ONE FREEMANS WAR

 

The IRS, the tax preparers, the accountants and CPAs operate as though your entire paycheck is 'gross income' and this is the basis of 'income taxation' which you should pay.   This is the modern myth and practice.  Think about all the money involved there!  It's huge! 


However, there is one small item to consider first:  Title 26 of the US Code section 83 (the law) says that only "the excess over the amount paid" for services (i.e. employment) is gross income. 


Now think about that for a minute.  If the law says that only 'excess' amounts above the fair market value of your services (what you are normally paid) is subject to the so called 'income tax', then what conclusion can we draw from that?  Would that not mean that you have never owed a dime in taxes on what you earned on your regular paycheck? 


Here is the pertinent portion of the law:

 

26 USC § 83

(a) General rule, in connection with the performance of services, property is transferred to any personother than the person for whom such services are performed, the excess of—
   (1)  the fair market value of such property (agreed upon pay) at the first time the rights of the person having the beneficial interest in such property are transferable or are not subject to a substantial risk of forfeiture, whichever occurs earlier, over...
   (2) ... the amount (if any) paid for such property, shall be included in the gross income of the person who performed such services in the first taxable year in which the rights of the person having the beneficial interest in such property are transferable or are not subject to a substantial risk of forfeiture, whichever is applicable. The preceding sentence shall not apply if such person sells or otherwise disposes of such property in an arm’s length transaction before his rights in such property become transferable or not subject to a substantial risk of forfeiture.


This is Monumental Legal Information. Understand it and know how to apply it with this groundbreaking, one of a kind manual which covers all the angles and supporting case law:  



CODE BREAKER: THE SECTION 83 EQUATION 



This is a manual that explores the language of the statute itself, and details the basics essential to the proper interpretation and application of the statute. There's nothing more to know about how § 83 operates.  


This manual focuses on Tax Code § 83 which remains unknown to the accounting industry, the legal profession, and IRS personnel. HOWEVER, the courts say that § 83 is universally applicable and fundamentally governing: 

US Tax Court:“The amount taxable as ordinary income was the lesser of the fair market value of the stock ... over the individual’s cost of the stock. ...the language of the section [Tax Code § 83] covers the transfer of any property transferred in connection with the performance of services... The legislative history makes clear that Congress was aware that the Statute’s coverage extended beyond restricted stock plans for employees.” (See Cohn v. Comm’r of IRS, 73 USTC 443, 446 (1979)). 

Fifth Circuit: “Section 83(a) explains how property received in exchange for services is taxed.” (See Montelepre Systemed, Inc. v. Comm’r of IRS, 956 F.2d 496, 498 (CA5 1992)). 

Second Circuit:“At the heart of this case is I.R.C. § 83 [Tax Code § 83], which governs the taxation of property transferred in connection with the performance of services.” (See Gudmundsson v. US, 634 F.3d 212 (CA2 2011)).


The 'cost basis' of your labor or services is equal to the Fair Market Value.  The FMV is what you charge!  You don't buy it at a cost, and then resell it for a gain.  Therefore, what you charge is what you get paid.  This is the Fair Market Value and there is no gain, no 'gross income' from the performance of services (work). 

This manual is the first and last word on the meaning and operation of the statute that determines whether Americans owe an income tax on their hard earned pay. When you observe how this interpretation comes together you’ll quickly come to understand why the IRS refuses to indulge any and all inquiries as to how Tax Code § 83 operated in any determination of income tax liability.


Understand the law and apply it properly in your life and increase your wellbeing overall! 


Can the DOJ and IRS simply keep this statute a secret?  It's in the law! 

"The taxpayers were entitled to know the basis of law and fact on which the Commissioner sought to sustain the deficiencies." (See Helvering v. Tex-Penn Oil Co., 300 U.S. 481, 498 (1937)).


Note:  This item is included in the 'IRS Freedom' educational package which will give you a much better value for the money spent.

Normally $129 and worth much more!


Now... ONLY  $95 

The 26 USC § 83 Solution

UA-60901710-1