Time: Fri Feb 28 12:52:18 1997 by primenet.com (8.8.5/8.8.5) with SMTP id LAA20279; Fri, 28 Feb 1997 11:04:04 -0700 (MST) Date: Fri, 28 Feb 1997 12:46:45 -0800 To: (Recipient list suppressed) From: Paul Andrew Mitchell [address in tool bar] Subject: SLS: U.S. vs. Fred Allnutt (fwd) From: ralph@teaminfinity.com Date: Thu, 27 Feb 1997 14:37:11 -0500 To: ralph@teaminfinity.com Subject: U.S. vs. Fred Allnutt http://TeamInfinity.com/bible http://TeamInfinity.com/urls.html (updated) http://TeamInfinity.com/~ralph/irs.audit.html <-SCATHING GAO Audit of IRS In the below Spotlight report you will find out about Fred Allnutt, the EXCAVATION COMPANY OWNER in Baltimore Maryland stood for truth and won. This excellent article fails to point out several things that to the best of my recollection need to be mentioned. I. Fred continues to operate his EXCAVATION Firm to this day and STILL has no SSN, requires NONE of his workers to have one unless they want one and requires NONE of his workers to fill out W-4s or 1099's etc. II. To this day he does NOT collect the voluntary Maryland State Sales Tax on material he sells BECAUSE collecting sales tax is VOLUNTARY in the STATE of MARYLAND !! (If you collect it you MUST remit it to the state of course, this is not a gimmick it is the LAW, and that is all we can go on is WHAT IS WRITTEN, otherwise we become a government of MEN and their capricious opinions and lusts AND NOT a government of WRITTEN LAWS.) Also the Constitution allows for sales tax on CERTAIN and SPECIFIED ITEMS ONLY, NOT aLL ITEMS, because if you have a sales tax on ALL items there is no regulator mechanism, i.e. when the tax on an item becomes too high people will stop buying it, but if ALL items are taxed then the people become enslaved and the power of taxation cannot be checked by the free market. This is NOT my opinion it is in the Constitution ! III. The reason I know these things is I heard Fred himself talk about them at the Save A Patriot Fellowship last year in Westminister Maryland. IV. Various so called "experts" quoted in this report MISTAKENLY refers to Fred as a "TAX PROTESTOR" when in fact the LEGAL definition of a TAX PROTESTOR, according to IRS statutes, is one who protests a tax by writting something on a tax return indicating their dislike of the tax etc. Since Fred did NOT file any returns he could NOT very well be considered a TAX PROTESTOR in the legal sense could he ? Again this is NOT a gimmick, it is the LAW as WRITTEN. V. Fred won in this trial NOT because the jury felt for him, but rather because FRED DID NOT BREAK the LAW and finally a jury ruled on the LAW and not the intimidation of the government. Fred did NOT break the law because THERE IS NO LAW requiring a citizen OR RESIDENT alien to file a 1040 or pay a tax on income earned in the USA. See the very bottom of this message to find out more about this. ralph@TeamInfinity.com http://TeamInfinity.com/urls.html THE SPOTLIGHT "Just as serpents close their ears, so do men close their eyes to truth." GALILEO VOLUME XXII NUMBER 22 June 3, 1996 SINGLE COPY PRICE 85 cents This article reprinted with permission - to request subscriptions to The SPOTLIGHT, please call 1-800-522-6292 ---------------------------------------------------------------------------- Federal revenues suffered a serious setback. recently when a Baltimore, Maryland jury acquitted a contractor of criminally interfering with the operation of the tax collecting agency. ---------------------------------------------------------------------------- Exclusive to THE SPOTLIGHT BY THE SPOTLIGHT STAFF On March 28, Fred W. Allnutt Sr. and his son Christopher were acquitted in federal district court in Baltimore, Maryland of tax crimes alleged by the Internal Revenue Service. The IRS had charged Allnutt and his son with criminal conspiracy and criminally attempting to prevent the IRS from carrying out its mandated duty to assess and collect taxes. According to published reports, Allnutt's defense team convinced the jury the Allnutts believed they were not liable for paying the federal income tax. Allnutt's lawyers explained their client's victory as the inability of the government to convince the jury the defendants did anything they themselves believed was illegal. "The prosecution simply did not prove its case," said defense attorney James Lupinek. 'There was no conspiracy and no willful evasion of income taxes. There was plenty of reasonable doubt about every element of the government's case." Allnutt said he is certain the IRS, the U.S. attorney's office and the courts "colluded together to stop me from telling the truth about the IR Code, IRS terrorism and the lawlessness that exists in our judicial system." He, is known as an outspoken critic of the IRS, the application of tax laws and what Allnutt calls 'their oppressive intrusion into our lives." After an emotionally charged two week trial, the jury deliberated for three days before returning not guilty verdicts on all charges. PLOY BACKFIRED Lead defense attorney Jeffrey Dickstein of Tulsa, Oklahoma, viewed the case as a tax season compliance- promoting ploy. "This was an IRS 'show trial' before tax season,' Dickstein added. "With a 98 percent conviction rate in tax trials, a conviction would be splashed around by the media to scare the American people and to promote voluntary compliance,' but the IRS lost."" Allnutt's confrontations with the IRS began back in 1982 when he determined that he was not required to file and informed the agency that did not intend to file federal income tax forms for 1981. He got no answer. For three years, nothing happened. Then, in 1986, a correspondence between Allnutt and the IRS began. In 1987, he received a summons from" the IRS demanding his appearance on December 4 for a hearing. He sent a letter asking the revenuers to tell him why, along with a Freedom of Information Act request related to applicable tax laws. The hearing was postponed until early in 1988. It never took place. On February 7, 1989, Allnutt received a "notice of deficiency," but "no indication of what kind of tax," he told The SPOTLIGHT. He petitioned the Tax Court, which affirmed the notice and added a 75 percent penalty for "fraud." ATTEMPT TO SILENCE HIM "The charges brought against Christopher and me were vindictive and contrived by the IRS to silence me for speaking out about the illegal actions of this infamous tax agency," Allnutt said. "The truth, is, I have always been open about my beliefs on the income tax and have expressed them in writing to the IRS on many occasions." Following notices of deficiency and correspondence back and forth, in which Allnutt asserts the IRS never explained why he should be required to file an income tax return, and a ruling against him in the Tax Court, the IRS raided him. On October 5, 1992, approximately 60 armed IRS agents and others, with bullet-proof vests and guns drawn, entered and seized the family business, JFC Excavating. Subsequently, Allnutt filed bankruptcy. An attorney told Allnutt the IRS would have to release the business to him under the automatic stay statute of the bankruptcy code. However, the IRS refused to release the property and the bankruptcy court would not order them to return it. "Since filing bankruptcy, I have submitted evidence to the bankruptcy court showing that there never was a lawfully assessed tax, but the court has ignored this evidence,' he told The SPOTLIGHT. During the summer of 1994, Allnutt was told by several people that they had received grand jury subpoenas seeking financial information about JFC Excavating. On September 12, Allnutt sent letters to both the grand jury foreman and to Assistant U.S. Attorney Ethan Bauman who served the subpoenas, to advise them that 'I was in on-going civil litigation with the IRS and that it was my belief that the IRS was wrongfully seeking to persuade the grand jury that I had committed some 'income' tax crimes under the IR Code,' he said. Allnutt asked to be invited to testify. In May of 1995, having not received a response to his letters, Allnutt called Bauman and asked for an opportunity to speak before the grand jury. A date of June 6 was arranged. Allnutt brought a written presentation with what he describes as "exculpatory evidence' and had it placed in the record. But Allnutt was not allowed to discuss his evidence. He was ordered to answer Bauman's questions instead. On March 11, 1996, Allnutt and his son went on trial in Baltimore. On March 28, they were acquitted of all charges. Allnutt described the scene in the courtroom: 'I heard the judge mumble the word 'unbelievable' when he looked at the verdict. I saw the prosecutors' heads fall. I saw the crowd of IRS people, the prosecutors and others quickly exit the courtroom after the verdict was read. I saw the judge quickly dismiss the jury without the usual comments and abruptly leave the bench without telling us we were free to leave." According to expert observers, there are two possible lessons to be learned from this case. The first is that the IRS always makes a mistake when it seeks to criminally prosecute a "true believer", that is, someone who truly believes he is not, for various reasons, subject to the income tax. That is because the prosecutors must prove that the defendant "willfully" defied the law, which they could not have done if they did not believe the law applied to them in the first place. The second is that juries may look with more sympathy on so-called tax protesters, whose arguments, which are many and various, are nonetheless reflective of a growing public dislike for the IRS specifically and income taxes in general. ---------------------------------------------------------------------------- ralph@TeamInfinity.com http://TeamInfinity.com/~ralph/code/t26.html http://TeamInfinity.com/urls.html This correspondence in NO WAY represents Save-A-Patriot Fellowship (SAPF), but feel free to contact them thru Andrew C. Earp. 1-800-677-1207 ext. 1800 RALPH and ANDREW C. EARP Andrew C. Earp is NATIONAL DIRECTOR of SEMINAR SERVICES CALL 703-904-7770 ask for document 777 ######################################################################### ======================================================================== Paul Andrew, Mitchell, B.A., M.S. : Counselor at Law, federal witness email: [address in tool bar] : Eudora Pro 3.0.1 on Intel 586 CPU web site: http://www.supremelaw.com : library & law school registration ship to: c/o 2509 N. Campbell, #1776 : this is free speech, at its best Tucson, Arizona state : state zone, not the federal zone Postal Zone 85719/tdc : USPS delays first class w/o this ========================================================================
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