THE WORTHLESS DOLLAR

[americankahanist]

SILVER, GOLD AND THE IRS

 

By Derry Brownfield
June 15, 2008

NewsWithViews.Com

I began a recent presentation before a large group of cattle producers (R-CALFUSA) by showing a paper dollar bill and a silver coin. The words “one dollar” is inscribed on both the coin and the paper, yet the paper dollar will only pay for about one quart of gasoline at today’s prices, while the silver dollar will pay for well over five gallons. I explained to my audience that consumer prices are not high – the paper dollar has lost most of its value. It makes no difference how high the price of gasoline goes, a silver dollar will continue to buy gas for 20 cents a gallon, exactly the price gas was during the Great Depression. Based on 1940 prices, a paper dollar is worth about two pennies.

Today in America, we are being systematically robbed of our property because we have allowed the Federal Reserve to flood our banks with fiat, worthless paper money. There is actually a law against paper money but nobody seems to know about it. The Supreme law of the land is the US Constitution, which stated in Article I Section 10: Individual states are “not allowed to make any things but gold and silver coin a tender in payment of debts.” The Constitution also states that “Congress has the power to COIN money and regulate the value thereof.” Our Founding Fathers knew how a central bank printing paper money would collapse our economy. Had we followed the US Constitution to the full letter of the law, gasoline would still be 20 cents a gallon. As the dollar continues to lose value we say our currency has lost its purchasing power. It should be more properly referred to as embezzlement by the banking industry.

Robert Kahre owns a family business and instead of using paper money he paid his workers with gold and silver coins minted by the United States government. He paid them based on the “face value” of the coins. If he paid a worker a dollar an hour he paid with a silver dollar, which states on the coin that it is “one dollar” regardless of today’s value. His wages were so low that he didn’t have to file W-2 income tax forms or withhold taxes or pay workman’s comp. This upset the IRS, which charged him and his family with 161 federal tax crimes.

The case which was tried before a Las Vegas jury in a Federal Court, heard testimony for almost four months. Defendants believed they had no legal obligation to withhold, pay income taxes or report anything to the government because the “face value” of the gold and silver coins is so small as to fall beneath the reporting thresholds set by the Internal Revenue Code. The government argued that the payments in gold and silver US coins must be considered at their bullion, full-market value when considering the worth of the wages for purposes of the IRS code. The essence of the argument is that Congress is obligated by law to mint and circulate such coins as demand requires, and must establish the value of coins as they are used as legal tender, but a coin’s market value is a distinct, separate attribute of such coins and is of no legal consequence if the coins are used as legal tender. If a worker is paid with such coins, his taxable income can only be the face value indicated on the coin. “A coin dollar is worth no more for the purposes of tender in payment of an ordinary debt than a note dollar. The law has not made the note a standard of value anymore than coin. It is true that in the market, as an article of merchandise, one is of greater value than the other; but as money, as a medium of exchange, the law knows no difference between them.”



On September 17, the jury returned its verdict refusing to convict all nine defendants of any of the 161 federal tax crimes they had been charged with. One would think, “we the tax payers would want to hear that the IRS was defeated by the use of the true money.” To my knowledge, the results of this trial were never printed or broadcast by any of the major news media. Three days after the trial’s conclusion, the Las Vegas Review Journal ran its first and last story about the outcome and then only because of public pressure from interested parties who attended the trial.



The Department of Justice prosecutors know that justice was done and that if this information was made available to the general public their house of cards would come tumbling down. All federal agencies have a great fear of the truth and only by controlling the news media can they keep the world from caving in on their heads.

(After typing this article, Beth (my secretary) has now surrendered the raise that she has yet to receive, contingent on me agreeing to pay her in gold & silver coins; see the truth does hurt.)

[briann]

Uhhh... theres not a single national currency that is backed by precious metals anymore.

Not the Euro.  Not the Pound,  Not the Yen... nothing.

This is just silly populism.

[Scriabin]

This is just silly populism.

What is?

[briann]

This is just silly populism.

What is?

The part that says that every currency must be worthless unless it has precious metals backing it.   There is a reason that pretty much every country abandon 'gold backing' during the depression, and have never gone back since.  Its sorta a complicated discussion... but the article states some truths ... and then makes a ridiculous conclusion.

It also... not-surprisingly, the article focuses on silver.  Which has spiked up to 17$ an OZ, and cherry picks its absolute LOWEST historical point of around 1941  The problem is that silver is a horrible backer.  For example... it went as high as $40/oz during the speculation of the Hunt Brothers... and then stayed in the $6.00/oz area for almost 20 years.  Honestly... silver is the worst possible investment for stabillity as it has horrible volatility and nearly non-existent appreciation over the long term.  The reason why silver is back up again.. is that everyone is speculating in commodities, as the real estate market has collapsed... and everyone is looking elsewhere.   

Brian

[AsheDina]

This is just silly populism.

What is?

The part that says that every currency must be worthless unless it has precious metals backing it.   There is a reason that pretty much every country abandon 'gold backing' during the depression, and have never gone back since.  Its sorta a complicated discussion... but the article states some truths ... and then makes a ridiculous conclusion.

It also... not-surprisingly, the article focuses on silver.  Which has spiked up to 17$ an OZ, and cherry picks its absolute LOWEST historical point of around 1941  The problem is that silver is a horrible backer.  For example... it went as high as $40/oz during the speculation of the Hunt Brothers... and then stayed in the $6.00/oz area for almost 20 years.  Honestly... silver is the worst possible investment for stabillity as it has horrible volatility and nearly non-existent appreciation over the long term.  The reason why silver is back up again.. is that everyone is speculating in commodities, as the real estate market has collapsed... and everyone is looking elsewhere.   

Brian

  I recently sold a few silver dollars, and I made over $100- so, I dont know whats up here- but people are BUYING silver a LOT, look at it go go go on ebay. ALL DAY LONG.

[MassuhDGoodName]

Those attempting to ridicule as "silly populism" the rights, liberties, and freedoms bequeathed to us as an inheritance by America's Founding Fathers, those men of character and genius who wisely established gold and silver backing as a requirement for the U.S. currency, and who legally authorized only the Congress of the United States of America the sole power to mint and govern our currency, are those among us who favor European style monarchy and Eastern style despotism.

Thomas Jefferson correctly warned that the giving over of America's economy to the "central bankers", all of whom were and continue to be based in Europe, would result in debt and the loss of our property, our land, and our sovereignty.

Where once we were free and strong knowing that our money was based on gold or silver reserves in Fort Knox, we become weaker and less free with each passing day, as we and the rest of the world know full well that our money is essentially worthless.

This is because fiat paper money printed on the whims of a central bank attempting to control and manipulate our economy, has value only to the extent that those exchanging it have "faith" that the U.S. Government is to be trusted to remain powerful and guarantee the value of its currency.

Actual wealth has today been replaced with DEBT as the economic framework of the U.S.A. to such an extreme that without possessing plastic "charge cards" with which to make purchases on "credit", a person living in the U.S.A. today is a "non-entity"!

In fact, the person in the U.S.A. today without a constant debt load being paid off over an indefinite period at usurious interest rates is considered "high risk" and "having bad credit".

Even worse is the IRS, the illegal "Police Wing" of the privately owned Federal Reserve Bank, which is uses "tax audits" to threaten and destroy the lives of any U.S. citizen not in favor with the politics of its leadership.

No longer does America honor and obey its own Fifth Amendment Right of a citizen to remain silent and not have to incriminate oneself in a court of law, for the IRS claims that anyone filing a tax return (for which no law has been established requiring such) is automatically guilty of tax evasion or tax fraud and that the citizen taxpayer, and not the accusing agency of the Fed, must prove their innocence; thus overthrowing the American Judicial principal of "Innocent until PROVEN guilty".

Those who ridicule major building blocks, provisions, and guarantees of the Constitution of the United States are those in favor of tyranny and the rule of the mob.

These persons parrot the lies and half-truths drilled into their minds by fraudulent "economic experts", college professors, and professional media propagandists, all the while failing to "connect the dots" as to why it is they themselves no longer live as free Americans.

They seethe with anger and righteous indignation that gays are forcing homosexuality upon them and their family, while out of the other side of their mouths they insult and ridicule the very documents and provisions which alone prevented their worst fears from becoming reality.

It simply is not possible to abandon our Constitution, ridicule those who swear an Oath to defend it "against all enemies; both foreign and domestic", and then present oneself as a "True Conservative Republican Patriot".

Oh, and by the way...

Adolph Hitler's first economic action upon becoming Chancellor of Germany was to immediately remove Germany's currency from its gold backing and to print fiat paper money backed only by the German peoples' belief and faith in Nazism.

[Scriabin]

Those attempting to ridicule as "silly populism" the rights, liberties, and freedoms bequeathed to us as an inheritance by America's Founding Fathers, those men of character and genius who wisely established gold and silver backing as a requirement for the U.S. currency, and who legally authorized only the Congress of the United States of America the sole power to mint and govern our currency, are those among us who favor European style monarchy and Eastern style despotism.

Thomas Jefferson correctly warned that the giving over of America's economy to the "central bankers", all of whom were and continue to be based in Europe, would result in debt and the loss of our property, our land, and our sovereignty.

Where once we were free and strong knowing that our money was based on gold or silver reserves in Fort Knox, we become weaker and less free with each passing day, as we and the rest of the world know full well that our money is essentially worthless.

This is because fiat paper money printed on the whims of a central bank attempting to control and manipulate our economy, has value only to the extent that those exchanging it have "faith" that the U.S. Government is to be trusted to remain powerful and guarantee the value of its currency.

Actual wealth has today been replaced with DEBT as the economic framework of the U.S.A. to such an extreme that without possessing plastic "charge cards" with which to make purchases on "credit", a person living in the U.S.A. today is a "non-entity"!

In fact, the person in the U.S.A. today without a constant debt load being paid off over an indefinite period at usurious interest rates is considered "high risk" and "having bad credit".

Even worse is the IRS, the illegal "Police Wing" of the privately owned Federal Reserve Bank, which is uses "tax audits" to threaten and destroy the lives of any U.S. citizen not in favor with the politics of its leadership.

No longer does America honor and obey its own Fifth Amendment Right of a citizen to remain silent and not have to incriminate oneself in a court of law, for the IRS claims that anyone filing a tax return (for which no law has been established requiring such) is automatically guilty of tax evasion or tax fraud and that the citizen taxpayer, and not the accusing agency of the Fed, must prove their innocence; thus overthrowing the American Judicial principal of "Innocent until PROVEN guilty".

Those who ridicule major building blocks, provisions, and guarantees of the Constitution of the United States are those in favor of tyranny and the rule of the mob.

These persons parrot the lies and half-truths drilled into their minds by fraudulent "economic experts", college professors, and professional media propagandists, all the while failing to "connect the dots" as to why it is they themselves no longer live as free Americans.

They seethe with anger and righteous indignation that gays are forcing homosexuality upon them and their family, while out of the other side of their mouths they insult and ridicule the very documents and provisions which alone prevented their worst fears from becoming reality.

It simply is not possible to abandon our Constitution, ridicule those who swear an Oath to defend it "against all enemies; both foreign and domestic", and then present oneself as a "True Conservative Republican Patriot".

Oh, and by the way...

Adolph Hitler's first economic action upon becoming Chancellor of Germany was to immediately remove Germany's currency from its gold backing and to print fiat paper money backed only by the German peoples' belief and faith in Nazism.

This is what makes MassuhDGoodName one of the finest posters on the JTF Forum.

[White Israelite]

I think i'm going to invest in Gold.

[briann]

Adolph Hitler's first economic action upon becoming Chancellor of Germany was to immediately remove Germany's currency from its gold backing and to print fiat paper money backed only by the German peoples' belief and faith in Nazism.

EVERY COUNTRY PERMANENTLY went off the gold standard in 1932-1934...,The UK, France, USA... etc etc.     We had no choice... without the flexibillity of the currency, banks would have continued to collapse indefinitely after 1934.

The Gold standard (Pre-1933) is what made our recessions/depression so severe.  Don’t believe me? look at the recessions (which were all technically depressions before 1933)

# Panic of 1819 (1819 - 1824), 5 years
# Panic of 1837 (1837 - 1843), a sharp downturn in the American economy caused by bank failures and lack of confidence in the paper currency (BACKED BY GOLD): 5 years
# Panic of 1857 (1857 - 1860), failure of the Ohio Life Insurance and Trust Co. bursts a European speculative bubble in U.S. railroads and loss of confidence in U.S. banks: 3 Years
# Panic of 1873 (1873 - 1879), economic problems in Europe prompt the failure of Jay Cooke & Company, the largest bank in the U.S., bursting the post-Civil War speculative bubble: 5 years
Long Depression (1873 - 1896) (THE LONGEST DEPRESSION IN US HISTORY, OVER 20 YEARS)
# Panic of 1893 (1893 - 1896), failure of the U.S. Reading Railroad and withdrawal of European investment leads to a stock market and banking collapse. Duration: 18 months
# Recession of (1895 - 1897) Duration: 18 months
# Recession of (1899 - 1900) Duration: 18 months
# Recession of (1902 - 1904) Duration: 23 months
The Great Depressions 1929 - 1939: 10 Years
(Source: Wikipedia)

Since getting off the Gold Standard, the typical recession lasted around 12 months. (Even less recently)

THIS!!!! is why every country in the world now dropped the gold standard.   Their economies just couldn't endure it.  Not having the flexibility of one’s currency ALWAYS causes banks to collapse, which ALWAYS leads to depressions.

BTW... dont mention Bush and Sean Hannity again.

[AsheDina]

I think i'm going to invest in Gold.

  PILMAN: You cant go WRONG with Silver OR gold. Silver is known as "change" while gold is GOLD, and BOTH have value, UNLESS this goes to the NAU AMERO, then- WE ARE SCREWED. Buy SEEDS and plant GARDENS. THIS will ensure that you will NOT have to bow to that Amero.  When it comes down to the nitty-gritty, FOOD is the substanance that will keep one ALIVE- people- PLANT YOUR GARDENS WITH A LOT OF FRUIT AND VEGETABLES. If it EVER got very bad, you do not need:
Electricity, or a CAR- you WILL need FOOD and WATER. Period.
THOSE are the real commodities.

[briann]

I think i'm going to invest in Gold.

  PILMAN: You cant go WRONG with Silver OR gold. Silver is known as "change" while gold is GOLD, and BOTH have value, UNLESS this goes to the NAU AMERO, then- WE ARE SCREWED. Buy SEEDS and plant GARDENS. THIS will ensure that you will NOT have to bow to that Amero.  When it comes down to the nitty-gritty, FOOD is the substanance that will keep one ALIVE- people- PLANT YOUR GARDENS WITH A LOT OF FRUIT AND VEGETABLES. If it EVER got very bad, you do not need:
Electricity, or a CAR- you WILL need FOOD and WATER. Period.
THOSE are the real commodities.

Its always nice to grow your own foods.  It makes you feel one with nature.  But if you are worried about the appocolypse coming... then I suggest can-goods and bullets.