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The News

Current Events and Continuing Education for September 28 through October 11, 2014

“Knowledge will forever govern ignorance; and a people who mean to be their own governors must arm themselves with the power which knowledge gives.”

-James Madison


Please Start Here

Features in this edition:

(Click on the underlined text to jump to each feature. To return, use your browser's "back" button, or close the new tab or window to which you have jumped.)

On the art of full-spectrum bs:

Illusions Of Authority


Attention! Grown-Up At Work

A Nice New Out-Reach Tool


This week's recommended reading:

High Cost of Bad Journalism on Ukraine


The biggest lie of the week; the world according to neo-con nutcases; the REAL 'existential threat'; more...

On This And That...


The most important question facing Americans today:

What Do The People Do About The Rogue State?


Guess what? There are only two possibilities:

You Either Stand Up For The Truth, Or You've Surrendered To The Lie


Spotlights on the past that help bring clarity to the present:

Illuminating Anniversaries for this week


Got something to say?

Your Comments


...and much, much more!


My interview by Lana Lotkeff for Radio 3Fourteen can be found here.


The Fourteenth Edition of CtC is Now Available!

Get The Short, Easy Intro To The Liberating Truth About The Tax


Click here for the current Mid-Edition Update posts

Featured In This Update:

cap-i-ta-tion (ka-pə-ˈtā-shən), n.  1...


IRS Commissioner To Congress: "Wherever we can, we follow the law..."


A Crack Opens In The "Frivolous" Stonewall


The IRS Is Not An Agency... Puhhleeeese!


Proud to be an American: What Should It Mean?


What Makes YOU A Warrior For The Truth?


Project Paradigm-Shift


Test Your "Income" Tax IQ!


A "Pragmatic" Perspective On The Tax And The Rule Of Law


Your Comments


...and much, much more!


"There are two distinct classes of men...those who pay taxes and those who receive and live upon taxes."

- Thomas Paine


C'mon! CtC can't be right! You're crazy!

If CtC were actually right,

it would mean the government's been concealing and denying the truth for years on end,

and everybody knows THAT would never happen...

(Edward Snowden, come home! It was all just a bad dream; there really is No Such Agency!)



Do you know someone truly steeped in the Kool-Aid?


 I mean someone who finds it easier to believe that the far-better-educated, far-more-suspicious-of-government Americans of a hundred years ago were complete morons who granted authority to the state to take whatever it wished from themselves and their posterity than to imagine that they themselves simply misunderstand the true nature of the income tax? Even while knowing that their beliefs about the tax are derived entirely from the representations of those who profit from those beliefs (like tax bureaucrats and "tax professionals")?


Do you know someone like that? Shake them awake with the latest (fourteenth) edition of CtC!


Regular Resources:


I'm delighted when anyone wishes to share what I have posted here with others! Sharing this page is an important means of moving toward the restoration of the rule of law-- PLEASE DO IT!! But I'd appreciate your doing so by directing your friends here themselves, rather than by copying and emailing the material.




You can't understand the present if you don't understand the past...

Illuminating anniversaries of this week:

September 28- In 1066, the Norman conquest of England begins.  In 1781, American Revolutionary forces begin the siege of Yorktown, Virginia.  In 1928, penicillin-- the first antibiotic-- is discovered.  In 1971, the United Kingdom criminalizes the medicinal use of marijuana.

Anniversaries of interest for each day of this week will be found throughout the newsletter below.


"It does not take a majority to prevail... but rather an irate, tireless minority, keen on setting brushfires of freedom in the minds of men."

-Samuel Adams


Illusions Of Authority

Or, the art of full-spectrum bs, fully illustrated with real-world examples!

IF YOU EVER HAVE TO PROVE TO ANYONE THAT THE LAW IS JUST WHAT CtC SAYS IT IS, and that the government and the courts agree, it's easy. All you have to do is point out that when the government and certain cooperative federal judges sought to convict me on charges of "filing false returns" for saying that my earnings were not "wages" as defined in the law, they refused to let the jury see the actual statutory definitions of "wages", and instead gave it prosecution-written "substitute definitions".

That pretty much tells the whole story about what the law really says and means, and that the courts and the government know and agree that what it says and means is exactly what I say it does. Anyone who denies this point is frankly crazy.

If the government and courts have to write their own version of the statutes in order to get some that say and mean what they needed to accomplish my conviction-- that everyone's earnings are "wages"-- it can only be because the versions written by Congress DON'T say and mean that. This isn't rocket science, people.

So, this is an example of one way in which the State creates a pretense of legitimacy for what it wants everyone to believe is the actual law: Just make something up, apply it in an exercise of pure, unadulterated corruption, announce the "outcome" of the bogus trial thus thoroughly gimmicked, and hope no one looks closely at what got done.

HERE'S THE MORE COMMON PROCESS: Over the course of thousands of rulings made over decades by hundreds of federal judges in scores of federal courts, many will be ill-educated, careless or sloppily-written. (This is true even though the writers will likely be practiced at sounding sober and knowledgeable.)

Worse, many of these rulings and opinions will actually be written by DOJ attorneys-- the same ones representing the government in the case. They will be carefully and cleverly written for the express purpose of validating whatever creative legal theory, construction or interpretation the same attorney had dreamed up and argued as the basis for getting his way in the litigation being ruled upon.

In the aggregate, these sloppy, ill-educated, careless and-or self-serving "rulings" become a toolbox. Out of that toolbox thousands of government lawyers tease out and carefully sculpt excerpts to give the appearance of support to anything the attorneys want to "prove" (which always amounts to the bestowal of the appearance of legitimacy for any power to which the state wishes to lay claim).

Then it gets worse still, as a second generation of sloppy and self-serving rulings are churned out in which prior examples of the same sloppy or self-serving rulings are cited as "precedents". This makes the new batch not just forays into fantasy but actually FURTHER forays into fantasy-- fantasy in the sense of being departures from, if not outright contrary to, what the law actually supports.

Then, to top it off, there are the instances in which a ruling is written purely for the purpose of evading the law on the government's behalf, with completely faked precedents cited as the justification for the (usually otherwise reasoning-free) decision. Here's a good example, again from my own case, but this time on the appellate level.

All of these "precedent-citing" future decisions-- which again, rarely contain any reasoning attempting to explain or justify what the cited precedent purports to support-- bear the appearance of authority. They suggest that some diligent jurist dwelt on the matter at issue, pored over the law-books and cases, and impartially added the weight of his or her own reasoning to those of some colleague addressing the same issue in a prior proceeding, resulting in a reliably sound and settled conclusion.

But the fact is, these decisions are pure corruption, either of the "reckless disregard" or the "deliberate" varieties. What they are not is any kind of indicator or authority for the actual legal validity of whatever they pretend to uphold or enforce.

Nonetheless, unless they are denounced and briefed (or hooted) off the stage by litigants and/or honest legal professionals, every one of these fraudulent "decisions" will be used, in turn, as "precedents" for future decisions at least as defective or deceptive, if not worse.

ALTHOUGH I CAN'T SAY THAT I HAVE GIVEN TOO MANY OTHER AREAS OF LAW and federal jurisprudence nearly the same attention as I have that of taxation (with a few important exceptions, as will be seen in 'Upholding the Law'), I believe I can say without fear of embarrassment that no other area of law than that of federal taxation has been comparably assaulted by the kind of corruption of which I speak in this article. The reason for that is simple: over the last 75 years the state has been creating, nurturing and defending a massive scam in regard to tax law.

Indeed, the sheer volume and distorted character of the judicial frauds with which the state's preferred practices concerning the tax are hedged about is-- by itself-- powerful evidence of the fact that those practices are contrary to the truth of the law and can only be sustained with an army of lies.

Over the years I have devoted time and effort to exposing some of the bogus judicial rulings most heavily-relied-upon by DOJ and IRS Office of Chief Counsel lie-yers and corrupt courts. Today I want to point everyone to these various exposures, for two reasons.

First, it is always my hope that everyone of you will make use of these debunkings in any legal actions in which the bogus rulings are cited against your educated and law-upholding positions. See to it that any legal professional you may be using to assist you does the same (and you legal pros reading these words should be busy making names for yourselves and doing much good for us all by using this material to write papers for your professional journals).

Secondly, I'm in something of a troll-hunting mood. Over the last few weeks I've been made aware of a very focused new effort by the state and its under-bridge-dwelling minions to frighten people away from picking up a copy of CtC and learning the liberating truth, and to frighten the already-educated away from sharing victories.

This effort has included heavy flogging of the fiction that "the courts have rejected CtC's arguments", with the bogus rulings I've disassembled (and others which cite to them) as the evidence trotted out for misleading display to the unknowing. It is hoped that the true character of these rulings will go unremarked, because every school-kid knows that the only reason for relying on bs is a lack of anything legitimate that makes your case.

The bogus court ruling references presented to an American public the state wishes to frighten away from what it very much recognizes as its Yorktown are accompanied by wildly distorted and exaggerated stories of government attacks on educated filers and claimants intended to exploit the last resort of the tyrant and the corrupt when the facts don't serve their purposes: fear.

Like the bogus court rulings, reliance on which proves that no legitimate judicial rulings in opposition or dispute of what is taught in CtC exists, what "executive resistance" to CtC-educated filings and claims there is consists of bogus pretenses, such as "asserting" "frivolous submission penalties" on things to which they are plainly not applicable.

Understand that when I say "plainly not applicable" I'm not talking about "asserting" a penalty to a return or other item within one of the categories of things potentially subject to such a sanction which I simply don't think qualifies. I'm talking about "asserting" the penalties in regard to things not in any category at all, or "asserting" the same penalty multiple times in regard to the same item. Like the bogus court ruling contrivances, the only reason for such pretenses is a lack of any legitimate basis for resisting a filing or claim.

I'M GOING TO PROVIDE LINKS to the analyzed "scare" rulings now, and to a page laying out the bogus character of "frivolous penalty assertions". Please pour yourself a cup of your favorite productive-time beverage and read through them. Then come back here and read what follows below the links.

United States v. Sloan, 939 F.2d 499, 501 (7th Cir. 1991)

Lovell v. United States, 755 F.2d 517 (7th Cir. 1984) (and Parker v. Comm'r, 724 F.2d 469, (Fifth Cir. 1984))

United States v. Latham, 754 F.2d 747, 750 (7th Cir. 1985) and Sullivan v. United States, 788 F.2d 813 (1st Cir. 1986)

"LexisNexis" Misrepresentations Regarding Pacific Nat'l Ins. v. United States and the Limited Meaning of "Person" in 26 U.S.C. § 6671(b)

In re Meador, 79 Mass 454 (1869)

Hartman v. Comm'r, 65 T.C. 542 (1975)

U.S. v. Hendrickson

Hendrickson v. United States

Hendrickson v. United States

Regarding "Frivolous Return" Letters And Notices

Examples Of "Frivolous Penalty Assertion" Episodes

NOW, DOES ANYONE REALLY THINK that if any court(s) in all of American history had ever said, "All gains (or earnings, or receipts, or whatever else that wasn't a custom-defined term in tax law was appropriate to the question) of any and every kind by an American, or in America (or whatever else that wasn't a custom-defined term in tax law was appropriate) are taxable under the federal income tax", that or those wouldn't be the case(s) cited and relied on by the DOJ and IRS in all of their representations meant to suggest such a thing? And does anyone really think that if such statements were true, they wouldn't have been said that plainly by some court by now?

(This as opposed to careful and meaningless tautologies with language like "All income is taxable", which says nothing more than, "All of what qualifies as the object of the tax is taxable." It is undisputed that whatever qualifies as "income" in the context of the tax is taxable. The issue is what qualifies as "income" in the context of the tax.)

Does anyone think that the IRS and DOJ would be relying on careful misrepresentations of squirrelly and dodgy cases like 'Latham' and 'Sullivan' or other cases citing to those squirrelly and dodgy cases as their authorities (as they have been doing for decades) to convince people that "includes" means "also includes" or that the statutory definition of "employee" at 26 USC 3401(c) embraces ALL workers of every kind under any circumstances if any ruling really said those things?

Does anyone think any court would have engaged in the transparent dodge (and consequent constructive admissions) over the meaning of "includes" as was done by the Sixth Circuit in response to my motion to vacate if it really could say that "includes" means "also includes", or even just that "person" in 26 USC 7343 means "any person"?

Does anyone in his or her right mind think that if it were true that CtC-educated filings and claims could be legitimately resisted or overcome there would have ever been so much as a single bogus "frivolous penalty" scare-letter issued to anyone? (Not to mention tens of thousands of surrenders to those filings and claims in a constant, sustained, massive acknowledgement by federal and state governments for more than ten years now...)

This would NEVER have happened. Instead, if these filings and claims really were invalid and/or "frivolous" there would have been NOTHING but simple disallowances of claims, a few prominent "failure to file" prosecutions in which it was plainly alleged and proven that such returns are invalid under the law, and/or just straight-up application of the "frivolous penalty" to every one of them.

NONE would ever get a bogus "frivolous penalty assertion". Any that came to the attention of the government enough for a bogus "assertion" would have simply gotten a real, straightforward and perfectly clear penalty imposition.

In the end, then, the record proves that the state's resistance to what is revealed in CtC is entirely unfounded, and entirely fraudulent-- a series of mere ploys and subterfuges intended to keep you from learning and acting on people-empowering truths the state fully acknowledges but finds inconvenient.

In the end, you have to decide whether your rights to your property, and the benefits of the rule of law to you and your children, are going to be stripped from you because you put your head down in response to pure bullsh*t.

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(A suggested donation amount of $100 shows-- change this to whatever you wish.)



Copy and post this one around, people!




A Nice New Out-Reach Tool

A FINE ACTIVIST WHO KNOWS THE DIFFERENCE between "grumble" and "rumble"-- and why the one does nothing and the other does everything-- has produced a great new one-page handout/flyer. Get it as a printable and sharable .pdf here; see the content below:

Do you pay alcohol tax on milk?

Do you pay cigarette tax on bacon?

No? Why not?

Because what’s drunk and smoked from the grocery story is not subject to the same excise tax as the products smoked and drunk from the convenience store.  Then why do you pay an income tax on non-excise-taxable activities of common right, such as earning a living?

If your accountant, CPA, or payroll department’s corporate counsel tells you that the income is a direct tax, excused from apportionment by the 16th Amendment, then they are woefully misinformed1 by the IRS’s office of disinformation, and have completely failed to conduct due diligence.

The federal income tax in the United States is an indirect tax2. More specifically, it is an excise3 tax on certain privileged4 activity, just like there is an excise tax on certain products such as alcohol, cigarettes, and gasoline.  That is why the federal income tax is entirely lawful and constitutional, as written.  That is why the 16th Amendment and the Internal Revenue Code harmonize with the US Constitution’s prohibition5 of direct taxes that are not apportioned among the states based on population. In fact, the 16th Amendment does not deal with direct taxes6 at all!  Though the income tax is entirely lawful, it is often misapplied.

Would you stop the cashier at a grocery store from charging you fuel tax on a gallon of apple cider?  Though it’s similar in color to gasoline, it’s entirely different altogether, and not subject to the fuel excise tax.  The same goes for milk and bacon and the tax on alcohol and cigarettes.  It’s no different from the common right to earn a living versus the privilege of working for or getting paid by the federal government, an activity which is subject to the excise tax.

Learn how to stop paying the excise (privilege) tax on your exercise of the common right to earn a living. It’s not much harder than informing the cashier that your apple cider isn’t gasoline, even if the stock clerk, like a misinformed payroll clerk, slaps the wrong label on the product or earnings.  Learn why only about 8% of the population, on average, paid the income tax from 1862 to 1942, during the years that the income tax was active, and learn how & why that number jumped up to around 90% during a few years following 1943. Learn all this and much, much more at LostHorizons.com or by reading “Cracking the Code—The Fascinating Truth about Taxation in America” by researcher, analyst, and legal scholar Peter E. Hendrickson.

1. "If [a] tax is a direct one, it shall be apportioned according to the census or enumeration. If it is a duty, impost, or excise, it shall be uniform throughout the United States. Together, these classes include every form of tax appropriate to sovereignty. Whether the [income] tax is to be classified as an "excise" is in truth not of critical importance [for this analysis]. If not that, it is an "impost", or a "duty". A capitation or other "direct" tax it certainly is not." --U.S. Supreme Court, Steward Machine Co. v. Collector of Internal Revenue, 301 U.S. 548 (1937) (Emphasis added; citations omitted.)


 "The Supreme Court, in a decision written by Chief Justice White, first noted that the Sixteenth Amendment did not authorize any new type of tax, nor did it repeal or revoke the tax clauses of Article I of the Constitution, quoted above.  Direct taxes were, notwithstanding the advent of the Sixteenth Amendment, still subject to the rule of apportionment…" --Legislative Attorney of the American Law Division of the Library of Congress Howard M. Zaritsky in his 1979 Report No. 80-19A, entitled 'Some Constitutional Questions Regarding the Federal Income Tax Laws'


2. "In Brushaber v. Union Pacific Railroad Co., Mr. C. J. White, upholding the income tax imposed by the Tariff Act of 1913, construed the Amendment as a declaration that an income tax is "indirect," rather than as making an exception to the rule that direct taxes must be apportioned." --Harvard Law Review, 29 Harv. L. Rev. 536 (1915-16)


3. "[T]he amendment made it possible to bring investment income within the scope of the general income-tax law, but did not change the character of the tax. It is still fundamentally an excise or duty..." --Treasury Department legislative draftsman F. Morse Hubbard in Hearing Testimony in 1943


4. “The terms ‘excise’ tax and 'privilege’ tax are synonymous and the two are often used interchangeably.” --American Airways, Inc. v. Wallace, 57 F.2d 877, 880 (M.D. Tenn. 1937)


"...the requirement to pay [excise] taxes involves the exercise of privilege..." --United States Supreme Court, Flint v. Stone Tracy Co., 220 U.S. 107 (1911)


5. "No capitation, or other direct, Tax shall be laid, unless in Proportion to the Census or Enumeration herein before directed to be taken." --United States Constitution, Article 1, Section 9


“…direct Taxes shall be apportioned among the several States…according to their respective Numbers” --United States Constitution, Article 1, Section 2


6. "The Supreme Court, in a decision written by Chief Justice White, first noted that the Sixteenth Amendment did not authorize any new type of tax, nor did it repeal or revoke the tax clauses of Article I of the Constitution, quoted above.  Direct taxes were, notwithstanding the advent of the Sixteenth Amendment, still subject to the rule of apportionment…" --Legislative Attorney of the American Law Division of the Library of Congress Howard M. Zaritsky in his 1979 Report No. 80-19A, entitled 'Some Constitutional Questions Regarding the Federal Income Tax Laws'



Here's Another:

TOM BOTTARO, ChFC, HAS JUST PUBLISHED a new book, 'SECRETS of the Income Tax Code- What the IRS doesn't want you to know!' Tom's book is a nice, accessible drill-down on several key aspects of the tax. Find it here.

Find many other printables and sharables suited to every different occasion and purpose here.


The Honor Roll 

Do you have a victory to share?  Click here to learn how to do so.

If you're working on one, and just getting stonewalled or speed-bumped, you can still be recognized! Go here to learn what to do.

Care to post a comment on this article?

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The Liberating Truth About The 16th Amendment

IF YOU'RE NOT SPREADING THIS LINK with every bit of energy you can, to school libraries, homeschool families and community groups, your neighbors, your family members, your pastors and co-congregationalists, journalists, lawyers, CPAs, members of congress, tax-agency workers, Wikipedia, Anonymous, WikiLeaks, the Tax Foundation, everyone in the "tax honesty" movement, the 9/11 truth movement, other activist movements and everyone else, you have only yourself to blame for your troubles with the tax, and a whole lot else of which you might complain. It's on you.

WRITE A NICE, FRIENDLY AND BRIEF introductory note explaining what will be seen at the link-- cryptic is bad; excited is good-- and then send this WMI (weapon of mass instruction) far and wide.

"I am a great believer in luck, and I find the harder I work, the more I have of it."

-Thomas Jefferson


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A teacher asked her 6th grade class how many of them were fans of Big Government.
 Not really knowing what a Big Government fan is, but wanting to be liked by the
 teacher, all the kids raised their hands except for Little TJ.
 The teacher asked Little TJ why he has decided to be different...again.
 Little TJ said, "Because I'm not a fan of Big Government."
 The teacher asked, "Why aren't you a fan of Big Government?"
 Little TJ said, "Because I'm a libertarian."
 The teacher asked him why he's a libertarian.  Little TJ answered, "Well, my Dad's a libertarian and my Mom's a libertarian, so I'm a libertarian."
 Annoyed by this answer, the teacher asked, "If your dad were a moron and your mom were an idiot, what would that make you?"
 With a big smile, Little TJ replied, "That would make me a fan of Big Government."


Illuminating anniversaries of this week:

September 29- In 1916, John D. Rockefeller becomes the world's first billionaire.  In 1966, the Chevy Camaro hits the road.  In 1982, the first of what will be seven victims dies in Chicago from ingesting poisoned Tylenol capsules.  In 2004, the privately-built craft 'SpaceShipOne performs a successful flight into space.  In 2008, the Dow Jones Industrial Average falls 777.68 points, the largest single-day drop in its history.


Real Americans don't accommodate fog, lies and a sliding scale of adherence to the rule of law. Real American men and women stand up for the truth and the law, come what may, knowing that it is only by setting the bar at the top and enforcing it, come what may, that liberties are secured.


"Heaven knows how to put a proper price upon its goods; and it would be strange indeed if so celestial an article as freedom should not be highly rated."

-Thomas Paine




ONLY ONE THING WILL WIN YOU YOUR LIBERTY: Spreading the truth. Accordingly, I've assembled outreach resources into a new, dedicated page. Find it here, and please, USE THESE TOOLS!! I can't do this all by myself. 

"In a time of universal deceit - telling the truth is a revolutionary act."

-George Orwell

Care to post a comment on this article?

Set a brushfire-- E-mail this newsletter to a friend

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Test Your "Income" Tax IQ!

CtC Warrior SanDiegoScott has put together a great little 20-question quiz to test your knowledge of the law regarding the United States "income" tax.  Test yourself, test your friends and family!  Test your accountant and tax attorney, and help them learn the liberating truth!!


Click here to take the test


Click here for more Tax IQ tests


“Knowledge will forever govern ignorance; and a people who mean to be their own governors must arm themselves with the power which knowledge gives.”

-James Madison


How About You?


Are You Governing Yourself?


Get The Knowledge, Reclaim Your Power, And Stand With The Founders




High Cost of Bad Journalism on Ukraine

by Robert Parry

The costs of the mainstream U.S. media’s wildly anti-Moscow bias in the Ukraine crisis are adding up, as the Obama administration has decided to react to alleged “Russian aggression” by investing as much as $1 trillion in modernizing the U.S. nuclear weapons arsenal.

On Monday, a typically slanted New York Times article justified these modernization plans by describing “Russia on the warpath” and adding: “Congress has expressed less interest in atomic reductions than looking tough in Washington’s escalating confrontation with Moscow.”

But the Ukraine crisis has been a textbook case of the U.S. mainstream media misreporting the facts of a foreign confrontation and then misinterpreting the meaning of the events, a classic case of “garbage in, garbage out.” The core of the false mainstream narrative is that Russian President Vladimir Putin instigated the crisis as an excuse to reclaim territory for the Russian Empire.

While that interpretation of events has been the cornerstone of Official Washington’s “group think,” the reality always was that Putin favored maintaining the status quo in Ukraine. He had no plans to “invade” Ukraine and was satisfied with the elected government of President Viktor Yanukovych. Indeed, when the crisis heated up last February, Putin was distracted by the Sochi Winter Olympics.

Rather than Putin’s “warmongering” – as the Times said in the lead-in to another Monday article – the evidence is clear that it was the United States and the European Union that initiated this confrontation in a bid to pull Ukraine out of Russia’s sphere of influence and into the West’s orbit.

This was a scheme long in the making, but the immediate framework for the crisis took shape a year ago when influential U.S. neocons set their sights on Ukraine and Putin after Putin helped defuse a crisis in Syria by persuading President Barack Obama to set aside plans to bomb Syrian government targets over a disputed Sarin gas attack and instead accept Syria’s willingness to surrender its entire chemical weapons arsenal.

But the neocons and their “liberal interventionist” allies had their hearts set on another “shock and awe” campaign with the goal of precipitating another “regime change” against a Middle East government disfavored by Israel. Putin also worked with Obama to resolve the dispute over Iran’s nuclear program, averting another neocon dream to “bomb, bomb, bomb Iran.”


Click here to read the rest of this article and then ask yourself:

Aren't you REALLY, REALLY glad YOU'VE taken control of how much of YOUR WEALTH facilitates Washington's misbehavior?!


If you haven't, what the hell is wrong with you?!

Do you not understand how IRRESPONSIBLE YOU ARE for not having done so?



Even as ardent a statist as Abraham Lincoln, in announcing his willingness to burn the Southern states to the ground in order to keep them paying the tariff for the benefit of Northern interests in his first inaugural address on March 4, 1861, paid at least lip service to the Founders design of leaving control over the fuel available to feed the fires Washington wants to light in the hands of the individual citizenry when he said, "Doing this I deem to be only a simple duty on my part; and I shall perform it, unless my rightful masters, the American people, shall withhold the requisite means..."


Held over:

Disinformation-How it works

by Brandon Smith


'The Discourse of Voluntary Servitude'

by Étienne de la Boétie


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Illuminating anniversaries of this week:

September 30-  In 1882, Thomas Edison's first commercial hydroelectric power plant begins operation (in Appleton, Wisconsin).  In 1901, a patent is issued for the vacuum cleaner.  In 1927, Babe Ruth hits his 60th home run of that season, setting a new record.  In 1935, the Hoover Dam is dedicated.  In 1954, the first nuclear-powered vessel is commissioned-- the USS Nautilus.  In 1986, Mordecai Vanunu, the man who revealed details of a covert Israeli nuclear weapons program to the British press, is kidnapped in Italy by Israeli agents.


Are You Ready For More Power?



"Peter Hendrickson has done it again!  'Upholding The Law' does for individual liberties what 'Cracking the Code' did for tax law compliance: exposes the reader to the unalienable truth!"

-Jesse Herron, Bill Of Rights Press, Fort Collins, Colorado

Click here for more information

And don't miss:

'Was Grandpa Really a Moron?'

picks up where 'Cracking the Code- The Fascinating Truth About The Income Tax' leaves off.


In this new volume, you'll learn about:


  • The in-depth, real story behind the Sixteenth Amendment;

  • A simple little model of just how the "income" tax works;

  • Cognitive stumbling blocks exploited by tax agencies against liberation-seeking Americans;

  • The disturbing relationship between the "income" tax and the Federal Reserve;

  • Why tax reform ideas like the "Fair Tax" are not only unnecessary, but completely counter-productive and even dangerous;

  • Why the "income" tax is what it is, and has to be;

  • The truth about common myths and misunderstandings within the "tax honesty" movement;

  • How to think clearly about the tax, the law in general, and the voracious state;


  • A sordid little passport application scam revealed;

  • How to know if you're in denial about the current crisis in America;

  • Whether the Constitution is going to save you, or is it the other way around?

  • The truth about paper "money; government schools; the Second Amendment...

...and much, much more!

Click here for more information


There is little more important to the long-term health of America than how our children are educated..




Want to get on the Newsletter mailing list?  Just email your name to SubscribeMe 'at' losthorizons.com using the address you want added!


Page Two

This And That

The biggest lie of the week; the world according to neo-con nutcases; the REAL 'existential threat'; more...

OUR SERVANT GOVERNMENT HAS RESUMED sending vast amounts of individual Americans' wealth to armament manufacturers with good friends in Congress. This is being done under the pretext of national defense against the (in some quarters) ludicrously-described "existential threat to America" represented by ISIS, and by exploiting hysteria and delusion (again, in certain quarters) occasioned by the purported murder by ISIS of two Americans, supposedly in an expression of mindless hatred of America.

However, anyone who believes that ISIS murdered James Foley and perhaps Steven Sotloff because they hate us, or even just because they're evil, is crazy (and also apparently incapable of remembering that we were treated to the same utter bs as the explanation for 9/11, too). If ISIS did these things at all, the only reason would be to attract more adherents by proving themselves this week's most effective gadfly to the United States on the basis of our predictable over-reaction. (Maybe there'd have been a little deliberate irony there, too, seeing as the timing of the Foley murder coincided with close US ally Saudi Arabia committing 19 beheadings.)

But this "recruitment" notion really is not credible, either. ISIS was already well-enough established as the go-to group for haters of the United States-- all that it needed to do for recruiting purposes on that basis was to display copies of neo-con publications and speeches. To listen to these nutcases anyone would think the 30,000 nomads of ISIS were the reconstituted Third Reich, cranking out massive numbers of tanks and warplanes and submarines, when the reality is that these people can't even make their own replacement bullets.

So what is said to have been done by ISIS in the way of these two murders and video broadcasts did nothing needful for them. Instead it just ensured that many of them will be killed more quickly and more assuredly than would otherwise be likely, and their hopes for having enough relatively undisturbed time to become entrenched and fortified and defensible will be thwarted, as anyone would have predicted if asked beforehand about the outcome of doing such things.

On the other hand, the broadcast of videos purportedly showing ISIS doing these heinous things DID provide a much-needed boost in the interests of those wanting expanded and perpetuated US activities in the Middle East. Qui bono, America? Qui bono?

P. S. The idea of ISIS as a threat against America itself is absurd in one sense. It is irrelevant in another.

ISIS as a conquest- or even just an attack-threat against America nationally is plain fantasy. No such capability exists in this little group of nomads, and if it settled onto some territory and grew into an organized, industrialized state which had such capabilities it would also grow into an institutionalized structure that would never sacrifice itself in that way, whether on the altar of mindless animosity or any other.

At the same time, ISIS as a source or locus of terrorism against Americans simply cannot be prevented by any degree of US military action. It can only be exacerbated by US military action. A handful of pissed-off people are all it takes to commit dramatic acts of terrorism, and US military action cannot eradicate all pissed-off people, no matter how hard it tries, or for how long.

The claim that the US has a legitimate self-defense policy objective in battling ISIS is a lie.



My appreciation to whoever it was that first created this little graphic, which originally circulated with the title, 'The World According To Americans'. I took the liberty of editing that title, 'cause we don't ALL see things in quite these moronic comic-book terms...


DO YOU KNOW WHO IS AN 'EXISTENTIAL THREAT' TO AMERICA? The folks contriving an absolutely unjust, unnecessary and "false-flag" based confrontation with Russia-- a mega-state armed with thousands of nuclear weapons and the means to deliver them to a city near you. And hey, aren't those the same folks actually attacking our freedoms, too, with massive warrantless surveillance, assaults on speech and assembly rights, efforts to gut the jury system, and other offenses against our liberty and the rule of law too numerous to mention?

Know the real threats, and the real enemies, folks. And know the real heroes defending our freedoms, too.


SPEAKING OF THE LYING POLITICAL CLASS AND ITS CLIENTS AND CRONIES, have you ever given any thought to what will happen when 30 million other Americans-- or even just 3 million-- learn what you know about the "income" tax and begin following your example of acting to protect your own interests and uphold the law?

The lying political class thinks about it-- a lot.

You should, too, and add vigorous outreach to your activism.

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Are You Ready For "Obamacare"? Not Unless You've Read This...


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Illuminating anniversaries of this week:

October 1- In 1800, Spain cedes Louisiana to France.  In 1908, Ford Model T's go on sale at $825.  In 1910, the Los Angeles Times building is destroyed by a bomb set by Ironworkers union members upset at the position of the paper on unionization. It was one of many similar bombings during that period (more than 100), but perhaps the most dramatic, with 21 dead and scores more injured. No anti-terrorism measures gutting the Constitution were enacted, and yet life went on.  In 1928, the Soviet Union introduces its first "Five Year Plan" for the bureaucratic control of the national economy.  In 1946, the "Nuremburg Trials" of Nazi leaders for engaging in wars of aggression come to a close with death sentences for most of the defendants.

What Do The People Do About The Rogue State??

The most important question facing Americans today

I HAD THIS QUESTION POSED TO ME BY AN EMAIL CORRESPONDENT the other day. I guess this just shows how poor a job I've done at communicating, because I have been trying to shout the answer to this one from the rooftops for a long time.

That answer is simple: The People impose restraint on the rogue state by choosing-- one by one-- to cease voluntarily turning control over their resources to the state, and choosing instead to retain control over those resources. This is done by refusing-- one by one-- to engage in "income tax" excisable activities (and refusing to blindly or fearfully allow their activities to be treated or taken as excisable activities upon which the tax arises, when they really are not).

The refusal of individual Americans to voluntarily engage in excisable activities forces the state to resort to highly-politically-accountable, highly-politically-vulnerable alternatives revenue sources. These include options like direct, apportioned taxes (which will not be tolerated by the people or approved by Congress at $multi-trillion annual volumes), and/or increased revenue tariffs (which can raise amounts adequate for legitimate state needs, but are very self-regulating, since consumers naturally choose domestic product alternatives when higher tariffs raise the prices of imports beyond a certain point).

This solution is precisely the one intended and provided for by the Founders-- who didn't impose the taxation rules in the US Constitution just so they could admire their handwriting. They put those rules in place in direct anticipation of state behavior of the sort with which we are now plagued.

 As even so odious a character as Hamilton pointed out in Federalist #21:

“Imposts, excises, and, in general, all duties upon articles of consumption, may be compared to a fluid, which will, in time, find its level with the means of paying them. The amount to be contributed by each citizen will in a degree be at his own option, and can be regulated by an attention to his resources. ...If duties are too high, they lessen the consumption; the collection is eluded; and the product to the treasury is not so great as when they are confined within proper and moderate bounds. This forms a complete barrier against any material oppression of the citizens by taxes of this class, and is itself a natural limitation of the power of imposing them.”

What we've got today is simply the direct (and perfectly predictable) consequences of NOT adhering to the Founders' plan. As Frederick Douglass trenchantly observed,

“Find out just what any people will quietly submit to and you have the exact measure of the injustice and wrong which will be imposed on them."

We've got plenty of injustice and wrong these days. But our fix to the problem was bought for us with blood a few hundred years ago.

All we have to do is stop playing along with the rogue state's false (and rather embarrassingly crude) paradigm  concerning who owns what, and what powers to tax have really been granted. As soon as enough of us quit endorsing that nonsense, it's all good

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A brief look at 100 years of Fiscal Folly; and a nice confirmation of CtC scholarship using four-generation-old data from the IRS itself.


CtC-Educated Lawyers: It's Way Past Time For You All To Queue Up!


[Y]ou really need to familiarize yourself with Pete Hendrickson's absolutely magnificent work at his website and in his book(s).  He has, brilliantly and lucidly, "cracked the code" regarding the federal income EXCISE tax(es)."

-Mark C. Phillips, JD


"...I find your work fascinatingly simple to understand."

-Jerry Arnowitz, JD


"Your book is a masterpiece!"

-Michael Carver, JD


"Received your book yesterday.  Started reading at 11 PM, finished at 4 AM."  "I have 16 feet (literally 16' 4.5") of documents supporting just about everything in your book." "Your book should be required reading for every lawyer before being admitted to any Bar."  "I hope you sell a million of them." 

-John O'Neil Green, JD


“Thanks again for your efforts, Pete. They mean an awful lot to a lot of people.” “…as an attorney, I am humbled by your knowledge and ability in navigating the law.  THANK YOU for your hard work and sacrifice.”

-Eric Smithers, JD


"I am an attorney and want to give a testimonial to your book, which I find to be compelling. I am exercising these rights for myself and my adult children. I'm even considering making this my new avenue of law practice."

Nancy "Ana" Garner, JD


Learn what these colleagues already know, then step forward and become part of a coordinated, mutually-supportive squadron focused on developing strategy and deploying the law in courtrooms across the country.  There's a lot of suing that needs doing right now.


Are you ready for a challenge that'll put some real meaning behind all the effort you went through to get your credentials?  Send me an email. 


Have You Taken A Military, Law Enforcement or Public Office Oath To Uphold And Defend The Constitution?


Renew Your Promise




Illuminating anniversaries of this week:

October 2- In 1835, freedom-loving Texans begin their war for independence from Mexico.  In 1950, "Peanuts" is first published.  In 1959, 'The Twilight Zone' airs its first episode.  In 1998, historians take note that it is the 160th 2nd of October since Iran initiated military aggression against anyone.  In 2002, the "Beltway Sniper" attacks begin.


  IGNORANCE TAX: An unnecessary exaction suffered out of ignorance as to its lawful objects and the means of its application by someone too lazy, frightened or misled to learn how it really works and to what it really applies.  See "Income Tax", "Social Security Tax", "Medicare Tax" and "Federal Unemployment Tax".


An Introduction To The Liberating Truth In Ten Easy Segments

Tom Bottaro, ChFC, CtCW, author of 'Secrets of the Income Tax Code- A Guide for Businessmen', has shared another fine outreach effort. Tom has been writing and sending a series of short wake-up and educational essays to friends and family, one by one, for some time. When Tom told me about this, I asked him to compile the pieces and let me post them for everyone to enjoy and share with their own people. Tom, good guy and warrior for the truth that he is, was perfectly agreeable.

Here is the compilation in printable .pdf format. I hope everyone will indeed share it widely. 


"It is not the function of our Government to keep the citizen from falling into error; it is the function of the citizen to keep the Government from falling into error."

-United States Supreme Court Justice Robert H. Jackson





CtC Warrior David Sides says, "Bumper stickers?  Nice, but NOT BIG ENOUGH!"


(By the way, Dave's got it precisely right-- If you want your power to be secure, your neighbors have to be empowered with the same knowledge that you've acquired.  Click here for ideas about spreading the truth-- which include normal bumper stickers available for free, by the way....)




Photographed on 1-70 in Missouri




At a rally outside the Alamo




CtC Warrior Brian H. in Alaska has a great INDOOR approach to spreading the transformational truth. Here's Brian's desk at his workplace:



You notice the big glass container to the right of the CtC in the first pic above? Tasty freebies for Brian's co-workers-- candy and brain-candy all in one:



Very sweet!




'Don't Tread On Me' Polo Shirts Say It All!



Click Here To Get Yours Now!







More Than Two Thirds Of The Several States That Collect "Income" Taxes Have Now Acknowledged The Truth About The Law As Revealed In CtC, And Have Issued Complete Refunds Accordingly!  See The Following Chart...



Illuminating anniversaries of this week:

October 3- In 1849, Edgar Allen Poe is found in a gutter in Baltimore, an apparent victim of "cooping" (being drugged into incoherence and then taken from polling place to polling place and made to repeatedly vote as instructed).  He dies four days later.  In 1863, the fourth Thursday of November is officially specified as Thanksgiving Day by Abraham Lincoln.  In 1908, 'Pravda' is founded.  In 1932, Iraq gains its independence from Britain.  In 1981, the hunger strike by PIRA and INLA prisoners at the Maze prison in Northern Ireland ends after seven months and ten deaths.  In 1990, Eastern and Western Germany are reunited.  In 2008, George W. Bush signs the first $700 billion "bailout" bill, starting an ongoing process of looting the American people under the amazingly bold pretext that these further offenses will somehow ameliorate the effects of previous governmental abuse of the American financial and monetary structures.


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(How our forefathers responded to arrogant "Rule of Law defiers"...)





“All truth passes through three stages. First, it is ridiculed, second it is violently opposed, and third, it is accepted as self-evident.”

-Arthur Schopenhauer


Get your FREE* CtC bumper sticker and help spread the word!

Just send a stamped, self-addressed envelope to Lost Horizons, Bumper Sticker Offer, 232 Oriole Rd., Commerce Twp., MI 48382

(*If you want to throw a few bucks into the envelope to help with costs, that'd be nice, but it's entirely optional...)




If You're Not Standing Up, Then You're Standing Down

...and "standing down" means "going down"...


MY FRIENDS, IT IS MY SINCERE BELIEF that this community of activists has been encouraged, inspired, enlightened and expanded over the years by the steady posting here of your ongoing victories on behalf of the rule of law. Certainly, it has been my pride and my joy to help you share with the world your honorable testament to the liberating truth about the tax, widespread knowledge of which is so critical to the well-being of ourselves, our children, and our beloved America.


However, unless YOU send those victories I can't post them. Unless YOU stand up, your courage and commitment can't inspire anyone.


YOU WILL RECALL THAT FOR THE LAST YEAR OR SO I've been telling you that we are in a transformational moment. Look around at what is going on today and recognize the truth of what I say.


More than half the American population views government as a threat. As mainstream a publication as Forbes magazine is posting articles about massive DHS ammunition and armored vehicle purchases. Denunciations of the NSA violations are features in every major MSM organ.


Even before Edward Snowden's documentation of particular crimes being committed against the American people the LA Times, NY Times, Washington Times and other mainstream organs were editorializing about Leviathan having grown too big, and gotten dangerously out-of-hand (see stories at each of the preceding links). In the Spring Rand Paul's filibuster denouncing the lawlessness of Mordor-on-the-Potomac prompted a major buzz across the country, and in July Justin Amash shocked Washington by very nearly defunding a huge portion of the illegal surveillance state's crimes.


Concurrently, this CtC community has been winning legal victories and refunds which are ever-more significant and telling. Consider, for instance, the victories which have qualified for the EWWBL collection. Every one of these is an especially illuminating acknowledgement of the truth about the tax, and now include a very significant two-time victory in a federal district court.


Things are happening!


HOW IT ALL SHAKES OUT is still up for grabs, though. This is not the time for either complacency or paralysis, because both of those don't amount to "doing nothing"-- instead they amount to "standing down". And standing down means conceding the fight, letting all these eleventh-hour sparks of light burn out unnurtured and the moment be a transformation for the worse.


This is not the time for standing down. This is the time for a FULL-COURT PRESS.


This is the time for educated American grown-ups to stand up tall and firm, pulling others to their feet by their very gravity. This is the time for leading the way.


STAND UP! SEND THOSE VICTORIES-- the new ones, and those of the last few years as well. Click here to learn how. Even if you don't have checks to scan, send your testimonials. Learn how to do that here.




The Willingness Of Some People To Trade Liberty For Convenience Is Without Limit

Some Observations About Current Political Efforts To Evade The Truth, Such As The "Fair Tax" Scheme


Regarding "Tax Reform"


"Taxes are not raised to carry on wars, wars are raised to carry on taxes."

-Thomas Paine


Where To Find Things On This Site


Law Professor James Duane Says: "Don't Talk To The Police.  Period."


Honest Cope Agree




The Newsletter is interested in your work!  If you are a writer, scholar, or just a dedicated Warrior with a worth-while story to tell, please consider sharing your words and your wisdom with our thousands of readers!  Click here to learn how.


'Letters to the Editor' should be addressed to 'feedback 'at' losthorizons.com', with "Editor" in the subject line.




Films That Belong In Every Home Library




Ever Wonder How Much An Unrestrained FedState Would Like To Tap You For?





Warrior David Larson shares this beautiful little farce, wryly observing that, "Depositors have "..not lost one penny.." - OK we could agree on that simple statement  ..how about the purchasing power of that same penny 'not lost'?"


Source: Bureau of Labor Statistics






Illuminating anniversaries of this week:

October 4- In 1537, the first complete English-language Bible is printed.  Two of the three translators suffer burning at the stake.  In 1777, George Washington's assault on the British garrison at Germantown, Pennsylvania is defeated by Sir William Howe.  In 1957, Sputnik 1 is launched.  In 1988, "televangelist" Jim Bakker is indicted for fraud.  In 2004, SpaceShipOne wins the Ansari X prize for the first private craft to successfully reach space and return twice within two weeks time.


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Last Word


"If ye love wealth greater than liberty, the tranquility of servitude greater than the animating contest for freedom, go home from us in peace. We seek not your counsel, nor your arms. Crouch down and lick the hand that feeds you. May your chains set lightly upon you; and may posterity forget that ye were our countrymen."

-Samuel Adams, Architect of the First American Revolution


OK, Now Back To Your Regularly Scheduled Programming:




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to help keep it available, or it soon won't be. Donations can be sent to:


Peter Hendrickson

232 Oriole St.

Commerce Twp., MI  48382


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An "Income" Tax Related Site Map


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About The Author


Pete Hendrickson is possibly the most effective lawyer in history, even while never having set foot in a law school, nor ever being a card-carrying member of "the bar". He is the first American in history to secure a complete refund of Social Security and Medicare ‘contributions’ withheld from his earnings (along with all other property taken for federal taxes); further, since 2003 students of his legal analyses and arguments in ‘Cracking the Code- The Fascinating Truth About Taxation In America’ (CtC), and its sequel, 'Was Grandpa Really a Moron?' have been routinely retaining and recovering billions of dollars which otherwise-- wrongly, but as a matter of course-- would have gone to federal or state government treasuries. This despite concerted efforts by government to suppress his work, and in some cases vigorously oppose the claims by his students.


Hendrickson is also a widely-read essayist on matters of politics, public policy and law; many of these works are collected in his second book, ‘Upholding the Law And Other Observations’.  He is a member of Mensa; an award-winning artist; and has paid his dues as a youth soccer coach.  He is a long-time political activist as well, and has served as co-chair and platform convention delegate of Michigan’s largest county Libertarian Party organization; as a consultant to the National Right to Work Foundation and Citizens for a Sound Economy; as a member of the Heartland Institute; and as a member of the International Society for Individual Liberty.  He is a frequent radio-show guest on stations across the country.


Hendrickson's business career has included nearly a decade-and-a-half at the leading edge of the renewable-energy industry, both as Director of Purchasing and Materials Management and member of the R&D board at Starpak Energy Systems, the mid-west's then-largest solar heating and energy-recovery-and re-utilization company; and as founder and president of AFJ Inc., a high-efficiency lighting design, manufacture and installation firm.


Beginning in the mid-1990s and continuing for the twelve years before his present full-time focus on the restoration of the rule of law in America, Hendrickson directed purchasing activities for the $84 million-a-year multi-family-housing division of the Farmington Hills, Michigan branch of Edward Rose and Sons, with responsibility for 18,000+ apartments, direct supervision of 35 technicians and agents, and incidental authority over several hundred divisional workers.  He also ran the division's 10 cable television earth-station and distribution systems in four states, and designed and administered the company's website.


On rather the other end of the spectrum, amidst these more mundane pursuits Hendrickson co-founded and was the primary creative force behind a small board- and card-game company that enjoyed a modest success for several years.


 Hendrickson makes his home in southeast Michigan, with his wife and two children.  He is currently working on his next book.


© All written and graphic material on this page and website are copyrighted by Peter E. Hendrickson, unless otherwise attributed