Showing posts with label IRS. Show all posts
Showing posts with label IRS. Show all posts

Friday, February 21, 2014

IRS Self Employment Tax Misnomer

Trigger

While preparing my tax return for 2013, I could not help myself but to write this blog post.

If you are not sure what I am talking about, then check out following IRS documents:

What An Humbug!

This tax is anything but a self employment tax. It is the Social Security payroll tax (12.4%) plus Medicare tax (2.9%). So as a sole proprietor I have to pay both the employer and the employee portion of the Social Security payroll tax adding up to 12.4%.

Big Government Fools Its Citizens For Too Long A Time

It is outrageous that employees pay only half the Social Security payroll tax in the U.S. as well as in e.g. Germany. This is a great deception and a great fiction implemented by big government to fool its citizens.

Monday, December 16, 2013

President Obama's Abuse Of The IRS Continues

Trigger




Targeting Political Opponents


The IRS aims to recategorize specific activities of 501(c)(4) groups as political activity thus denying e.g. tea party organizations their tax exempt status.


Liberal groups registered as 501(c)(3)s are exempted from this recategorization.


Labor unions,, registered as 501(c)(5)s, the by far biggest donors to the Democrats, are exempted from this recategorization.


Lessons Learnt


The IRS code with its bewildering array of 501 organizations should be either repealed or completely rewritten.

This pure public works for tax advisers and IRS federal employees!

Monday, June 17, 2013

John F Kennedy And IRS Abuse

Source

In “A Brief History of IRS Political Targeting” author James Bovard tells story about four US Presidents who were actively using the IRS to go after their opponents. This article appeared on 5/15/2013 in the Wall Street Journal.

The Discordant Voices Of Extremism

These words were used by JFK in a speech on 11/18/1961. “Shortly thereafter, JFK signaled at a news conference that he expected the IRS to be vigilant in policing the tax-exempt status of questionable (read: conservative) organizations.

Within a few days of Kennedy's remarks, the IRS launched the Ideological Organizations Audit Project. It targeted right-leaning groups, including the Christian Anti-Communist Crusade, the American Enterprise Institute and the Foundation for Economic Education. Kennedy also used the IRS to strong-arm companies into complying with "voluntary" price controls. Steel executives who defied the administration were singled out for audits.

A 1976 report by the Senate Select Committee on Government Intelligence on the Kennedy program noted: "By directing tax audits at individuals and groups solely because of their political beliefs, the Ideological Organizations Audit Project established a precedent for a far more elaborate program of targeting 'dissidents.'"”

“d. IRS Investigations of Political Organizations  

The lES program that came to be used against the domestic dissi-  dents of the 1960s was first used against Communists in the 1950s.  As part of its COINTELPRO against the Communist Party, the  FBI arranged for IRS investigations of Pai'ty members, and ob-  tained their tax returns.^^° In its efforts against the Connnunist Party,  the FBI had unlimited access to tax returns : it never told the IRS why  it wanted them, and IRS never attempted to find out.^^^   In 1961, responding to White House and congressional interest in  right-wing organizations, the IRS began comprehensive investiga-  tions of right-wing groups to identify contributors and ascertain  whether or not some of them were entitled to their tax exempt status.^^^  Left-wing groups were later added, in an effort to avoid charges that  such IRS activities were all aimed at one part of the political spectrum.  Both right- and left-wing groups were selected for review and investi-  gation because of their political activity and not because of any infor-  mation that they had violated the tax laws.^^^   While the IRS efforts begun in 1961 to investigate the political  activities of tax exempt organizations were not as extensive as later   ""Memorandum from J. Edgar Hoover to R. F. Kennedy, 11/20/63. (John F.  Kennedy Library.)   ^" Memorandum from Attorney General Kennedy to the President, 4/12/62 en-  closing memorandum from Director. FBI, to the Attorney General, 4/12/62 ;  testimony of Courtney Evans, former Assistant Director, FBI, 12/l/7r>, p. .39.   "" Letter from Attorney General McGrath to President Truman, 12/7/49 ; letter  from J. Edgar Hoover to Maj. Gen. Harry H. Vaughn, Military Aide to the Presi-  dent, 1/14/50.   ^™ Memorandum from J. Edgar Hoover to Attorney General William P. Rogers,  5/2.5/60.   '** Memorandum from A. H. Belmont to L. V. Boardman, 8/28/56, p. 4.   '"^ Leon Green testimony, 9/12/75, pp. 6-8.   ^*'' Memorandum, William Loeb, Assistant Commissioner, Compliance to Dem.  J. Barron, Director of Audit, 11/30/61.   ^^ Memorandum, Attorney Assistant to Commis.sion to Director, IRS Audit  Division, 4/2/62.     54   programs in 1969-1973, they were a significant departure by the IRS  from normal enforcement criteria for investigating persons or groups  on the basis of information indicating noncompliance. By directing  tax audits at individuals and groups solely because of their political  beliefs, the Ideological Organizations Audit Project (as the 1961 pro-  gram was known )^^* established a precedent for a far more elaborate  program of targeting "dissidents." ^^^”