Tax Guru – Ker$tetter Letter

Helping real people win the tax game.

Archive for September 5th, 2002

Posted by taxguru on September 5, 2002

IRS Prosecuting Tax Protestors

It’s a good sign to finally hear that IRS is at last cracking down on some of those who flagrantly violate the tax laws and brag publicly about it, such as employers who refuse to withhold taxes from their workers’ paychecks. However, IRS is still not nearly as aggressive as they need to be to stop the spread of this bogus information.

While I don’t intend to pick on the feeble minded, this is just too good to avoid. For example, there is one person in Atlanta, Doug Kenline, who has set up his own blog to describe his resistance to the entire income tax system and refusal to file income tax returns. I admit that I have been following his adventures after he called me some nasty names a few months ago for not endorsing his idiotic tax protestor schemes. He has described himself as pea-brained; and I have to agree with that assessment. He has actually posted copies of IRS letters that show all of his identifying information, including his Social Security number. I guess he hasn’t heard of identity theft.

As it is with most criminals, I always wonder why they spend so much time, money & energy pursuing illegal goals, when they could probably do just as well if they were to channel that into legal activities. Doug has actually done a nice job laying out his blog, with links to several others in the tax protestor movement. They now refer to themselves as the Tax Honesty movement because of the negative connotations of Tax Protestor. It’s like the casino industry adopting the term Gaming instead of the more accurate Gambling to describe themselves.

My gripe has long been with the IRS reaction to these tax protestor idiots. By ignoring them and allowing them to publish their bogus information unchallenged, it gives the public the impression that they are right. Most people interpret silence to equal agreement. I am as big a supporter of freedom of speech as you will find. However, that freedom doesn’t include an unfettered right to tell lies and encourage the willful violation of laws. I have passed these sentiments on to the IRS on several occasions and they haven’t been interested in pursing the matter. As everyone should know, I am not a friend of the IRS. However, they have a duty to defend the tax law from people who are recruiting others to violate it.

KMK

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Posted by taxguru on September 5, 2002

Motivation

I’ve always been a big believer in the power of money to motivate behavior. I’m going to assume that it is merely a coincidence with this case in Miami, where, 15 years ago, an 85 year old man promised his doctor a free trip to Europe if he helped him reach 100. The man did make it to 100, and the doctor is going to take the trip.

I hope this doesn’t start some kind of bidding war for doctors’ services, such as “How much is it worth to live long enough to see your grandkids graduate from college?”

KMK

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Posted by taxguru on September 5, 2002

PRC Smoke & Mirrors

Nothing new here. According to the San Jose Mercury and the Sacramento Bee, the rulers of the PRC are using accounting tricks that make Enron and WorldCom look absolutley honest by comparison. The recently passed budget is a complete pack of lies. Sweeping bills and expenses under the rug just means they will pop out to bite the taxpayers next year, after Gray Doofus has been re-elected. I’m so glad we no longer live on the Left Coast.

KMK

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Posted by taxguru on September 5, 2002

Government Workers

It has long been frustrating to know how different things are for government employees versus those of us in the real world. They receive very generous benefits and their pay is completely unrelated to performance. Automatic raises are guaranteed every year. It’s almost impossible to be fired, even when going postal.

As this editorial says, our taxes have to go up to cover the higher cost of lower quality service from our government agencies.

KMK

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Posted by taxguru on September 5, 2002

Spamming The Spammers

Anyone whose e-mail is filled with moronic solicitations will appreciate Michael Kelly’s humorous response to them. I especially like the way in which he utilizes the Nigerian money scam to offset other ones. Very clever.

KMK

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Posted by taxguru on September 5, 2002

Zero Capital Gains Taxes?

Bruce Bartlett does another very fine job explaining why in a true capitalist society, there would be no capital gains taxes. That is in essence taxing the tree, when the proper item to tax should be the fruit.

He also acknowledges that there is almost no chance of having capital gains taxes removed in this country because the left has done such an effective job defining capital gains as something that only evil rich people receive. As we are told constantly by our moral superiors, it is unthinkable to ever grant a tax break to evil rich people.

KMK

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Posted by taxguru on September 5, 2002

High Tech Begging

New technology brings opportunities to adapt them to ages old endeavors. Rather than stand on street corners begging for money, many are jumping on the ‘net, setting up websites and actually receiving a lot of free money.

With copycats jumping in, even directly copying other websites, this will burn out soon. It will also be eye opening to the gullible donors when their tax preparers break the news to them that these kinds of donations are not tax deductible. Gifts to private individuals are not deductible; only to charities recognized by IRS.

KMK

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