davidmcbeth
Banned
Just start taxing the federal reserve/printing division .. heck, tax them as much as you like ... they can pay, right?
Just start taxing the federal reserve/printing division .. heck, tax them as much as you like ... they can pay, right?
There is no "printing division" of the Federal Reserve System. all those people do is hoard gold and crunch numbers.
federal reserve notes are printed by the United States Bureau of Engraving and Printing. coins are produced by the United States Mint.
There is no "printing division" of the Federal Reserve System. all those people do is hoard gold and crunch numbers.
federal reserve notes are printed by the United States Bureau of Engraving and Printing. coins are produced by the United States Mint.
Are you going to use that keyboard to type an argument against what is being said, or just use it for semantics of who does the physical printing ignoring, on who's authority they print the money and the fact that it is a fiat money based on nothing of value.
Printing more money, is a tax pure and simple. Inflation is a tax. The way the government gets away with it's massive over bloating is by simply making more money out of thin air. Which then devalues the money we work hard to get and destroys the value of our assets. Theft pure and simple.
Are you going to use that keyboard to type an argument against what is being said, or just use it for semantics of who does the physical printing ignoring, on who's authority they print the money and the fact that it is a fiat money based on nothing of value.
Printing more money, is a tax pure and simple. Inflation is a tax. The way the government gets away with it's massive over bloating is by simply making more money out of thin air. Which then devalues the money we work hard to get and destroys the value of our assets. Theft pure and simple.
It may go a lot deeper than that, too.
I saw yesterday a video by Peter Schiff, CEO of EuroPacific Capital, where he discussed balance of trade and what happens when all the money created out of thin air starts returning to our shores. Suddenly we start paying even more for consumer goods. I didn't fully understand what he was saying--I think he was assuming the listener already understood trade deficits. But, it made sense there would be deeper ramifications than just inflation acting as a tax. By this I mean, a 7-10% real price inflation does not immediately strike me as accounting for all the value-shifting from creating $1.4T out of thin air. Maybe it does; I'm not sure. Certainly, when the $1.4T is created out of thin air by creating debt (aka monetizing debt), then whoever owns the debt instruments is part of the equation. And, if their money starts returning to our shores, it further devalues our money here. So, the upshot seems to be that the price inflation we see here today is not the only price inflation we can get hit with. More can come from the same money printing when the rest of the money comes back from overseas.
Here is the Schiff video; the trade deficit info is in the latter half: http://www.youtube.com/watch?v=pwI3Nya5L9g&feature=player_embedded
I found the video embedded here: http://www.economicpolicyjournal.com/
If anybody can explain Schiff's point further or direct me to an explanation on the web, I'd be greatful.
Wow! I never even thought of that aspect. That makes sense on why metals like silver is staying on a fairly static level these last few months. I too would like to know and understand more. I recently read his "Real Crash" intriguing book indeed.
Of course we can try to hedge against inflation by investing in metal, but then the government taxes an "earning" on the increase of fiats that metal buys even though it really didn't increase in value.:banghead:
Thanks for the links!
For readers who may not know what he's talking about:
If you plunk money into savings, price inflation eats away at your savings. One hundred dollars saved twenty years ago only buys, for made-up example, forty dollars worth of goods today.
But, if you see that losing game and decide to buy silver and gold instead of putting your savings cash into a savings account, the government taxes your profit when you sell the gold later. Inflation drives up the price of your gold, which is just another way of saying the value of the dollar and what it can buy goes down. So, you'd think you could protect yourself against that by buying and holding gold long term. But when you go to sell that gold, which increased in price partly because of price inflation, the government taxes you on the amount that gold went up. Its basically a savings tax.
In short, they get you going and coming, and close as many doors as possible to you insulating yourself against price inflation caused by arbitrary money printing.
I worked it out a couple years ago. You could actually lose money to taxes. Meaning, the profit on your gold minus the tax would not necessarily make up for the price inflation.
They got us locked in, fellas. Collared. Yoked. Chained.
That is only if you ignore the law and do what you are told.
The earnings (even the income) of the average citizen living and working with in the states of the union with no foreign sourced income is not the subject of the income tax at all. So the 'gains' on gold sales is not even taxable.
That is only if you ignore the law and do what you are told.
The earnings (even the income) of the average citizen living and working with in the states of the union with no foreign sourced income is not the subject of the income tax at all. So the 'gains' on gold sales is not even taxable.
I'm sure these arguments will be very entertaining to the cellmate of anyone who tries it....
Kinda irresponsible don't you think--to not clarify whether you are talking about a tax court's interpretation of the law or your own?
Just a little note about IRS issues and tax courts...
One is not required to go to tax court. In tax court, the opposing consul is an employee of the IRS .. not favorable. Yuck. Oh, and no jury trial .. just a tax court judge (how fair are they? who knows.)
You can pay the tax and then request a refund. The IRS has 12 mo or so to respond. From a denial, you can take the case to district court (fed ct). Here the opposing consul is not from the IRS but a normal, sane, federal consul. And you can, I think, ask for a jury trial.
So one has two routes: tax court or district court.
Tax court advantage: you don't pay until after the court rules
Fed. district court advantage: regular proceeding, no IRS direct involvement, jury trial available
I personally have always gone through the fed. district court route ... and it has saved me tens of thousands of dollars in the single case I had. Did it pro se. The judge was a no nonsense judge ... I filed discovery with the opposing party and the opposing party said that discovery was not available BUT they did discovery at the same time ... when I brought this up to the judge, the judge spent 5 minutes chastising the opposing consul. The consul apologized to me in open court...I appreciated that good gesture.
After this case, the IRS has not harassed me ... maybe they were harassing me for years because I held a ffl or because of my political views.
Oh, and after I filed my federal case, Treasury agents were at my door the NEXT day. I promptly booted them off my land.