Dear Vicky,
Thank you for your response, however I really need to get this straight, 
because your answer confounds me.  You are asserting when Larken Rose buys full 
page ads in several major newspapers 
http://theft-by-deception.com/challenge.asp stating that he is not filing 
because of certain reasons after he has sent letters to the IRS DOJ and every 
congressman regarding certain issues of the tax code without response to the 
said questions. Then he went ahead and produced a 20,000 Cd's outlining the law 
and why he is not required to file see www.861.info  And then the IRS / DOJ 
brings him and his wife to separate trials to court to basically have that 
couple silenced.  In this case they are demonstrating the IRS is making people 
file their income taxes FRAUDULENTLY, and that is not relevant to the people in 
the area?  Now if that is not the silliest and most absurd thing that I have 
ever heard I don't know what is.  Don't you find it amazing that out of all the 
media outlets in this supposed
 "free" country, only one SINGLE outlet has any information about the trial of 
the century!!!!!!!!!!!!!!!  You might conduct a poll using your supposed "news" 
media outlet, and ask the people in your area if they would be interested in a 
case involving the IRS and DOJ where someone is actually challenging the 
government regarding the misapplication of the tax code to coerce the people of 
this county to hand over to the government their hard earned money WHEN THEY 
ARE NOT REQUIRED BY LAW TO DO SO!  With that information in hand I am sure you 
will see that your opinion is FALSE!  Being you and the other 'news" outlets 
refusing to give this important trial no coverage clearly indicates that your 
company is EMBEDDED with the government and therefore part of the problem.

"Benchimol, Vicky" <[EMAIL PROTECTED]> wrote: 
because its not local to our area
-----Original Message-----
From: Rocky [mailto:[EMAIL PROTECTED]
Sent: Thursday, August 11, 2005 12:12 PM
To: [EMAIL PROTECTED]
Subject: Why are you not covering this case???????


http://triallogs.blogspot.com/
 
Wow 04 libertarian candidate Mike Badnarik comments on the Larken rose case.
 
After doing several searches finally I found a main stream media that is 
covering the case, Ding ding ding!
http://www.phxnews.com/fullstory.php?article=24057
 
if you have the time foward this to your local media outlet and ask them why 
they are not covering the story.
 
Larken Rose Trial, Day 2
Posted by markyannone on Wednesday August 10, 2005 at 6:03 pm MST [ Send Story 
to Friend ]

 
Tuesday, August 9, 2005

The prosecution started its case at 9 a.m. by calling Mary Sonna. Mary has been 
an IRS custodian of records for 32 years. She went through a number of exhibits 
with the prosecution to show that Larken and Tessa Rose had not filed and paid 
federal income taxes for 1997 through 2003, except that they had paid over 
$2,000 for 1997.

In addition, she showed that in 2000, Larken and Tessa had filed amended 
returns for 1994, 1995, and 1996 with explanations based on the 861 argument. 
This was all unnecessary, since Larken was willing to stipulate that they had 
not filed or paid federal income taxes for these years!

In addition, two different letters were sent to Larken by the IRS that stated 
that "gross income" includes "compensation for services." The IRS sent many 
computer-generated letters to Larken, asking him to file income tax return 
forms and to call or write the IRS if he believes that he is not required to 
file.

None of these letters refer to section 861 of the IRS Code. Instead they 
mention Sections 61 through 64, if any.

At 10:35 a.m. this testimony ended and after a 10-minute break, the next 
witness, Barbara Thompson took the stand. She verified that the medical group 
that she worked for paid Tessa for doing their medical transcriptions.

Then the prosecutor read the stipulation of the parties that the medical 
transcription services were allocated to Larken.

At 11:20 a.m. the next government witness, a lady named Cathy Lee Spalding who 
worked for IRS's Small Business/Self-Employed section of the IRS and was a 
revenue agent for three years and an auditor for eight years. She was assigned 
to Larken's case at the end of 1999 and met Larken after April 15, 2000.

IRS's position was based on Section 61 of the IRS Code, and Larken's position 
was based on Section 861 of the Code. Both parties recorded this meeting. She 
told Larken that she would do some research on the issue. She made a referral 
for technical advise, from the National Office of the IRS in Washington, DC, 
for the first time ever, based on Larken's request.

The IRS National Office refused to take up Larken's case. On June 8, 2000, the 
IRS denied his 1040X return's claim for refund. Cathy handled Larken's 1994 and 
1995 1040X tax returns, and someone else handled the 1040X for 1996. In 
September 2000, she met with Larken and in that meeting he accused of her of 
denying him his Constitutional rights. Cathy responded that she was only trying 
to do her job.

Under cross-examination, Cathy said that Larken and the IRS recorded the April 
and September meetings. One IRS letter referred to an 11th Circuit Federal 
Court of Appeal decision named Coleman. Coleman disagreed with people who claim 
"wages are not income," that "only gold is money," or that "the 16th Amendment 
was never ratified." Agent Cathy admitted that Larken never brought up any of 
these issues.

Agent Cathy said she felt so threatened by Larken's tone of voice and body 
language that she called the police! She admitted that nothing bad came of it, 
and that it was just a concern she had. The judge said that whatever part of 
the tape that would challenge her assertion about his tone of voice could be 
played to the jury.

She read the first part of a letter that Larken had written to her. In his 
letter Larken quoted the IRS regulations and had Agent Cathy read on the stand 
the part that stated that Section 861 is to be used to determine the taxable 
income of a U.S. citizen from domestic source income.

At 12:25 p.m. the judge announced a lunch break till 1:30.

When I (Peymon) got back to court, the testimony of Agent Cathy was about to 
finish. Ross told me that she had said nothing of significance in the 
afternoon. At 2:05 a new witness was called: Charles Judge, supervisor and 
manager of Agent Cathy Spalding and IRS agent for 32 years.

Larken's 1040X refund tax return claims were assigned to his group in April 
2000. In a September 2000 manager's conference, Charles and Larken met to go 
over Larken's case. Agent Charles told Larken that per Section 61 of the IRS 
Code, all income is taxable, unless specifically excluded. Agent Charles had 
never dealt with the 861 issue before.

Charles stated that he had read IRS Code Section 861 and that his understanding 
of it is that it is about a person who has income from within and without the 
United States. Larken sent a letter and a video to Agent Charles, marked 
"personal" on the outside, in which he invited Charles and possibly his wife to 
dinner to go over it.

Agent Charles reported to the IRS inspector general about this upcoming 
meeting, per the rules of conduct of IRS agents. Agent Charles then secretly 
tape recorded the meeting. Charles said that Larken said he was being clobbered 
by the income taxes and started studying the law. Then another agent, named 
Dianna, referred his case to CID.

At the September 2000 meeting, Larken acknowledged receipt of the income from 
the transcription business. Charles once again told Larken that based on IRS 
Code Section 61, ALL income is taxable unless otherwise excluded. Larken gave 
Agent Charles the 861 regulations.

At the meeting, Charles told Larken that they could not at that time address 
Larken's points on the 861 issue. IRS NEVER answered Larken's questions on the 
861 issue. IRS did not tell Larken that the IRS was going to tape Agent 
Charles' conversation with Larken.

Agent Charles stated that Larken said that at one point in the past, he was a 
tax protester and had trouble paying his bills.

This was the end of testimony of IRS Agent Charles Judge. At 2:43 p.m. a new 
government witness named Stanley Escher took the stand. Agent Stanley is 
currently the Senior Program Analyst of Abusive Tax Transactions that shuts 
down these types of organizations and entities. Back in 2000 when he met 
Larken, he was a group manager.

Agent Stanley met Larken as a witness in the audit of John Hoffman. Hoffman had 
filed a 1997 tax return form and later filed an amended return seeking a refund 
of the money that he had given to the IRS. Hoffman and Larken wanted Agent 
Stanley to answer twelve questions about the 861 issue.

At this meeting, Larken stated that per Section 861 of the IRS Code, the 
domestic income of Mr. Hoffman is not taxable. They wanted Stanley to answer 
the twelve questions that he eventually answered for them.

Stanley tried to make it clear to them that Section 861 did NOT apply and that 
Section 61 is the applicable code section. In addition, he said that the 861 
Section is about when someone or a corporation has income from within the 
United States as well as income from outside the United States, like China, the 
person or corporation could get a tax credit for the taxes that they had paid 
to the foreign government.

Throughout his testimony, Stanley had his hands tightly clenched together, as 
if to hide his nervousness. Larken asked Stanley if the words "tax credit" were 
used in Section 861. Stanley said, "Yes." Larken showed Stanley a copy of 
Section 861, then Stanley was not so sure about his last statement.

The judge allowed a word search on the computer. The words "tax credit" were 
mentioned in the text of Section 861 under "dividends" ONLY. IRS procedures say 
that frivolous issues do not go to the national office of the IRS.

We had a break for about 10 to 15 minutes, and at 4:15 p.m. prosecutor Miller 
read the stipulations of Larken and the IRS, which stated that Larken and his 
wife Tessa operated a medical transcription service and that at least 50 
percent of its income would be attributable to Larken.

The IRS's last witness of the day was their best witness, Department of Justice 
lawyer Evan John Davis, who is a senior civil trial attorney of the tax 
division of the DOJ. Davis met Larken as a result of his work on the Thurston 
Bell abusive tax shelter injunction case. For the last four of five years, 
Davis has been shutting down wholesale tax scams.

Davis was working the Thurston Bell case and had heard Larken's name mentioned. 
Davis wanted to know what the relation was between Larken and Thurston Bell and 
what Larken might testify to about the Bell case, if they go that far.

This is as far as we could go on today's report. We will finish it tomorrow. 
Day 3 will be sent separately.

Yours in truth, freedom and justice,

Peymon, Ross, Harry, and Ken

Edited by Mark Yannone

Audioblog: 
http://flogcast.blogspot.com/2005/08/trial-logs-coverage-of-larken-and.html 

 






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Thomas "Rocky" Costanzo
Windsor Capital Mortgage
1.95% fixed payment loan that pays off in 25 years.  DROP your payments, get 
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888-848-8781 Voice / 561-450-5546 Fax
www.Toddsloans.net
[EMAIL PROTECTED]
WHO IS JOHN GALT?
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