​THE TRUTH ABOUT INCOME
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The single biggest scam in the IRS’s playbook came after they changed the definition of “income” and hoped that you would not notice.
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Millions of Americans get robbed every year through this semantic sleight of hand, falsely believing they owe taxes on their private labor, personal time, and lawful right to work.
According to multiple rulings by the Supreme Court of the United States, “income” is not everything that comes in. It is a very specific kind of gain; one tied to federal privilege or corporate activity.
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– Eisner v. Macomber, 252 U.S. 189 (1920)
“The claim of federal taxing power must be limited to income derived from corporate privileges, federal activities, or commerce within federal jurisdiction.”
– Merchants’ Loan & Trust Co. v. Smietanka, 255 U.S. 509 (1921)
“The term ‘income’... must be given the same meaning in all the Income Tax Acts of Congress... It cannot be extended to include everything that comes in.”
- Stanton v. Baltic Mining Co., 240 U.S. 103 (1916)
“The Sixteenth Amendment conferred no new power of taxation... It merely removed the requirement that income taxes be apportioned among the states. It did not authorize a tax on anything other than income as legally defined.”
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INCOME EQUALS PROFIT OR SURPLUS
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NOT WAGES
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NOT YOUR TIME
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NOT YOUR LABOR
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If there is no gain, then there is no “income” and no taxable event.
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LABOR FOR PAY DOES NOT EQUAL INCOME
If you work 40 hours and earn $1,000, then you gave something of equal value, your time, skill, and energy, and received equal compensation. That is an even exchange, not a gain.
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Under common law and constitutional principles, this is not “income.” It is your property being exchanged for other property, just like bartering or trade.
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But the IRS, without ever passing a real law, rewrote the rules and started redefining your private actions. They presume everything you do is tied to a federally connected trade or business, which is the only thing that falls under their jurisdiction. And the only reason it works is because you allow it!
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The entire tax code is built on presumption and consent:
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Presumption that your earnings are federally connected
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Consent to be treated as a taxpayer under Title 26
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Assumption that “income” means everything you earn
If you do not challenge the language, then you accept their definitions.
When you file your Revocation of Election (ROE), you do more than reject the label “taxpayer.”
You reclaim the true meaning of income and rebut their false presumptions.
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You lawfully declare:
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Your earnings are not connected to any U.S. trade or business
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You are a nonresident to the tax code’s jurisdiction
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You are not engaged in taxable activity​
​​​​​​​​​​And more importantly, you assert your right to contract, earn, and live privately, without being involuntarily dragged into a system based on corporate definitions and color-of-law tactics.
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In legal land, words are not just words, they are contracts. When they redefine words, they are redefining your reality and hoping that you will not notice. Income does not mean “everything you make.” It means federally privileged gain.
Once you recognize the trick, you can defeat it. And that’s where the Debt Solution Revolution begins.
IRS DEBT
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If the IRS believes that you owe them a debt, they are operating under one core assumption:
That you elected to be treated as a “taxpayer”, a U.S. person subject to the Internal Revenue Code (IRC).
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That “election” is presumed when you:
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File a 1040
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Sign a W-4
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Accept a Social Security Number
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Receive mail addressed to the ALL CAPS NAME
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Respond to IRS notices without rebutting jurisdiction​
If you have never rebutted that presumption, the IRS treats you as a corporate fiction, a taxpayer who is liable for income tax and subject to penalties, interest, and collection.
When you properly execute the Revocation of Election, you are:
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Correcting the public record
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Rebutting the presumption that you are a 14th Amendment “U.S. citizen”
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Declaring your earnings as private, not federally connected income
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Withdrawing from the Title 26 jurisdiction
This means:
The IRS no longer has lawful standing to assess or collect taxes from you, unless they can prove:
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That you knowingly, willingly, and voluntarily elected to be taxed
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That you are engaged in taxable activity (federal employment, corporate privilege, etc.)
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That a lawful contract exists
They almost never can.
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What About an Offer in Compromise (OIC)?
An OIC is a settlement agreement where you offer to pay less than the full amount you “owe.”
But here's the truth:
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By entering into an OIC, you are contractually agreeing that the debt is valid
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The OIC makes you liable, even if the original assessment was unlawful
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It locks you in as a taxpayer under their terms
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You may even waive certain appeal rights
You are negotiating with a thief instead of challenging the theft.
If you have an outstanding IRS debt or are in the OIC process:
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Revoke your election under 26 CFR § 1.871-1(a)
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Issue a conditional acceptance demanding proof of jurisdiction, valid contract, and lawful liability
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Challenge the validity of the original assessment, not just the amount owed
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Assert your status as a nonresident to the IRS and private man or woman on the land
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Remove power of attorney or tax return preparers who operate in Title 26 jurisdiction
ROE is not magic and does not erase your IRS file overnight. But it removes your presumed consent and triggers a jurisdictional challenge the IRS cannot easily overcome.
Once jurisdiction is gone, so is their ability to enforce collection.
If the IRS continues to pursue you after ROE, you now have:
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Standing to sue for damages
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Leverage to rebut their claims
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A lawful basis to resist collection
After I file my ROE, can I get my money back?
YES, if:
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You file a 1040-X (amended return) within 3 years of your original filing or 2 years of payment
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You use normal reasons the IRS accepts (like a math error, missing deduction, or correcting status)
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NO, if:
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You claim your wages were not income, or you are not a U.S. citizen, or that you were never required to file
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These kinds of arguments are seen as frivolous, and they will deny your refund, fast
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You have already said, “I do not consent to be treated as a taxpayer.” So going back and asking for a taxpayer refund puts you in a weird contradiction. It’s like telling the IRS, “I am no longer your customer, but I want a refund for all the stuff I used to buy.”
Bottom line, trying to claw them back is usually an uphill legal battle, and one the IRS is ready for.
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Better to focus on a better tomorrow and stop the bleeding going forward.
​​CONDITIONAL ACCEPTANCE
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A Conditional Acceptance is a lawful, non-combative way to respond to demands or threats, especially from government agencies like the IRS, without agreeing or submitting.
It is one of your most powerful tools!
Instead of saying: “No” (which can trigger penalties or escalation) “I refuse to comply” (which they treat as non-cooperation).
You say: “I am willing to comply, IF you can prove you have the authority to make the demand.”
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This flips the burden of proof back onto them, where it belongs.
Remember, he who makes the claim bears the burden of proof. If they claim you owe money or are required to file, they must prove it. If they cannot (and they usually can’t), you are not lawfully obligated.
If the IRS sends you a notice saying you owe them $7,500 in back taxes for 2021, instead of ignoring it or arguing, you respond like this:
“I conditionally accept your offer to pay $7,500 upon proof of claim that:
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I am lawfully required to file a 1040 tax return
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I am a taxpayer as defined in Title 26
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My compensation for labor qualifies as income
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The IRS has lawful jurisdiction over me, a private man
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A valid contract exists between me and the IRS
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My consent was given knowingly, voluntarily, and intentionally
Upon your verified rebuttal of each point above, I will promptly settle the matter in full.
This is not a refusal. It’s a lawful demand for evidence and it protects your rights while putting the burden on them.
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It prevents them from defaulting you into agreement (which happens when you stay silent)
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It creates a paper trail showing that you tried in good faith to settle, lawfully and peacefully
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It sets up your defense later, if they try to escalate
And if they do not respond with proof, which they usually won’t, you can:
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Issue a Notice of Default
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Issue a Notice of Fault and Opportunity to Cure
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Issue a Certificate of Non-Response, which becomes your lawful evidence
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A Conditional Acceptance keeps you in honor and puts them in dishonor when they fail to respond. ​You are no longer reacting emotionally or combatively, you are standing as a man or woman in law, demanding proof, not bowing to presumption.
SOVEREIGNTY​
There is a huge difference between the sovereign citizen stereotype (often promoted by media and government) and the lawful concept of individual sovereignty grounded in constitutional, natural, and common law.
The term “sovereign citizen” is often used by the government, media, and law enforcement as a derogatory label to associate people with:
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ANTI-GOVERNMENT EXTREMIST
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CONSPIRACY THEORIES
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REFUSING PAY TAXES, REGISTER VEHICLES OR CARRY LICENSES
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AGGRESSIVE COURTROOM ANTICS & PSEUDO-LEGAL GIBBERISH
FBI bulletins, SPLC articles, and DOJ talking points often label anyone questioning government jurisdiction as “dangerous,” “delusional,” or “domestic terrorists.”
But herein lies the truth. The term “Sovereign citizen” is an oxymoron because you cannot be sovereign and a citizen at the same time.
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A SOVEREIGN IS THE HIGHEST AUTHORITY – BEHOLDEN TO NO RULER
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A CITIZEN IS A SUBJECT OF THE STATE – UNDER CIVIL OBLIGATION
The government created this phrase to paint lawful researchers as confused, belligerent, or dangerous even when their positions are peaceful, reasoned, and constitutionally grounded.
To be sovereign simply means, you are a living man or woman with unalienable rights, created by the Creator, not a corporation, citizen, or vessel owned by the State.
True sovereignty is based on:
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THE DECLARATION OF INDEPENDENCE
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NATURAL LAW AND COMMON LAW TRADITIONS
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THE FACT THAT GOVERNMENT WAS CREATED BY THE PEOPLE, NOT THEOTHER WAY AROUND
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CONTRACT LAW, WHICH HOLDS THAT RIGHTS CAN ONLY BE
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SURRENDERED KNOWINGLY, WILLINGLY, AND VOLUNTARILY
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A sovereign:
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DOES NOT DECLARE WAR ON GOVERNMENT
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DOES NOT REJECT LAW AND ORDER
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SIMPLY REJECTS UNLAWFUL JURISDICTION, PRESUMPTIONS, AND COMPELLED CONTRACTS
Sovereigns are bound by the law, but only by law that applies lawfully, with jurisdiction and valid contract. What they reject is color-of-law (fraudulent or assumed authority) such as:
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FORCED ADHESION CONTRACTS (e.g., filing a 1040 or W-4 without full disclosure)
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STATUTORY OBLIGATIONS THAT APPLY ONLY TO FEDERAL PERSONS OR ENTITIES
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ADMINISTRATIVE CODES APPLIED TO PRIVATE PEOPLE UNDER PRESUMPTION
You are not a “sovereign citizen”, you are a “sovereign” by birthright. This is not extremism, it is contract correction and status restoration. It is a peaceful withdrawal from compelled obligations based on fraud or presumption.