October 1994

Letter from Ms. Tammy Soldier:

I purchased Lynne Meredith's Vultures in Eagles Clothing and also her newsletter. In April I filed amended returns based on the prescription in the book. My returns were rejected by the IRS and I have been charged the "frivolous return" penalty of $500 per year.
Sincerely, Tammy Soldier

Frederick Mann:
You say, "My returns were rejected by the IRS." Does thinking about what happened in this way leave you a little helpless? "I sent in all these forms, just like the book said. They rejected my returns. They penalized me $500. It didn't work."

Instead of saying, "My returns were rejected by the IRS," you could say, "An individual bureaucrat sent me a letter trying to intimidate me and extort $500 from me." Then you could have checked whether the letter was really from an individual, or just a computerized form letter. If it came from an individual and was appropriately signed, you could have determined if there really was such an individual. You see, the letter could have been a hoax!

There's a general thinking skill involved here: distinguishing between what actually happened and your interpretation of what happened. You see, "My returns were rejected by the IRS" is your interpretation of what happened. What really happened is that you received a piece of paper. Most people most of the time react (like puppets?) to their interpretations of what happened, rather than respond (consciously) to what actually happened. I suggest to you that your interpretation had a hypnotic, stupefying, and debilitating effect on you. (Ms. Soldier later told me that she paid the $500!)

The IRS obviously uses a "$500 test letter" to separate the "easy marks" from the "fighters they eventually leave alone." In addition to the material covered in the tax reports, I suggest you acquire the book No Enforcement Statutes/ Regulations Applicable for Individual Income Tax! by Eddie Kahn. It specifically includes instructions on how to deal with the so-called "frivolous return penalty."

Letter from Mr. Larry Stewart:

Whether or not you would like to address this in your newsletter, here's a perplexing problem we've been stuck with in New York State since about 1964 or 1965 when Nelson Rockefeller and company saddled us with the sales tax. Since then, virtually all states have adopted the sales tax to collect revenue.

Sales taxes may be legal, but, there are some "freedom" issues involving businesses that seem to get ignored. So I wonder if there is any way around this, not for the taxpayer, but for the "tax collectors" - the businesses that must enforce the tax, keep records, and make reports to the state agency.

I don't know how it works in places such as Arizona, but in New York, business must, upon opening, register with the state as "vendors" and obtain a "certificate of authority" to collect sales and use taxes or be subject to fines and/or the possibility of being shut down and/or the possibility of imprisonment. So in order to conduct business and earn their living without "a job," business owners - large and small must, without compensation, act as tax collectors and record keepers for the state. To fill out the forms, they must, of course, provide the state with information about their affairs.

Well-known tax fighter Irwin Schiff was, I believe, prosecuted by the IRS, when that agency was supplied with information provided by the state (Connecticut, I believe, though I don't know whether or not this information came from his sales tax returns).

If you have anything to say on this subject - whether in your newsletter or in a report - or can lead me to some good information addressing this issue, I'd much appreciate seeing it or learning about it.

Sincerely, Larry Stewart

Frederick Mann:
In order to live as a free sovereign, to operate a sovereign business, you have to discover certain things about yourself and certain things about the territorial gangsters who masquerade as "the state" (so-called). You also have to develop certain abilities - one being: the ability to question everything.

What you have to learn about yourself is that you are free by nature. For most people this is extremely difficult, because they've never really experienced freedom. Before Mr. Stewart can discover that he is free, he may have to clean the "statist mush" from his own brain.

Please reread the third paragraph of Mr. Stewart's letter above. It's all statist mush. Like most of us, Mr. Stewart was forced into a concentration campus for mind destruction where he was brainwashed with statist mush: the "authority who lays down the law," all kinds of "musts," and many more "must nots." Mr. Stewart internalized all this "authority mush" - it became a kind of "meta-conceptual structure" through which he sees himself in relation to doing business in the domain of "the state" (so-called).

Mr. Stewart's third paragraph is a paradigm - a way of viewing the world. He bought this paradigm. Practically everybody buys this paradigm. And there are people with clubs, guns, and jails to enforce the paradigm. So it's very difficult to question this statist mush and to jump out of the paradigm.

This is where Freedom Technology comes in: the practical knowledge, methods, and skills to live free, the street-smart know-how to outwit the territorial gangsters - individuals who use fraud, coercion, and terror to claim "jurisdiction" (so-called) over their victims who happen to be in some geographic territory. Territorial gangsters brainwash their victims so they'll work for them like slaves, as described in Mr. Stewart's third paragraph - please read it again.

Some of what Mr. Stewart has to learn about the territorial gangsters is covered in my article, "The Nature of Government." He also has to recognize that buying their statist mush can have hypnotic, stupefying, and debilitating effects. So much so, that it can be very difficult for some people to really read our materials.

Practically, there are many additional steps Mr. Stewart can take; some examples:

  1. Change his status to that of Sovereign Individual - use our "Affidavit of Truth", or some other approach.
  2. If it's legally and practically feasible, exit federal, state, and local tax systems.
  3. Use a Pure Contract Trust to operate his business.