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CHAPTER SEVEN

THE PLUNDERING, BLUNDERING, MURDERING IRS

Should you not know justice? - you who hate the good and love the evil, who tear the skin off my people, and the flesh off their bones; who eat the flesh of my people, flay their skin off them, break their bones in pieces, and chop them up like meat in a kettle, like flesh in a caldron.
Micah 3, verses 1-3.

"Man, biologically considered... is the most formidable of all the beasts of prey, and indeed the only one that preys systematically on his own species."
William James

"The story of the Internal Revenue Service is a history of a tax collection agency drunk with power, ruthlessly smashing dissent among its own personnel and brazenly roughing up taxpayers at will. The IRS defies and intimidates its Congressional creators to go virtually unchallenged in its blatant illegal exercise of awesome powers against the American public...

The violations of the rights of American people today by their own government are ironically parallel to the injustices suffered by the Colonists in the years preceding the Revolutionary War. The Declaration of Independence states that the British King "has erected a multitude of new offices, and sent hither swarms of officers to harass our people, and eat [out] their substance."

Congressman George Hansen, 1980

CAVEAT EMPTOR

The income tax is dead. If you are suffering from a jeopardy assessment, or a lien, or a midnight raid, or some other Internal Revenue Service outrage as you read this, you may well find that hard to believe; but, it's true. Indeed, we believe that the present outrages are symptoms of the system's demise. It's dead, but, like the dinosaurs, it has a pea brain and a primitive nervous system, which is taking too long to send the message. It's dead, but doesn't know it; and its death throes make it more dangerous than when it was alive."
Alan Stang, 1988

What follows is the tragic case of Robert William Smiley, as recounted in Tax Revolt: The Battle for the Constitution by Martin A. Larson:

On March 4, 1976, Clyde H. Allisan and Ralph W. Foster, two IRS agents, paid Smiley a "friendly visit" in the truck-camper he used as a business office in Salem, Virginia. Ten minutes later Robert Smiley was dead from a bullet wound in the head. The IRS men had departed. Behind Smiley's corpse there was a bullet mark in the wall - but the bullet was never found. At the other end of the camper a gun with no fingerprints was found. $2,000, which Smiley had in his pockets, was gone.

Local police reported the death as a suicide. No autopsy was performed. The IRS agents were neither interviewed nor interrogated. No hearing was held. The only IRS official permitted to discuss the matter said that he knew nothing about the incident. Smiley's close friends declared that the suicide theory was contrary to the known facts and at variance with Smiley's jovial and good-natured character.

A week later five IRS agents seized all the vehicles comprising Smiley's business inventory and sold them. The Treasury Department refused to answer any questions on the matter. They also refused that IRS agents Allisan and Foster, who were with Smiley when he died, be interviewed. Meanwhile, IRS agents continued to harass Smiley's broken-hearted, destitute, ill widow to the point that she attempted suicide on October 23, 1976.

The Spotlight (Washington) was the only publication to cover the Smiley tragedy - in their May 24, June, 14, August 9, November 8 and 15, 1976, and May 30, 1977 issues. No mention appeared in the local media.

OTHER IRS ATROCITIES
In June, 1988 Kay Council of High Point, NC came home one night to find a note from her husband, Alex:

"My dearest Kay - I have taken my life in order to provide capital for you. The IRS and its liens which have been taken against our property illegally by a runaway agency of our government have dried up all sources of credit for us. So I have made the only decision I can. It's purely a business decision... You will find my body on the lot on the north side of the house."
At the end of a nine-year battle over a disallowed tax shelter, the IRS claimed that the Councils owed $300,000 in taxes, interest, and penalties. When their financial resources were exhausted, Mr. Council committed suicide to provide Mrs. Council with $250,000 insurance money to continue the battle. Ironically, Mrs. Council eventually won a court ruling that she and her husband owed the IRS nothing - the IRS deficiency notice had been sent four months after the statute of limitations had expired. Mrs. Council, 48, said, "I was cheated of growing old with the man I love."

This atrocity story also comes from Tax Revolt: The Battle for the Constitution by Martin A. Larson, who got it from the Rocky Mountain News of May 3, 1979. It is the story of Jasper and Lucille Gates of Denver, CO, which began when they received a letter from the IRS stating that they had overpaid their 1972 tax by $1,197. However, they never received a refund. Instead, in June 1974 they were notified, without explanation, that they owed $4,451. Soon another letter came, claiming the deficiency was $4,206. In October the IRS claimed they owed $13,700, in November it was $15,000. By October 1975 the alleged deficiency had grown to $16,000 - all without explanation. Then in August 1978 the IRS seized their bank accounts worth about $13,000 and their home worth about $100,000. They sold the home for $16,000. Mrs. Gates, in a wheel-chair, was evicted. With the help of sheriff's deputies, the Gates' furniture and personal effects were thrown into the street. When the news media contacted the IRS, the response was that the IRS couldn't comment because of the Privacy Act.

In Tax Revolt: The Battle for the Constitution, Martin A. Larson gives ten other cases of IRS atrocities. Congressman George Hansen, in To Harass Our People: The IRS and Government Abuse of Power, devotes over a hundred pages to IRS terror tactics. In Chapter One, "Acts of Terror," Congressman Hansen describes three cases:

"The "secret police" arm of the IRS is very real and growing in power and ruthlessness... The taxpayers involved in all three cases had legitimate questions regarding the original IRS assessment against them. All these taxpayers tried to obtain reasonable explanations from the IRS... In each instance, the IRS refused to respond... [T]he IRS's attacks on these citizens came, in every example, without due process of law - a sure sign of the emergence of a police state."

The most dramatic example Congressman Hansen relates is that of Donald McGrath. The IRS claimed he owed $39.65. The IRS didn't want to tell him why. Instead they persuaded McGrath's bank to transfer $39.65 from his account to the IRS. From there the story got complex and nasty and ended with McGrath being shot in the head with a 12-gauge shotgun by a sheriff's deputy. He died a week later.

Congressman Hansen also relates the story of Stephen and Mona Oliver of Fairbanks, Alaska, which includes IRS agents smashing the windows of the Oliver's car with billy clubs:

"After the IRS agents had hurled Stephen from the car, they went after Mona. Several agents dragged her across the broken glass and shoved her onto the pavement, leaving her bruised and bleeding. Even under the authority of a search warrant, what the IRS ruffians did is tantamount to assault and battery. These agents seem to have knowingly committed the crime of assault by using excessive force against non-criminal, nonviolent citizens in a civil matter."

This incident was personally witnessed by tax attorney Donald W. MacPherson and is also described in his Tax Fraud & Evasion: The War Stories:

"In the parking lot was the VW with the Olivers, surrounded by agents and onlookers, including Freeman. The tow truck waited. Freeman was giving verbal abuse to the agents and pointing at them. Photographers and reporters were there, a story in the making. With billy clubs, the agents broke the glass on driver and passenger side of the vehicle and dragged the Olivers out of the vehicle over the glass. Mrs Oliver was screaming about her heart medication in the glove compartment. Through the struggle, pills were scattered with the glass. Freeman continued his barrage of screams, "Would you look at that? It's the modern-day Gestapo." Photographers took it all in. Mark and I watched, not knowing whether to be enraged or disgusted. Our heads appeared in the back of the nationally-circulated photos... Acts of terrorism such as I found only added to the fuels of fire of the tax rebellion. It proved the tax protesters all too correct and, as well, added to my commitment to defeat the Beast."

On the lighter side, Charles Adams in Fight, Flight and Fraud: The Story of Taxation, describes an IRS special task force organized in the 1970s to crack down on the use of tax havens:

The biggest scandal was the famous "Briefcase Caper." A foreign banker arrived in Miami with a briefcase full of banking records. The IRS boss in Miami decided to ignore normal subpoena procedures and use a female escort to distract the banker with sexual favors while agents stole the briefcase, broke open its lock, and photographed the records. Since the banker and the prostitute enjoyed each other so much, she was then sent to the Bahamas to steal additional banking records in open daylight from the banker's desk."

In Taxscam: How The IRS Swindles You And What You Can Do About It, Alan Stang relates his collection of IRS horror stories:

THE IRS AS GESTAPO
In the Introduction of To Harass Our People: The IRS and Government Abuse of Power, Congressman Hansen quotes a former IRS agent:

"I was talking to a lady in an accountant's office Tuesday. She was from Germany and she said to me, 'You know, the IRS is getting just like the Gestapo was in Germany. When it first came out, nobody thought too much about it, but within two or three years when you'd hear the name Gestapo, you'd really get a chill.' She said, 'That's the way it is now with the IRS.' I'm not sure she wasn't absolutely right. I think people are afraid."

Congressman Hansen goes on to describe some of the powers of the IRS. Among government agencies, only the IRS has all these powers:

According to Congressman Hansen, the IRS publicly admits that its purpose is to instill fear into the citizenry as a technique of performing its function of "voluntary compliance" with its Tax Code.

In two chapters - "Education at Gunpoint" and "Armed Raid on St. Anthony" - Congressman Hansen describes how the IRS "educates" its victims in "voluntary compliance." He uses phrases like "armed shakedowns of innocent citizens," "hit lists of citizens," "an agency out of control," and "the IRS considers itself above the law." Congressman Hansen writes:

"As I reached a stoplight I turned to my wife and said, "Warren Bates admitted today that the IRS uses armed agents to go to taxpayers' homes and demand their tax returns. They have lists of people who they claim are violent. I've gone over one of those lists and even called several of the people on it. Most Americans aren't violent, Connie. Their names shouldn't be on a hit list. What in the world is the IRS trying to do? The implication from Bates was that this is becoming standard procedure for the IRS. Can you believe they almost conducted an armed raid on homes in Fremont County - in St. Anthony?

...Over a period of time, I was able to piece together the plan for an armed raid on St. Anthony. As the story fell into place a greater and even more terrifying nightmare unfolded when the magnitude of IRS crimes against the rights of American citizens everywhere began to emerge...

The IRS, armed with an inaccurate and meaningless collection of names amassed by ridiculous methods, but with very deadly weapons, prepared to "educate" the citizens of Fremont County. On November 3, 1975, Howard Martin gave the final go-ahead...

Ostensibly, the specific task of the strike force was "to determine the degree of voluntary compliance, to secure any delinquent returns and to educate the public about tax laws." Apparently, the IRS believes that people learn more easily, volunteer more readily, and pay up more rapidly when they are staring down the barrel of a .38 Special..."

To their credit, some of the IRS agents selected for this raid balked, and the raid was called off.

In a Chapter called "The Bounty Hunters" Hansen describes how the IRS treats its own personnel:

In the chapter called "Rigging Elections" Congressman Hansen says:

"The Internal Revenue Service works diligently to ensure that public officials toe the IRS line. Political leaders are quickly taught that complaints about the IRS are not allowed. The FBI, the CIA, and other agencies of government have been searchingly investigated from time to time... But not the IRS...

Blackmail and extortion are ugly words. But they are the only fair words to describe why IRS is alone among government agencies not being subject to scrutiny. Anyone who complains - anyone - is a candidate for destruction."

Congressman Hansen then continues to describe how in the cases of Senator Ed Long and later Senator Joseph Montoya, the IRS illegally leaked false tax information on them to their opponents during election years, resulting in both cases in their defeat. In 1976 they did the same to Congressman Hansen, however, he was nevertheless re-elected by a narrow margin. An IRS agent involved in the leak later wrote a letter of apology to Congressman Hansen.

Some morsels from subsequent chapters:

All Congressman Hansen's allegations are backed by solid evidence, including internal IRS documents received from whistleblowers. He also says:

"The danger of turning the IRS into a "catch-all" enforcement agency for social policy is brought out time and time again in the chapters of this book. This agency is developing awesome powers and admits no limits to what it judges right or wrong. To achieve its goals, it will lie, cheat, blackmail, and subvert the system of Justice."

When prosecuting taxpayers, the prosecutor is routinely and illegally provided with the tax details of all the potential jurors in the jury pool. The tax information is not provided to the defense. This amounts to blatant jury rigging. Says Congressman Hansen:

"The IRS tabby cat created to collect taxes in a "voluntary system" has grown into a full-sized saber-tooth tiger."

THE IRS ASSAULT ON RELIGION
Both Martin A. Larson (Tax Revolt: The Battle for the Constitution) and Congressman George Hansen (To Harass Our People: The IRS and Government Abuse of Power) deal with the IRS assault on churches. Congressman Hansen devotes a 60-page special section to the "assault on religion." Both these authors include many gross violations of the First Amendment ("Congress shall make no law respecting an establishment of religion, or prohibiting the free exercise thereof.") which supposedly guarantees religious freedom:

IRS REVENGE ON GEORGE HANSEN
In Taxscam: How The IRS Swindles You And What You Can Do About It, Alan Stang describes how the IRS got their revenge on Congressman George Hansen:

"When the State of Nebraska threw pastor Everett Sileven into jail for using "uncertified" teachers in the Faith Baptist Church, in Louisville, George Hansen went there to help. No other national political leaders did so, even after the State Police invaded the Church, where about seventy preachers from around the country were on their knees praying. The police picked the preachers up, carried them out, threw them on the lawn - and padlocked the church. Typically, the Prostitute National Press squelched the story for a long time. Your reporter gave it substantial coverage, in our daily, nationally syndicated, radio news commentary; and was told by many listeners with vehemence that no such outrage had happened or could happen in America."

On April 15, 1987 both Stang and Hansen were back at the Louisville church, attending a conference on liberty. They received a message from Hansen's wife that two U.S. marshals had arrived at Hansen's home. She told the marshals that Hansen was flying home from Omaha that night. The marshals said they would "pick him up and take him home." Other marshals, without a warrant, arrested Hansen at Eppley Airport in Omaha, and threw him into the Douglas County jail. From there he was flown in chains to Washington, where they booked him into the Alexandria City Jail under the assumed name, "Fred Smith." Neither Hansen, his wife, nor his attorney knew that an assumed name had been used. The purpose of these Gestapo tactics was to prevent Hansen from testifying at the Congressional hearings on the "taxpayers' bill of rights," of which he was the author. According to Stang:

"George was thrown into a dark basement cell full of cockroaches and lice, surrounded by drunks... He had to sleep in a bunk too narrow to contain him, and wear his Omaha coveralls for ten days... George is 6'6" tall, and weighed 270 pounds when the daymare began... Congressman Hansen was imprisoned under a law that contains no criminal penalties."

THE NATURE OF THE IRS BEAST
The Declaration of Independence talks about "swarms of officers to harass our people, and eat out their substance." Thomas Paine and Thomas Jefferson understood that taxation is the modern incarnation of cannibalism - "eat out their substance." The IRS is a gang of modern cannibals.

To the IRS the U.S. Constitution is a joke. The fear of the IRS is so pervasive that, with the exception of a few individuals, no policeman, judge, politician, or U.S. President will lift a finger to curb the IRS. Like the Gestapo in Nazi Germany, the IRS can do whatever it likes to terrorize, consume, and destroy - "the power to tax is the power to destroy."

The primary purpose of the IRS is to implement "public policy," which includes converting citizens to the "state religion." The IRS's main weapon is fear. Karl Marx, in The Communist Manifesto, advocated a heavy, progressive income tax and the abolition of private property as essential means for achieving communism - the IRS is a tool for moving the U.S. closer to socialism. Eliminating private schools is also "public policy" - Marx advocated compulsory state education.

Most bankers, judges, and politicians are in league with the IRS - a Grand Coalition for Economic Rape. The politicians and bureaucrats create the huge debts, which initiate the issue of currency. The Federal Reserve bankers create the debt-currency which must be repaid. The IRS collects taxes to pay the Federal Reserve Bankers interest and capital. The commercial bankers provide the IRS with information they use to rip off their victims. The judges jail the dissidents.

IRS rape is more than economic. It is also emotional and psychological: induce fear. IRS rape is intellectual: destroy private schools. It is also religious: destroy private churches. IRS rape is also legal rape: subvert and corrupt judges and the legal system. It is also political: destroy public officials who oppose it.

WHAT YOU CAN DO ABOUT IT
You don't have to passively submit to their economic and other forms of rape! For details and examples of what you can do, study the Tax Reports, e.g.: #16A: The Best Kept Secrets of the IRS; and #16B: Sample Correspondence to Beat the IRS, etc. As an informed individual, your chances of beating them are very high; and any risks to yourself and your property can be minimized or eliminated. As alluded to above, income taxes are voluntary - you can choose to stop "volunteering" any time you want - when you know how. As a general rule, the IRS goes after the "easy pickings." In reality you don't deal with the "IRS monster," but with individual bureaucrats - often not the most competent individuals. Once you know the major weaknesses of the IRS - the soft belly of the monster - you have little to fear. To the informed individual the IRS is really a paper tiger.


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