No longer can we ignore our responsibility for preparing for wars through taxes to fund armies that we pay year after year.
They are asking people to withhold a percentage of their taxes and to redirect this money “to finance other alternatives and social struggles in solidarity, antimilitarist alternative projects that we offer to you here or others that each considers closer to their idea of what is necessary for real defense” [my, probably inept, translation].
On their site they include a sample letter that people can send in with their tax forms to explain their resistance and redirection.
The good news is that I’ve got a paying gig that’s keeping me very busy.
The bad news is that I’ve been very busy, and haven’t been able to update The Picket Line as much as I’d like.
: a bunch of links I thought were interesting enough to share but that I’ve given up hope about being able to weave in with some original commentary.
The European Court of Human Rights has denied an attempt by The Peace Tax Seven to establish that a country’s unwillingness to allow people to legally refuse to pay for military spending is a violation of the rights and freedoms set out in the European Convention.
The number and percentage of Earned Income Tax Credit claims that are fraudulent — those in which the person claiming the credit doesn’t qualify for it — has increased exponentially in recent years, and the IRS hasn’t been able to keep up.
Vargarquista at anarkismo.net writes about Smuggling as a strategy of tax resistance (Spanish).
This is a particularly urgent subject in countries that rely more on sales and value-added taxes than on taxes like poll taxes and income taxes that individuals can more directly resist.
If the “FairTax” scheme that some are pushing in the United States ever came to pass, this would become more of an issue in the U.S. as well.
(“Smuggling” is my best translation of “el contrabando,” but the author seems to include a lot of different sorts of underground-economy activity under that term.)
David John Marotta has an intriguing idea about manipulating the timing of traditional-to-Roth IRA transfers and recharacterizations so as to maximize your tax-free capital gains. It’s somewhat complex but very clever. Basically, you do a traditional-to-Roth conversion into several different Roth accounts using as many different investment strategies. Then file tax extensions so that you extend the amount of time in which you can recharacterize those conversions. Wait and see which of your new Roth accounts appreciate the most; keep those (if any) as Roth accounts in which the appreciation will remain tax free and pay the taxes on the principle now. For the rest, recharacterize them as traditional IRAs again, and avoid paying taxes on them now. Follow the link for details and a more leisurely and clearer explanation.
Radley Balko at The Agitator reminds us of this section from Dubya’s address to the nation on when he was launching the Iraq War:
And all Iraqi military and civilian personnel should listen carefully to this warning:
In any conflict, your fate will depend on your actions.
Do not destroy oil wells, a source of wealth that belongs to the Iraqi people.
Do not obey any command to use weapons of mass destruction against anyone, including the Iraqi people.
War crimes will be prosecuted, war criminals will be punished and it will be no defense to say, “I was just following orders.”
Left Bank Collectives in Bilbao denounce “alarming and exorbitant”
military spending
Left Bank Collectives denounced, in
front of the seat of the Diputación Foral de Bizkaia in Bilbao, the current
“alarming and exorbitant” military spending. During the protest, they
submitted 20,000 pennies to satisfy part of the fine that was attached to two
participants in the tax resistance campaign.
In this regard, representatives of the advisory center for women of Barakaldo
and Sestao indicated that during this tax season, several hundred people have
performed war tax resistance, and explained that “now that the deadline for
submitting taxes passes, some people are finding that in the Diputación Foral
de Bizkaia their current accounts are being seized in demand for partial
payment of money withheld on the tax return that was destined for military
spending.”
“For this reason, we submit part of the fine that the Diputación requires
in pennies. In particular, 20,000 pennies were handed in to meet part of the
fine that was attached this year to two participants in the tax resistance
campaign,” they said.
With this “symbolic” action, they intend to denounce the current “alarming
and exorbitant” military spending in our society, while “many [social]
necessities” they find are “without coverage.”
Additionally, they protested that “military spending” at the level of the
Autonomous Community of the Basque Country is “at 1,966.69 million euros,
9 percent more in comparison to last year.”
There’s something kind of… I don’t know… petulant maybe? about the
pay-your-bill-in-pennies idea that makes it unappealing to me, but I think
I may just be being persnickety. The press love it, so it’s a good opportunity
to get your point-of-view out. And the inconvenience it causes to the tax
collector probably offsets somewhat the money received.
A couple of links that caught my eye:
Antimilitarists with carts of mala leche
Antimilitarist activists and women’s groups call for war tax resistance in Bilbao (español) — a news report of a public demonstration designed to highlight the cost of military spending and encourage redirection. The demonstrators gave cartons of milk to passers-by, using the slogan “el gasto militar nos pone de mala leche” (military spending puts us in “bad milk” — a bad mood).
CNNMoney reports on what it calls “an all-but-overlooked provision of the health reform law” that was recently signed into law that would dramatically expand the requirement for businesses to file 1099s. According to the article, “beginning in all companies will have to issue 1099 tax forms not just to contract workers but to any individual or corporation from which they buy more than $600 in goods or services in a tax year.”
TaxGirl takes a closer look at the details. And here’s some commentary from Cato @ Liberty.
Barbecue against the “chorizada” of military spending
They encourage tax resistance with a “barbecue” in front of the Palacio
Foral of the Provincial Council of Biscay to denounce the robbery that
supports military spending.
representatives of
different social collectives have gathered at the gates of the Palacio Foral
of the Provincial Council of Biscay to conduct a symbolic action of war tax
resistance.
Various persons dressed as cooks and soldiers have come forth to hold a
barbecue at the gates of the Palacio Foral of the Provincial Council of
Biscay. The main course was a “chorizada” with the aim of
denouncing the theft of public resources that supports military spending.
Also, they distributed pieces of fried sausage to those who passed by at the
time along Bilbao’s main street.
This initiative is meant to promote war tax resistance in
’s tax return. This symbolic format is
meant to denounce the alarming and exorbitant military spending that exists
in our society while many social necessities are found to be unmet, and even
more so in a time of economic crisis like this: decreased social spending on
health and education, evictions and increases in poverty, reduction in funds
destined for social security. Military spending does not meet any social need
and itself is a waste of resources that are needed now more than ever in
these times of economic crisis.
Military Spending for Social Needs
The lack of resources to develop public services of quality (education,
health, dependent care, social security) is more than evident. So it clearer
than ever is the urgency of increasing public services with the money
allocated to military spending.
One way of spreading the tax resistance message and of targeting potential tax resisters when they may be most receptive to that message is to propagandize them at the time and place when they make their tax payments.
This tactic is prominent in the modern war tax resistance movement, which often conducts demonstrations and other outreach activities on the day when income tax forms are due (for instance, around April 15th in the U.S. nowadays).
Here are some examples from the modern U.S. war tax resistance movement:
“Instances have been brought to the attention of officials,” said a
New York Times article about “pro-German agents
in the United States” in ,
“where buyers [of World War Ⅰ ‘Liberty Bonds’] have been approached,
apparently in a spirit of great friendship, and advised not to buy the
bonds.”
War tax resisters in Spain held a
“chorizada,” or barbecue, in front of the Palacio
Foral in Biscay, to protest the “chorizada,” or swindle,
of military spending, passing out pieces of “chorizo”
(sausage) to passers by while promoting war tax resistance and
redirection.
Citizens of Iceland are required to register their religious affiliation
with the government, which then doles out tax money proportionally to the
various denominations. Thousands of citizens who are fed up with this
government subsidy of religion are flocking to a newly-revived ancient
Sumerian religion, Zuism, whose officials promise to refund all of their subsidy to the members of its church.
India
The Times of India story
describes it as a “threatened” tax strike, but quotes in the article
suggest that the strike has already begun. Residents of Jaivishwabharti
Colony in Aurangabad have decided to withhold property tax in protest
against the government’s failure to provide basic municipal services.
Mexico
Residents of Uruapan have started
withholding
municipal taxes and using the money to fund private Neighborhood Watch
groups, in exasperation at the inability of law enforcement to protect them
from criminals. Resisters are also refusing to pay certain utility
rates.
President Zuma abruptly fired his finance minister, whom many saw as the only person willing to apply brakes to Zuma’s profligate and corrupt spending.
Investor confidence in the South African markets, debt, and currency took a big hit, and South African taxpayers began to consider cutting off Zuma at the source.
The Opposition to Urban Tolling Alliance, which had spearheaded an earlier campaign against road tolls, immediately announced that it was considering a broader tax revolt, but judging from how many people are tweeting tax refusal vows along with their #ZumaMustFall hashtags, the organization had better hurry if it wants to be at the head of the parade.
Spain
War tax resisters in Bilbao took to the military barracks to hang up
signs denouncing military spending, including a ten-foot-tall human
silhouette cutout labeled “890€” which is the amount the group estimates
each person in Spain is forced to spend on the military annually. “This
enormous amount of money comes from our taxes,” one explained, “so every
year in Bilbao we open our tax resistance office where we give people the
opportunity to disobey this injustice, refusing the payment of part of
their taxes that are devoted to military spending and redirecting them to
social ends.”
I hope to have some big news to share with you soon, but until then here are some links of interest to tax resisters that have accumulated during my absence:
Claire Wolfe, on the downhill slope of her recent book project Basics of Resistance, gives me a shout-out over at her Practical Freedomista blog:
In addition to being a personal inspiration, he’s written about other tax resisters like Ammon Hennacy, who conducted a One-Man Revolution and Henry David Thoreau, who wasn’t the pacifist some imagine.
If you’re looking for helpful information from a man who has walked the walk, David’s blog is a good place to start.
Barakaldo Digital reports on the outreach actions
of war tax resisters from Barakaldo, Biscay.
“They have protested that the ‘diversion of public resources’ to military
expenses or bank bailouts ‘translates into a town like Barakaldo, with high
rates of unemployment, poverty, and precariousness, with many deficits in
social services.’ ” The Spanish government, under pressure from the
U.S., says it
plans to double its defense spending so as to take on a higher percentage
of the total NATO
budget. Concerned Basque taxpayers are encouraged to contact their Office
of Tax Resistance in Bilbao.
Boycott, Divestment, Sanctions (BDS)
is a technique for applying economic pressure to states, usually from
without, by trying through multiple avenues to deny them economic
resources. The tactic was famously applied to apartheid South Africa, and
is now enjoying a resurgence in the attempt to curb Israel’s oppressive
policies towards Palestianians. But isn’t it overdue to BDS the U.S.?
One of the new elements of the campaign against payment of taxes destined for military spending is a workshop in which those interested can make out their return on their own.
The number of people who resist taxes for military spending rises every year in the Basque Country.
The Eragozpen Fiskala-Objeción Fiscal platform has accounted for at least as many disobedient tax returns as with almost a month still to go before the tax filing season ends.
This is the third year that offices have been established in three Basque capitals to help people not to collaborate with the State’s war taxes.
“It reminds me of the assemblies [permanencias], during draft resistance [insumisión],” says Idoia Aldazabal about her experience in the Bilbao office.
Then, the antimilitarist movement was focused on stopping mandatory military service.
The objectors refused to take part, disobeying the laws.
For one or two days a week, they met in some location to share their doubts, talk with other people about civil disobedience, give support, etc.
“It’s a way to do politics, in a sense of togetherness, of welcome,” explained this activist.
“We work from non-violent direct action,” explains Arrate Vivar, who is also part of the conscientious objector movement.
Vivar says that once the struggle to end the draft was complete, the antimilitarists could devote more energy to other paths to do away with the military, in this case by attacking the budget.
The law does not have a category for tax resistance; it’s alegal, that is to say, an irregular but not illegal way to file.
“It’s one of the few ways that we have to protest,” says Vivar in reference to the backlash on civil rights and political rights because of the Gag Law.
at least two people are preparing returns each weekend in the office, and they have nearly all shifts filled .
“We are, as they say, victims of our own success,” jokes Miguel Martínez, also a KEM-MOC activist.
one of the challenges facing the campaign is to meet the need for help from all the people who have been interested.
To meet this need, for the first time , a workshop was held in which the participants, with the help of one person, made out their own tax return including tax resistance.
“This is more empowering and more participatory,” explained Martínez, who notes that the objective is for the people to become capable of resisting on their own, in order to free up the office so it can bring in new people.
“If in the future 10,000 people do tax resistance in the Basque Country and we finish off the military, we won’t be able to attend to all of them,” he says with some wishful thinking.
War tax resisters in Bilbao, Biscay chained themselves to the gates of a military building, dressed in medical scrubs, to protest the government’s prioritization of military spending over healthcare during the pandemic.
The activists have opened “Tax Resistance Offices” in Araba, Biscay, and Gipuzkoa in which they counsel Basque taxpayers about how to redirect their taxes from the government to useful and important projects.
There’s a roadblock to the Democrats’ plans to use increased IRS enforcement to bring in more money to pay for their ambitious federal budget:
The fact that under Congressional budgeting rules, increasing the IRS budget counts as an expense, but increases in tax revenue that might be expected as a result don’t offset that expense.
Which means Congress has to jump through extra hoops to justify that extra spending.
Republicans smell blood in the water, and suspect that beefing up such IRS tax enforcement might not be politically popular.
They hope they can exploit anti-tax-snoop sentiment to stymie Democratic spending priorities.
The IRS expects to lose 52,000 of its 83,000 employees to retirement over .
Hiring freezes and budget cuts have aged its workforce.
But now they’re going on a hiring spree to try to make up for it.
At the NWTRCC blog, tax resister William E. Ruhaak shared his experience trying to get the government to acknowledge his carefully-drafted, personal “statement of conscience.”
He fought a determined pro se legal battle to get the U.S. Tax Court to admit his statement of conscience as evidence in his tax appeal.
He believes such a struggle is important in order to defend “The fundamental human right to publicly express an opinion or belief.
And also the right to have a written expression of that belief included in government documentation for future reference.”
The Court eventually gave in and added his statement as a piece of evidence, but seemingly only to humor him.
The ruling in his case reads in part:
We nevertheless admonish petitioner that instituting future proceedings before the Tax Court for the purpose of advancing frivolous arguments relating to his conscientious objection to the payment of Federal taxes is likely to result in the imposition of a significant section 6673 penalty against him.
We recognized four decades ago that “there has been a long and undeviating parade of cases in this and other courts” rejecting the arguments of conscientious objectors who sought to avoid paying “the part of their taxes which they estimated to be attributable to military expenditures and to which they objected because of their religious, moral, and ethical objections to war and because of their claimed ‘rights’ under various constitutional provisions, the Nuremberg Principles, international law, and numerous international agreements and treaties.”
Greenberg v. Commissioner, 73 T.C. 806, 810 ().
At this late date, the Court will not condone the continued assertion of similar frivolous positions in meritless litigation that wastes both its own limited resources and those of the IRS.
The War Resisters League has released its annual “Where Your Income Tax Money Really Goes” pie chart fliers, based on the Biden Administration’s proposed budget for .
As Pentagon spending continues to rise, and yet more millions are being spent to arm Ukraine, pie chart aficionados may be surprised to see that the military-spending slice of the pie chart seems to have noticibly shrunk this year.
Ed Hedemann and Ruth Benn, who do the research and composition for the pie chart, explain why.
In part, the reason is that they are operating on the proposed budget, not whatever budget (and supplementary appropriations) Congress will eventually, tardily enact.
The Biden Administration’s proposed budget is chockablock with a wish list of non-military spending that Congress will probably not enact.
The absolute amount of military spending has risen substantially, but relatively it looks smaller because of all that extra wish list spending.
The latest NWTRCC newsletter is out, with a preview of the upcoming tax filing season and other news from the American war tax resistance scene.
The only thing that comes close to the problems we’re seeing now at the Internal Revenue Service was in 1985, when the agency was rolling out some new technology—technology it’s still using today.
Back then, the processing centers got so behind on their work that employees started hiding tax returns in closets and putting them in bags in the trash.
Now it’s way worse, with the IRS, for the second year in a row, entering the filing season with a backlog of millions of not yet processed returns and pieces of correspondence.
The current National Taxpayer Advocate released an amusing blog post about how pathetic and outdated the IRS processes for handling tax returns are. Excerpts:
When I released my annual report in , I said that paper is the IRS’s Kryptonite and the IRS is buried in it.
The reason paper returns are so challenging is that the IRS still has not implemented technology to machine read them, so each digit on every paper return must be manually keystroked into IRS systems by an employee.
The IRS has announced that it plans to hire thousands of new workers to try to deal with its paperwork backlog.
But, in a tight labor market, and unable to offer competitive pay rates to compensate for the soul-crushing tedium ($15.61/hour anyone?), they’re finding it a challenge to turn those plans into personnel.
The Washington Post took a look at a recent job fair the agency held.
IRS employees don’t follow the rules on paid time-off, with a suspicious pattern of sick leave days allowing employees to make their own three-day weekends and extended holidays.
Catalan separatist group / government-in-exile Council for the Republic is promoting a tax redirection campaign in which Catalan citizens withhold the portion of their taxes that would go to the Spanish monarchy or to its repression apparatus, and give that money instead to Front Republicà d’Acció Solidària or some such group working for Catalan independence.
Doomed, quixotic, gonzo tax resister John McAfee is trying to get in the last word by means of a set of interviews he gave when he was on the run from the law.
In them, he explains why he stopped paying. Excerpts:
I’d just had enough.
I’d paid $50 million in income tax over the years.
I thought that was plenty.
I hadn’t paid tax since I went to Belize, but technically, as an American citizen, even if you’re not living in the country, using the services and driving on the roads, you still have to file and pay 30% of your income to the United States.
The only two countries in the world that enforce that rule are the United States and Eritrea!
How [frigging] bizarre is that?
Anyway, I just said, “I’m sorry.
This is insane.
I’m not doing this anymore.”
[I]n America, income tax is in fact unconstitutional anyway.
It was only ever created to fund the war effort in , but that edict, like many others, was never extinguished after the need for it ceased to exist.
I was telling people that I thought taxes were illegal, and if they also felt that they were illegal and/or unjust they should just stop paying, too.
Not just that, I was showing them how to do it without getting caught.
I stumbled somehow on the No Obligation Challenge website.
It looks like a U.K. version of the familiar U.S. tax protester song-and-dance (“Did you know there is no law obligating you to pay council tax?”) but I was impressed by the quality of the graphic design and layout of the website, which is head and shoulders above what I usually see from that segment of the fringe.
The American Prospect published an editorial by Robert Kuttner recommending that Democrats respond with mass tax refusal to the next presidential election if it is won by fraud by the Republican candidate.
Taxpayers owed considerably more money than usual when they filed their income taxes this year — hundreds of billions more.
And this is contributing to a record amount of income tax collection — both in terms of the raw amount, and in terms of the percent of GDP.
This is probably because of a surge in capital gains last year (from which taxes are not withheld over the course of the year) but may be also because much of the recent increases in wealth have gone to people in higher tax brackets.
This increase in the amount owed may cause a little extra “sticker shock” among affected taxpayers.
On the other hand, refunds were also higher than usual this year, so I suppose it could even-out, attitudes-wise.
Spanish war tax resisters have been ramping up their activity as the Ukraine war prompts ever more military spending in Europe.
In the Basque Country, for example, activists have set up offices of war tax resistance in Donostia, Gasteiz, and Bilbao to help people through the process of resistance and redirection.
Ruth Benn of NWTRCC shared her story of trying to access her IRS account on-line.
The IRS is trying to let taxpayers access their information on-line so that the agency can take some pressure off their grievously swamped phone service lines.
They’re also extra-sensitive to security issues, both because taxpayer account information can be private and sensitive, and because international fraudsters use such information to siphon money from the U.S. treasury.
But at the same time, the steps they take to tighten security are frustrating and user-hostile (as Benn found), and raise the hackles of privacy advocates.
This has put them in a tight spot, and the solutions they’ve come up with don’t seem to be solving their problem while at the same time they’re causing frustration for everyone involved.