HOW THE IRS LIES TO EMPLOYERS ABOUT WITHHOLDING
By: Devvy
December 4, 2003
NewsWithViews.com
"Truth is the first object."
--Thomas Jefferson to Dr. Maese, 1809. ME 12:232In my recent article on How The IRS Violates It's Own Code, the facts were
carefully presented which definitively proved how the IRS deliberately lies
and misleads Americans by unlawfully seizing (stealing) assets by circumventing
the law.This article will prove how the American worker and employer alike have been
hoodwinked regarding the withholding process. The purpose behind this chicanery
is not to benefit America, but to further enrich the coffers of the private banking
cartel aka the Federal Reserve.There is no need for an income tax, flat tax, sales tax or any other direct tax. All
Americans are encouraged to look behind the curtain so that they might fully
understand the grand plunder sucking the lifeblood out of our economy. See:
https://devvy.com. Don't be fooled by this current illusion of a "booming
economy." Debt is not prosperity.Employers must withhold
So says the Great Deceivers, the Internal Revenue Service. Employers are
routinely told that they must, under certain provisions of the tax code, withhold
taxes of all sorts from an employee's paycheck. Funny thing though, when sincere
Americans request that the IRS send its representatives to public seminars on
this issue, the IRS is no where to be found.Robert Schulz, Chairman of the Board of We the People Foundation for
Constitutional Education, Inc., made a swing through 37 cities in April and
May of 2003. Before he arrived at each destination, he sent, via certified
mail, an invitation to both the IRS and U.S. Attorney's offices to come to
his public seminars and correct him if he was giving out the wrong legal
facts regarding withholding. What could be more reasonable?In not one of those 37 cities did either DOJ or IRS send any representative,
begging the question, "Why not?" Schulz is a man of honesty and integrity.
His invitations to DOJ and IRS were sincere; his only desire was to be absolutely
certain that the information he communicated to attendees was legally factual.
Instead, he was met with the same usual arrogance in the form of silence. Why
do you suppose that is?Abracadabra, courtesy of the IRS
Lynda Wall is an expert in the field of withholding and has been assisting
employers and employees alike for many years in understanding the law
regarding this issue. We the People Foundation for Constitutional Education, Inc.
will be holding our national convention in Washington, DC this coming January
and Ms. Wall will give a two hour, comprehensive seminar that will firmly
establish in anyone’s mind once and for all how the IRS lies to employers
about this process and the lawful remedy.According to Ms. Wall:
"The IRS will tell employers and employees that according to IRC section
3402(a)(1) of their code: ".......every employer making payment of wages
shall deduct and withhold upon such wages a tax determined in accordance
with tables or computational procedures prescribed by the Secretary.""However, this is what the law really says: no (federal, state, city or county)
municipal corporation shall levy or collect or cause to be levied or collected
any tax upon the income, or any part thereof, of any person, resident or
nonresident (also known as the "Full Paycheck Law"). Employers are prohibited
from taking amounts from pay for federal or state taxes, fees or other charges
absent the lawful, knowing, written consent of the employee."The Code of Federal Regulations clearly advises the employers at
26 CFR §31.3402(p)-1(a) "An employee who desires to enter into an agreement
for withholding...shall furnish his employer with Form W-4 (or its equivalent)
for withholding. The furnishing of such Form W-4 shall constitute a request
for withholding." Then, 31 CFR §215.2(n)(1) clearly tells the employers they
cannot take amounts from the workers' pay for any form of State tax UNLESS
the employee VOLUNTARILY elects to have such sums withheld."Consensual taking from pay occurs ONLY when an employee voluntarily
elects in writing to volunteer to participate in any (federal, state, city or county)
municipal corporate tax, program, insurance (disability, Medicare), trust
(social security), including non-judicial tax levy, garnishment for taxes, tax
offsets, tax interest or penalty and the employer consents such a request."The fruits of your labor belong to you
Pursuant to 26 CFR §31.3402(p)-1(b)(2), either the employer or the employee
may terminate the withholding agreement (W-4 or its equivalent) by furnishing
a signed written notice to the other. An employer cannot lawfully take amounts
from the worker's pay without the risk of being sued after the worker submits
his/her written notice to terminate the withholding agreement (W-4 or its equivalent).According to Ms. Wall, when the employer's tax professionals (CPA or attorney)
are the ones negligently advising the company to convert and transmit the
worker's property (pay), those incompetent tax professionals are at risk of
being sued for negligence, malpractice and misfeasance. Sheds a whole new
light on things, doesn't it?State laws protect workers from non-consensual taking from pay without
the worker's explicit, knowing, voluntary, written consent. Only the worker
or contractor/payee can make the determination whether or not he/she
wants to volunteer to participate in government taxes, fees or other charges
(i.e., social security trust contributions [FICA], social programs [Medicare],
benefits [disability]) as well as non-judicial liens/levies, penalties and interest.By all means, every employee and employer should go to the law library
and verify the information above. It is accurate, it is factual and it is the
law on the books. Don't take the word of the IRS for anything. Check the facts
for yourself. Then sit down and have a heart to heart chat with your tax
professional and find out why he/she doesn't know the law. After all, they're
supposed to be the experts looking out for you, the client.Unlawfully penalizing employers
The IRS threatens employers with huge fines if they don't withhold payroll
taxes. Funny thing though, according to a September 15, 2003 letter from
GAO (General Accounting Office) to Congressman Elton Gallegly regarding
W-4’s and reporting, this little nugget of truth stands out:"Under current law, IRS does not have statutory authority to impose a
penalty to enforce employer compliance with the reporting requirement.
The reporting requirement was promulgated in Treasury regulations."How many employers has the IRS defrauded for untold millions of dollars in
fines when in fact, they had no legal authority to impose or enforce such
penalties and fines?Tax cheats
The IRS likes to use a lot of rhetoric about "tax cheats" who won't "pay their
fair share." When one lifts the curtain and exposes the lies and fraud being
conducted every day by the IRS, one would venture to say that the real
"tax cheats" are those who work for the IRS.Employers are being fleeced to the tune of approximately 30% of their
operating budget in "payroll deductions." The worker over a ten year period
with $200 of taxes withheld each pay period, would get clipped for $104,000!
For what? Certainly not to fund our military, social security or any other
legitimate, authorized expenditure by Congress. Those expenditures are
funded through borrowing by Congress. Debt is not prosperity.The American workers and employers have been cheated long enough. If
someone owns the fruits of your labor, stolen from you by deceptive and
deceitful methods, then you are a slave. The withholding issue was sold under
the guise of patriotism because the American people did not want this new
taxing scheme back in 1942. Sixty-one years later, the American people still
don't want this fleecing of the fruits of their labor which does not benefit them
in any way. This process only encourages addictive over spending by Congress
and more borrowing from the central bank. Again, debt is not prosperity.We the people have two choices: You can either stay on your knees to this
tyranny or you can get the facts and then enforce your rights using the law.What future will you pass on to your children and grand babies? Freedom
or indentured servitude?© 2003 Devvy Kidd - All Rights Reserved