Today is April 15th
– Tax Day. Have you finished your
taxes? My husband finished our taxes and
put the check in the mail yesterday.
Hopefully, we can forget about taxes for another year! We all hate to pay taxes and try to pay as
little as possible, but we are far from the first Americans to do so.
Forced to pay federal income
taxes since the Sixteenth Amendment was ratified on February 3, 1913, Americans
have been fighting taxes for much longer.
Samuel Adams and the Sons of Liberty, dressed as Indians, boarded three
ships in the Boston harbor on the night of December 16, 1773; they threw 342
chests of tea overboard in a political protest against taxes. This act – known as the Boston Tea Party - of
course brought punitive action in the form of another regulation in 1774 from
Great Britain and brought the two sides closer to war. The war started on April 19, 1775, when the
first shots of the Revolutionary War were fired at Lexington and Concord,
Massachusetts. April 19th is
now known as Patriots’ Day.
All Americans from regular
citizens to Presidents and former Presidents have fought against taxes. Former President James Madison stated in
1823, “The
people of the U.S. owe their Independence & their liberty, to the wisdom of
descrying in the minute tax of 3 pence on tea, the magnitude of the evil comprized
in the precedent. Let them exert the
same wisdom, in watching agst every evil lurking under plausible disguises, and
growing up from small beginnings.” (Spelling
and punctuation are as in original.) In other words, Americans were not saddled
with greater taxes because they fought against the small ones.
In 1963 President John F.
Kennedy, a Democrat, sent a message to Congress that included this
statement: “Our tax system still siphons
out of the private economy too large a share of personal and business
purchasing power and reduces the incentive for risk, investment and effort –
thereby aborting our recoveries and stifling our national growth rate.”
President Kennedy spoke about
his tax reduction bill in a 1963 radio and television address to the nation and
stated: “A tax cut means higher family
income and higher business profits and a balanced federal budget. Every tax payer and his family will have more
money left over after taxes for a new car, a new home, new conveniences,
education and investment. Every
businessman can keep a higher percentage of his profits in his cash register or
put it to work expanding or improving his business, and as the national income
grows, the federal government will ultimately end up with more revenues.” (Source:
Last Line of Defense by Ken Cuccinelli, p. 243, February 12, 2013)
Mark Alexander at the Patriot Post published an article about taxes in which he wrote: “It is no small irony that in the same week we
observe Patriots; Day – the opening salvos at Lexington and Concord to
establish American liberty – working Americans also endure the April 15th
deadline to forcibly surrender a growing portion of our earned income to a
gravely bloated central government, which redistributes much of that income to
ensure public support for its malignant growth.
“Excessive and unjust taxation
led to the first American Revolution, and our government today appears heedless
of that history as it seizes income for purposes clearly not authorized by our Constitution.
Much of that income is redistributed to Democratic constituents in
return for their political allegiance that, in turn, drives more growth and
redistribution. This cycle is perilous
to Liberty.
“This year, American Patriots
had to work, on average, the first 114 days of 2015 to cover their federal,
state and local tax burdens. Of course,
that doesn’t include the additional days of work required to pay the hidden
regulatory tax – the cost of regulations built into consumer products and
services – which adds about another 30 days of labor.”
Alexander wrote some of the
history of taxes in the United States before writing: “However, the most devastating insult to
economic Liberty was dealt by the father of American socialism, Woodrow Wilson,
who was elected due to his mastery of classist rhetoric as outlined by Karl
Marx’s Communist Manifesto in 1848.
Wilson used that rhetoric to gain rapid passage of the Sixteenth
Amendment in 1913, which specified, `The Congress shall have power to lay and
collect taxes on incomes, from whatever source derived, without apportionment
among the several States, and without regard to any census or enumeration.’
“`From whatever source derived’
indeed.
“The top tax rate levied under
the new Amendment was 7 percent on incomes above $500,000 (about $13 million in
2014 dollars), but today, almost every individual with an income of $25,000 or
more (less than $1,000 in 1914 dollars) is taxed. If Wilson had attempted to impose his tax on
incomes of $1,000, a second American Revolution would have commenced
immediately. But, like most usurpations
of Liberty, the income tax levy has avoided insurrection by incremental
imposition on ever-broader income groups over the last century.
“As Madison warned, `I believe
there are more instances of the abridgment of the freedom of the people by
gradual and silent encroachments of those in power, than by violent and sudden
usurpations.’
“The Sixteenth Amendment has
been used to enact unequal and discriminatory taxation of targeted groups of
income classes -- `progressive’ taxation as it is known, which resulted in
classism and the bulwark of all socialist movements, `class warfare.’ It opened the floodgates for populist
executives and legislators to enact taxes for expenditures not expressly authorized
by our Constitution, and thus brought about the end of limited government under
Rule of Law in favor of the rule of men….”
Experience teaches us that
Benjamin Franklin was correct when he stated, “In this
world nothing can be said to be certain, except death and taxes.” We can be fairly certain that we will be
taxed until the day we die – and then our estates could still be taxed. We must elect leaders – local and national –
who will recognize the great public trust and use tax money wisely and fairly. As Alexander wrote, the power to tax
Americans may be the greatest threat to our freedom!
I have a little bit of advice that I can give for anyone who is considering hiring a lawyer. It doesn't matter if you were hurt, if you were arrested for DUI, or if you found out that you are being investigated for Medicaid fraud. The laws are so complex and change so often that you need someone who lives in that world to protect you.
ReplyDeleteWanda Hanson @ Tax Tiger
Thank you for your insights.
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