Americans Are Not Required To Pay Income Taxes, But Many File Anyway

When three IRS whistle blowers stepped forward with the We The People Foundation to inform Americans that the income tax represents an institutionalized fraud of the highest order, the predictable response from those in power involved labeling the dissidents as conspiracy theorists, tax cheats, and other pejoratives. Those who benefit from the status quo know that anyone exposed to the authentic history of the IRS and the 16th Amendment becomes more likely to join the 90 million Americans who refuse to file income taxes. So the owners wheel out old red herrings to get the unwashed masses to fight among themselves. The corporate media run stories meant to turn a shackled population against anyone trying to help free them. We hear that “tax dodgers” are inherently selfish people who “refuse to pay their fair share”. Such ridicule has thus far prevented the working classes from banding together and going after the powerful who benefit from the situation remaining unchanged.

Because common literacy of the legal fiction threatens the scam, those in charge have a vested interest in perpetuating the lie. In the words of former IRS Criminal Investigator John Turner, “The IRS fears the public gaining a knowledge of how their scam works.”

Many activists and journalists have attempted to negotiate with the IRS directly about these problems, including many prominent employees of the IRS itself. But the agency stonewalls just about every inquiry that comes their way. In the words of another former IRS agent, Sherry Peel Jackson, “[the authorities] can’t answer because if they did, the American people will know the whole thing is a fraud.

And in the words of IRS Special Agent Joseph Banister, “Rather than pulling up a chair they pull out a club.”

These whistleblowers have helped many Americans understand that an unapportioned tax on labor is completely unconstitutional. They have exposed the fact that there is no law requiring Americans to file with the IRS. They’ve also illustrated that there is no way to file an income tax without testifying against yourself.

Income tax can’t be treated like a game


Remember when actress Emma Thompson and her husband Greg publicly declared their refusal to pay another penny in income tax until justice is served to the thousands of HSBC bankers who were caught laundering billions of dollars in Mexican drug cartel money?

If we’re supposed to get angry with anyone refusing to “pay their fair share” of the overall tax burden, where is the outrage for corporations that pay zero income taxes? The average American pays more income taxes than Exxon-Mobile, and plenty of other multi-billion dollar operations such as General Electric, Verizon and Boeing likewise avoid the income tax completely. So how can huge corporations avoid income taxes while simultaneously dodging scrutiny about paying their fair share? Wouldn’t such an arrangement place an obviously disproportionate burden on the working class?

Most Americans continue under the false impression that everything in society from the roads to the schools to the military must be funded by income taxes. But roads and schools and military services existed prior to the formation of the 1933 income tax. America has funded government services since the Declaration of Independence officiated its existence in 1776. For over 150 years America somehow financed government without income taxes, without the social security system, and without the IRS.

In 1982 Joseph Peter Grace was appointed by President Ronald Regan to identify waste and inefficiency in the US Federal government, in turn creating the now infamous Grace Commission. Grace requested that members of his commission “be bold” and “work like tireless bloodhounds” leaving no stone unturned in their search to root out inefficiency. Their conclusions were so shocking that the report was ultimately buried, and most students of history have never even heard of the Grace Commission.

The Grace Commission’s final report submitted on 15 January 1984 concluded:

“… all individual income tax revenues are gone before one nickel is spent on the services taxpayers expect from government… 100% of what is collected is absorbed solely by interest on the Federal Debt.”

Exactly zero percent of income taxes collected go towards funding government. The Grace Commission concluded that income taxes only fulfill the interest payments on the debt our government owes to the banks. Every cent of America’s finances are loaned to it at interest by the private Federal Reserve. According to John Whitehead, America’s government borrows $6 billion a day. This fact exists in spite of a stubborn unwillingness from countless Americans to acknowledge the evidence that the FED is privately owned. Said evidence includes the unnamed shareholders the official website admits to – shareholders who earn dividends based on interest payments collected through income taxes. The FED has historically collected $36 million an hour in interest from the American people this way. Income taxes are not really taxes per se. They are interest payments and America’s owners have grown fat from them.

We’ve only had an income tax since the 16th Amendment’s fraudulent passage in 1913, which just happens to have been the same year that the Federal Reserve came into existence. Prior to that, Americans kept 100% of their earnings, going all the way back to 1776. No IRS, no tax on labor, and no April 15th filing deadline. Yet somehow America financed schools, colleges, libraries, roads, railroads, subways, the Army, Navy and Marine Corps, and many other services and institutions that exist today. So how could America fund all of those programs without an income tax?

Countless taxes are levied against American workers every day, including property taxes, automobile registrations, building permits, court fines, gas taxes, traffic fines, marriage licenses, medicare and social security, parking meter fees, hunting and fishing licenses, toll booth levies, inventory taxes, real estate taxes, road usage taxes, septic taxes, estate taxes, capital gains taxes, CDL fees, tobacco and liquor taxes (i.e. “sin taxes”), and in most states there is also a sales tax.

When we include the Federal Income Tax into the ever-growing list of compulsory fees, fines and surcharges, today’s average American pays more than 64% of their total earnings into various tax collection schemes. That’s more than four times the relative tax rate that triggered the American Revolution.


The rubber meets the road in the margins and in the fine print and in the loopholes when it comes to America’s legal and political processes. If the people don’t want something that benefits big business, the industry doesn’t take it as a learning experience to become more ethical, but as a cue to conjure the next loophole. They never take no for an answer, and no low is too low when it comes to their methods for infecting systems of governance with corruption that benefits them.

Such it was when the Federal Reserve Act was first pushed through Congress during the holidays. On Christmas Eve of 1912, when very few lawmakers were present in Washington, a tiny handful of legislators were on the floor and knew they could pass legislation without the rest of the Congress. An administrative technicality required only a majority of those physically present to pass legislation. So if only three showed up, and there were only three in the building, they only needed two for successful passage. The only potential hurdle after that was executive veto, but President Wilson had already agreed to sign the Federal Reserve Act into law in exchange for campaign financing. Wilson could be expected to fall in line because he took those campaign contributions from the very bankers pushing the bill through the legislature vicariously through their political puppets.

In 1913 the Federal Reserve came into existence and began loaning money to America at interest, placing the country immediately into debt. America entered the Great Depression as a direct result of the bankruptcy that inevitably occurred following the adoption of usury onto the national Treasury.

Through this elaborate system, which does a brilliant job of keeping us ignorant of the fact that we’re anything but free, our central banking system extracts wealth from the workers through the parasitism of interest. The intended effect of usury has always produced greater ownership possibilities for those who already have all the money. Banks profit from loans because borrowers must pay back a larger sum than was provided by the lender. So how can a country ever repay the debt in full, if the entire existing money supply is less than the money owed? It can’t. Eventually entire nations are forced to provide additional resources in “collateral” to satisfy the banks they’re indebted to.

John Perkins wrote extensively about this in his book, Confessions of an Economic Hit Man, describing this very process with regards to how the World Bank and International Monetary Fund put entire countries into debt through similar schemes.

So by 1933, after twenty years of loaning the country money at interest, America owed more than it had to the private Federal Reserve Bank. It only took two decades the render the country broke, at which point the bankers proposed another “solution” to the disaster they had created.


Ardent supporters of the status quo alongside fawning economics professors and government authorities continue to insist that the 16th Amendment grants the power to levy an income tax on the private labor of American citizens.

It does not.

In 1894 the US Supreme Court ruled that an unapportioned tax on labor is unconstitutional. As John W. Whitehead explains:

Determined to claim some of the citizenry’s wealth for its own uses, the government reinstituted the income tax in 1894. Charles Pollock challenged the tax as unconstitutional, and the U.S. Supreme Court ruled in his favor. Pollock’s victory was relatively short-lived. Members of Congress—united in their determination to tax the American people’s income—worked together to adopt a constitutional amendment to overrule the Pollock decision.

On the eve of World War I, in 1913, Congress instituted a permanent income tax by way of the 16th Amendment to the Constitution and the Revenue Act of 1913. Under the Revenue Act, individuals with income exceeding $3,000 could be taxed starting at 1% up to 7% for incomes exceeding $500,000.

The 16th Amendment never legally passed the ratification process because the number of states required to do so was never met. Despite this fact, the 16th Amendment to the Constitution was enacted.

But the fraudulent passage of the 16th Amendment was so problematic that another series of lawsuits prompted yet another Supreme Court ruling. And the Supremes once again determined that the average American is not required to pay the tax because the 16th Amendment’s powers only extend to gains earned as a result of corporate activity. Thus the Supreme Court ruled that the 16thAmendment granted “no new powers of taxation”.


America is supposed to have a National Treasury, but the treasury has operated under emergency powers since 1933 following the nationwide bank collapse that brought about the Great Depression. In 1933 the country enacted the Social Security system as a way to collateralize the debt through birth certificates. Despite what most of us might think about them, birth certificates weren’t always part of the economic system. Birth certificates are bank notes and labeled as such on the edges which are designed with a webbing similar to that on the dollar bill. Before 1933 there were no such things as birth certificates. Prior to that, obstetricians recorded a Live Record of Birth as the common standard slip filled out upon a newborn’s arrival. It was not a “certificate” because certificates are defined as warehouse receipts on human resources.

This note’s worth is based on the estimated taxable value throughout a person’s life, which on average accounts for roughly $750,000. Birth certificates differ little from the deeds that 18th century plantation owners kept on their slaves. We the people are their collateral to keep this financial farce floating forward. One of the effects birth certificates have on society is the formation of a new corporation every time someone is born. And once a corporation comes into existence its financial profits can be treated as corporate gains, making it eligible for levy by the income tax.

Diligent study of the code reveals that there simply is no clear law requiring the average American to pay income taxes. The exception involves any corporate entity that records gains from corporate activity. This dirty little secret explains why refusing to file with the IRS is completely within your legal rights. Legitimate authorities wouldn’t have to rely on intimidation and scare tactics to enforce the tax if it were an authentic means of funding government services.


If you’ve ever wondered where the April 15th filing deadline came from, the answer has something to do with Abraham Lincoln, the Lieber Code and George Washington.

After George took office in 1789 a currency was developed for the country on a standard 70 year contract. That contract came to an end during the Lincoln Administration’s tenure in the 1860’s. Lincoln presided over 34 states at the time, but 21 of them were free from banking rule because only 13 colonies were included in the original contract. The additional states had come into existence as sovereign territories since Washington’s original establishment negotiations. So when Lincoln started his own financial renegotiation to extend the currency another 70 years, the banks demanded additional collateral. The Lincoln Administration agreed to all 34 states, but without the consent of the individual states themselves. When word of this got out, the states enacted their 10th Amendment powers and seceded from the union and on 27 March 1861 the Lawful Congress of this country disappeared forever.

The country formerly known as America was effectively disintegrated at this point and replaced with a military government. Abraham Lincoln continued to preside over the emergency executive branch but could no longer be called “the President” as there wasn’t a country to rule over following the secession of the constituent states.

On 15 April 1861, the Lincoln Administration issued executive order #1 establishing martial rule over all Federal territories. The spring of 1861 effectively voided the contract known as “the Constitution” and the United States as it had been known to that moment ceased to exist.

Since a new way of governing the Federal Territories would be required, Lincoln issued the General Orders 100 on 24 April 1863. General Orders 100, also known as the Lieber Code, has come to replace the old government with the military government we’re living under today. It instituted a martial rule and established a text-book dictatorship without a Congress or President accountable to the citizens. 1863 was also the year the Supreme Court was abolished. Without a lawful Constitution to guide the bureaucracy, the Article 3 Judiciary no longer existed and a new Supreme Court was established in the District of Columbia. But this De Facto court is very different than the one originally put in place by the founders.

In 1870 the Department of Justice was created to provide some semblance of law, but it was placed under the direct authority of the Executive branch. So the President now controlled the legal system. The top Law Enforcement Officer under this new system is ultimately the Attorney General, who is appointed by the executive.

In 1871 a new private municipal Corporation was created under the Organic Act, complete with a corporate charter called The Constitution of the United States of America. This is not the Article 6 Constitution published in 1789 since it was never intended to be a living document, as it explicitly stated. With no Constitutional authority to do so whatsoever, Congress created a separate form of government for the District of Columbia in 1871, replacing the organic Constitution and with a corporate one. America is not even a country anymore. It is a Corporation.


The IRS will never send SWAT teams into the headquarters of HSBC or Exxon-Mobil, or General Electric. Those corporations own the politicians who direct policy for the IRS. The irrational authorities in power selectively enforce laws to operate against the interests of the people. The facade of legitimacy around all things “government” clouds our ability to identify unfair exploitation, but the tide is turning, and faith in this system of taxation is waning.

If the present owners are to remain in power, their self preservation demands a divide-and-conquer approach against any attempt to upend their hegemonic apple cart. The authoritarian system that built their mechanisms of tyrannical bureaucracy would instantly collapse beneath the weight of the common people if we ever came to understand the extent of our collective enslavement.

What prevents Americans today from the kind of outrage that inspired a Revolution two centuries ago? It was much easier to stage a revolt when an ocean physically separated one side from the other. When the British imposed taxes, Americans recognized the exploitation for what it was. Today many Americans honestly believe in the unquestionable authenticity of our tax system here at home, although the veneer of legitimacy wears thinner every day.