. I. vii)

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LPC
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Re: Claim of "white citizen" immunity from tax? $15,000 penalty

Post by LPC »

jkeeb wrote:Are the courts trying to tell this guy the 14th amendment overturned Dred Scott? Next you'll be saying the 16th amendment overturned Pollard.
<anal>Pollock.</anal>
Dan Evans
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LPC
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Re: Claim of "white citizen" immunity from tax? $15,000 penalty

Post by LPC »

. wrote:My opinion is (and has remained so for a very long time) that the slow learners are the federal courts, including the tax court.

Hit 'em with 25K, first time and every time and pursue collection immediately and relentlessly.

If 25K also turns out to be ineffectual, make it 50K or 100K or 250K or 500K.

There is a number that will drive TP frivolous BS filings close to zero, they just haven't yet discovered what it is.
Most tax protesters barely have a pot to piss in, so it hardly matters whether the sanction is $1,000 or $1,000,000. They're already insolvent, so who cares?

Now, if the sanction were criminal contempt, and cost 30 or 60 days in jail, you might have a sanction with some teeth.
Dan Evans
Foreman of the Unified Citizens' Grand Jury for Pennsylvania
(And author of the Tax Protester FAQ: evans-legal.com/dan/tpfaq.html)
"Nothing is more terrible than ignorance in action." Johann Wolfgang von Goethe.
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grixit
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Re: Claim of "white citizen" immunity from tax? $15,000 penalty

Post by grixit »

Make that jail plus community service.
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illiterati

Re: Claim of "white citizen" immunity from tax? $15,000 penalty

Post by illiterati »

Evans, I enjoy reading your posts. I am always surprised at how far some of these d-bags can go with no serious threat to them personally. I do not understand why the tax division does not pursue contempt against the ones that openly defy or circumvent the injunctions that have been issued. To me if the courts say "knock it off" and they're ignored, it's time for the hammer. Understood maybe they're aware of other prongs of the system following up on these people and don't want to get in the way, but come on, let's make a statement on some of these.

I'm not totally plugged in on this issue, but it seems to me like once the injunction is done, it's pretty much over.