PROOF your IQD Trade is NOT taxable

[darkstar]

There is a persistent insistence on this forum about the eventual exchange of IQD for large amounts of FRNs as being a taxable activity. Let's look at what the IRS and Congress have to say about it.

First, you must know that there is one thing and one thing only that is taxed under Subtitle A of the Internal Revenue Code, and that is any "gains, profits, or income" derived from ANY source in the course of public office in the "United States." Put another way -- the ONLY activity taxed under Subtitle A is "gains, profits or income" in the course of a "trade or business." There is NOTHING else under Subtitle A that is taxed. Sure, remuneration for labor or capital gain is taxed, but you have to remember to keep the language in its proper context. These things are taxed ONLY in the course of a "trade or business." NOTHING ELSE! Period! (Dissenters welcome -- provide proof)

26 USC 7701(a)(26) defines "trade or business" as follows:

The term "trade or business" includes the performance of the functions of a public office.

"Includes?" Everyone knows what that means....or....maybe not.

26 USC 7701© defines the term "includes" as follows:

The terms

[AliBaba]

Sounds like something out of "The Federal Mafia" by Irwin Schiff. Someone should send him some dinars; he does not get out very much these days.

[jennaj]

I very much appreciated this article, I choose to also be on the side of the fence that discusses the Dinar in terms of what we can do with our gains "when" the dinar RV's not "if" it ever will.

Happy Holidays!! Wish for an RV this year!!

[darkstar]

Sounds like something out of "The Federal Mafia" by Irwin Schiff. Someone should send him some dinars; he does not get out very much these days.

I'm not familiar with the book Ali Baba. My ONLY sources of information are from Congress and the IRS. I don't rely on "gurus" or "experts." I'm an educated individual and know how to read. I also understand ALL the principles of our Constitution. Federal Laws must be taken and understood within the context of the Organic Law under which they are brought forth. The servant is not greater than the master. That is of course, unless the master has turned over the kingdom by listening to "gurus," "experts," and other tripe.

Hmmmm? Does that sound like a remote possibility in our country today? Too many people are anxious about a quick "wealth kick," but are 100% UNWILLING to read or educate themselves on FACTS, even when being spoon-fed.

[CaptainJack]

However, I think you would have to weigh the time and expense of fighting the IRS to not pay taxes vs. just paying them and moving forward.

Guess it depends on how much IQD you have. Thanks for the post.

[jjjohnny]

I think that most EVERYONE in here would love the laymen version of this. I'm almost smart enough to get all in. But I do live in the Florida Keys in Flops,Shorts and T-shirts everyday. I'm not up on all the lingo nowa days. Thank it's good stuff!

[AliBaba]

I was being somewhat sarcastic. Irwin Schiff is currently incarcerated in the federal correctional facility in Terre Haute, IN serving a 12-year 6-month sentence for multiple tax-related and fraud convictions. His book is very credible, with multiple citations to the IRS code, the US constitution, and other federal statutes. However, he was convicted anyway.

[skelllley]

Darkstar, awesome post, skeery thing, my tax attorney has been telling me that, but i just don't believe him, now i do!

Thank you!

[zoomzoom]

Darkstar, I'm assuming a tax lawyer or accountant would be able to advise accordingly? Or would they?

[zoomzoom]

How about a class action defense if the IRS tries. They need to be put down!

[justinnn]

I was being somewhat sarcastic. Irwin Schiff is currently incarcerated in the federal correctional facility in Terre Haute, IN serving a 12-year 6-month sentence for multiple tax-related and fraud convictions. His book is very credible, with multiple citations to the IRS code, the US constitution, and other federal statutes. However, he was convicted anyway.

haha! That's absolutely awesome and ironic, aint it?

[darkstar]

I was being somewhat sarcastic. Irwin Schiff is currently incarcerated in the federal correctional facility in Terre Haute, IN serving a 12-year 6-month sentence for multiple tax-related and fraud convictions. His book is very credible, with multiple citations to the IRS code, the US constitution, and other federal statutes. However, he was convicted anyway.

I wonder if that is what Ben Franklin meant when he said:

"Gentlemen, we must hang together, or surely, we will hang separately."

Is it remotely possible that someone like Irwin Schiff or James Traficant are sent to prison for speaking, dare I say, the TRUTH?

Your servants in the Senate today successfully put us on track for a communistic government. The dirty deed will be finished on Christmas Eve (notice how most won't even be present). This is the identical tactic they use for every piece of America-altering legislation such as the Federal Reserve Act and the passage of the 16th Amendment. Go ahead and Google these items, and tell me that your servant has NOT become your master, and that you are in fact no longer free.

Oh, it's ok if you are comfortable. These guys have a long-term plan. The heat is turned up each generation. Reid, Pelosi, McCaskill, and the other traitors KNOW you won't do your part to protect your kids or grandkids.

Please also realize the "HealthCare Bill" is all about slamming the gate shut to your Federal Income Tax naivity cage! You're already in the cage, once the bill is passed, they can slam the gate shut, and physically extort you for your money. You see, they know the truth is out, and they know it is spreading fast. Why do you think they are in such a rush to push this thing through when the Rasmussen polls show 63% (I bet it's higher) don't want this thing? The Bankers wrote the Healthcare Bill!

Don't pay your tax or get your H1N1 shot, and no cast for your son's broken leg. As a country from the Land of the Free and Home of the Brave, we have miserably failed. We are too comfortable! Too soft!

Give them flatscreens........... and Dinar RVs so they can have more flatscreens!!!

[igniteassoc]

How about a class action defense if the IRS tries. They need to be put down!

Flat tax of 15% on all income for EVERYONE and abolish the IRS. What is so hard about that?......oh yea...its fair so theres no way they will do that.

[skeeterpe]

How about a class action defense if the IRS tries. They need to be put down!

I whole-heartedly agree, ZoomZoom! We should band together if we are heading to the cleaners!!

[financeminister]

Darkstar, thanks for the post, now get over yourself. Not everyone is "ill-informed" or stupid as you suggest.

[darkstar]

Flat tax of 15% on all income for EVERYONE and abolish the IRS. What is so hard about that?......oh yea...its fair so theres no way they will do that.

Actually, it would NOT be fair! Furthermore, it would be unconstitutional as Article I, Section 9, Clause 4 prohibits direct taxes and capitations unless apportioned by Congress. Following is the actual language from our precious Constitution the Founding Fathers risked their lives, their fortunes, and their sacred honor to provide our newborn nation:

No Capitation, or other direct, Tax shall be laid, unless in Proportion to the Census of Enumeration herein before directed to be taken.

The Banksters know most of the American people do NOT understand what a direct tax or capitation is. Why do you suppose these principles are no longer taught in our schools today? Why do they instead, treat all middle-school Social Studies classes like a United Nations Global Governance Lab? That's right kiddies........ global problems require global solutions. You kids need to make sure your parents get with the program. The Founding Fathers and their antiquated notions are sooooo ooooold fashioned!

Darkstar, thanks for the post, now get over yourself. Not everyone is "ill-informed" or stupid as you suggest.

financeminister,

My apologies if it was received that way. It was certainly not meant to offend. But my friend, far too many are asleep. For if the house is burning, don't expect a gentle nudge out of your slumber, but a loud and abrupt shout of AWAKE.......in an effort to save you, not harm you!

We're countrymen, and we are NOT each other's enemy!

[rrbender]

I would like to know if there has been any success against the IRS when they pursue legal action concerning non-payment of taxes pertaining to currency exchange? I appreciate your knowledge in this matter.

[armcandy]

one interesting point that needs to be made is that the only and I repeat only document which will be generated by an IQD Trade is Fincen 104 which is for the purpose of reporting to dept of Treasury a transaction-not necessarily a profit-in ecess of $ 10,000. Fin Cen 104 was initiated to put a stopto money laundering and other suspicious money transactions. There is no 1099 issued on a currency trade. That is all I have to say.

[Den56]

In either IRS Publication 505, or 525 I don't remember, on page 33, paragraph 3 . . . it states that "on any foreign currency transaction which benefits you by over $200 must be reported as income". (My paraphrase from memory). My CPA said LT Capital Gains for me, since I've owned my over over one year.

[armondtoth]

I'm assuming darkstar is a tax attorney, I should send him to my brother who tried that BS. Oh I forgot Wesley Snipes tried that s*** also and almost got thrown in jail. Lets put it this way guys Wesley has more money than us, if the IRS smacked him down I guarantee you will be less fortunate.

[Hopefulskeptic]

You come across a little pompous my friend, but we understand what it is you're trying to levy.

My question to you is off the beaten path of this thread, but seeing how you feel the Flat Tax effort is unconstitutional I'll assume you disagree with the entire 16th Amendment.

If that is the case what is your reflection on the Fairtax?

By the way: I plan to separate my money (when the RV comes to fruition) into two piles. My pile and the pile the IRS will take if indeed I do have to pay taxes. If they never ask for it, I suppose it will remain in my brokerage account collecting returns on managed investments. They have five years after I get paid to tell me I owe them money! I figure if I do it will only take them three. (This is meant as a jest folks.)

[rlecomte]

Explain why Section 988 Transactions does not apply please.

[darkstar]

I would like to know if there has been any success against the IRS when they pursue legal action concerning non-payment of taxes pertaining to currency exchange? I appreciate your knowledge in this matter.

Yes. I see them all the time. But the General Public will seldom hear about them. There are quite literally 1000s of cases that are blocked from public view. How's that for a servant government?

one interesting point that needs to be made is that the only and I repeat only document which will be generated by an IQD Trade is Fincen 104 which is for the purpose of reporting to dept of Treasury a transaction-not necessarily a profit-in ecess of $ 10,000. Fin Cen 104 was initiated to put a stopto money laundering and other suspicious money transactions. There is no 1099 issued on a currency trade. That is all I have to say.

Thank you! Someone who knows the truth.

In either IRS Publication 505, or 525 I don't remember, on page 33, paragraph 3 . . . it states that "on any foreign currency transaction which benefits you by over $200 must be reported as income". (My paraphrase from memory). My CPA said LT Capital Gains for me, since I've owned my over over one year.

Read the above VERY CAREFULLY! This is precisely the problem!

I'm assuming darkstar is a tax attorney, I should send him to my brother who tried that BS. Oh I forgot Wesley Snipes tried that s*** also and almost got thrown in jail. Lets put it this way guys Wesley has more money than us, if the IRS smacked him down I guarantee you will be less fortunate.

I'm not sure what your brother did. But Wesley Snipes failed to file in the face of an alleged $12 Million "gain." This is a misdemeanor and his tax advice was VERY poor. His understanding of how it all works was close....but this isn't horseshoes and hand grenades. You will NOT be given a pass if you make even ONE misstep. Nice huh?

My question to you is off the beaten path of this thread, but seeing how you feel the Flat Tax effort is unconstitutional I'll assume you disagree with the entire 16th Amendment.

If that is the case what is your reflection on the Fairtax?

I don't disagree with the 16th Amendment at all. The 16th Amendment is completely legal and constitutional. That's because the Federal Income Tax is an INDIRECT excise tax on the electable ACTIVITY OF a "trade or business." This is where most "patriots" go wrong. They think it is a DIRECT tax and therefore unconstitutional. The Supreme Court has acknowledged it as an INDIRECT excise tax over 60 times. Nobody reads. The old adage comes to mind: Those who fail to learn from history are doomed to repeat it.

Explain why Section 988 Transactions does not apply please.

Remember, the ONLY thing taxed in Subtitle A is the "gains, profits, and income" in the course of a "trade or business." Section 988 is entitled Treatment of CERTAIN foreign currency transactions. Did you notice the word CERTAIN? That is your red flag that not ALL foreign currency transactions are affected by this section of the code. The CERTAIN foreign currency transactions that will be treated accordingly under this section of the code are those conducted in the course of a "trade or business." And remember, the ONLY "trade or business" definition is in 26 USC 7701(a)(26). Also, don't forget to re-read the definition of "includes" and "including" so that you don't make any BAD presumptions........that might cost you (and a nation) a lot of wealth.

People, don't kill the messenger. I'm just providing you with the information. Don't throw mindless insults back. Provide some rebuttal if you can find any. Psssssst! It ain't there! You know why? Because I'm telling you the truth and the truth does not contradict itself. Really, if you have fallen victim to this scam your whole life, you have to ask yourself why? It's not your fault! I'm not throwing stones. I speak the truth. I'm just trying to share the information and wake up the masses.

My abuse against the people all of these years (unwittingly) must be atoned somehow! Forgive them Lord, for they know not what they do. Remember that one?

He who has an ear let him hear.

[Hopefulskeptic]

Darkstar:

It is apparent you enjoy stroking your own ego, so I will refrain from arguing your point. The merits of the 16th Amendment have been argued and perverted for nearly a century: it is fruitless for us to argue it here. That said, you did not answer my question (chosing rather to challenge my assumption and miss the point).

Do you agree or disagree with the notion of a consumption tax over a progressive income tax?

My assumption notwithstanding, I thought it was a simple question.

[davidnelsen]

Will a Tax Attorney pay your tax if he's wrong or sit in prison for you?

If and when it RV's, every last one of us will pay whether we like it or not . . . boo hoo my 5M Dinar X $1.49 = approximately $7.5M and I am whining about paying taxes.

Be thankful we live in a Country where we don't have to pay 75% of it to the government.