HOW TO: Distinguishing “Taxpayer” v. “Nontaxpayer” for “nonresident aliens”
1. INTRODUCTION
This article provides information useful in distinguishing “taxpayers” from “nontaxpayers” in the case of “nonresident aliens” as described but not defined in 26 U.S.C. §7701(b)(3)(B).
“Revenue Laws relate to taxpayers [instrumentalities, officers, employees, and elected officials of the national Government] and not to non-taxpayers [non-resident non-persons domiciled in states of the Union without the exclusive jurisdiction of the national Government]. The latter are without their scope. No procedures are prescribed for non-taxpayers and no attempt is made to annul any of their Rights or Remedies in due course of law. With them [non-taxpayers] Congress does not assume to deal and they are neither of the subject nor of the object of federal revenue laws.”
[Economy Plumbing & Heating v. U.S. , 470 F.2d, 585 (1972)]
For an explanation of the above see:
Your Rights as a “Nontaxpayer”, Form #08.008
https://sedm.org/LibertyU/NontaxpayerBOR.pdf
2. COMPARISON TABLE
| # | Description | “Taxpayer” (alien or U.S. national with deductions) | “Nontaxpayer” (U.S. national with no elections) |
| 1 | Status (click here) | PUBLIC (civil statutory) | PRIVATE (constitutional) |
| 2 | Source of taxing power (click here) | Aliens: Sovereign power (foreign affairs) U.S. nationals: Proprietorial power (private commerce) | None (private and foreignS) |
| 3 | Federal preemption? | Aliens: Article 1, Section 8, Clause 1 U.S. nationals: Article 4, Section 3, Clause 2 | None |
| 4 | Civil elections? | U.S. national: Yes Alien: Not necessarily | No (NEVER) |
| 5 | Deductions under 26 U.S.C. §873(b)(3)? | Maybe (alien) Yes (for U.S. national) | No |
| 6 | Type of “citizen” (See section 3) | CIVIL citizen**+D 26 C.F.R. §1.1-1 (a) and (b) | POLITICAL citizen* 26 C.F.R. §1.1-1(c) Fourteenth Amendment |
| 7 | “U.S. national” under 26 C.F.R. §51.1 and 8 U.S.C. §1101(a)(22)? | Sometimes | Always |
| 8 | Type of “person” (Form #08.023) | PersonPUB 26 U.S.C. §6671(b) 26 U.S.C. §7343 | PersonPRI (Constitutional person) |
| 9 | Domestic (26 U.S.C. §7701(a)(4)) | Yes | No |
| 10 | “United States” they are “in” | Aliens: “Income” from United StatesG but PEOPLE abroad | U.S. nationals: PEOPLE in United States50 but earnings from ANYWHERE |
| 11 | Subject to “presence test” in 26 U.S.C. §7701(b)? | Yes (aliens) No (U.S. nationals) | No |
| 12 | Type of “presence” (See section 9) | PresenceG (Aliens) PresenceF (U.S. nationals) | PresenceGC |
| 13 | “Foreign estate” (26 U.S.C. §7701(a)(31))? | Never | Yes |
| 14 | Type of “foreign person” (see section 7) | “ForeignP personPUB“ | “ForeignS” + “personPRI“ |
| 15 | “U.S. source” income under 26 U.S.C. §871? | Yes | No |
| 16 | “Foreign estate” under 26 U.S.C. §7701(a)(31) | No | Yes |
| 17 | Income is “excluded” (Form 14.019) | No | Yes |
| 18 | Income “exempt” 26 U.S.C. §7701(b)(5) | Maybe | No (NEVER) |
| 19 | File with | 1040NR with schedules | 1040NR with THIS attachment and NO schedules |
| 20 | Requirement/Authority for filing “return” (Form #09.074) | 26 U.S.C. §6012 | 26 C.F.R. §1.6012-1 (b)(1)(i)(c) |
NOTES:
- If you would like to know HOW to file a tax return as a “nontaxpayer” in the right column, see:
Attachment to 1040NR Return for U.S. national filing as a “Nontaxpayer” and Private Party, FTSIG
https://ftsig.org/attachment-to-1040nr-return-for-us-national-filing-as-a-nontaxpayer/ - U.S. nationals in the “nontaxpayer” column are nontaxpayers because:
2.1. There are no implementing regulations identifying them under Title 26.
2.2. In the absence of implementing regulations, enforcement is limited to ACTIVE/EXISTING franchise offices created by some other means.
For confirmation of the above, see:
Challenging Jurisdiction Workbook, Form #09.082
https://sedm.org/Forms/09-Procs/ChalJurWorkbook.pdf - Additional proof that “nontaxpayers” on the right column exist: U.S. nationals are not mentioned in:
3.1. Any statute OTHER than 26 U.S.C. §873(b)(3).
3.2. 26 C.F.R. §1.871-1. Only aliens are mentioned.
3.3. 26 C.F.R. §1.1441-1. Only aliens are mentioned in 26 C.F.R. §1.1441-1(c)(3).
3.4. Publication 519. Every page at the bottom says ALIENS.
3.5. 1040-NR instructions don’t identify U.S. nationals for any purpose OTHER than as dependents.
3.6. 26 C.F.R. §1.6012-1(b)(1)(i)(c) describes how a “nontaxpayer” should file when all their earnings are “excluded” but not “exempted” should file.
3.7. Courts cannot entertain purely political questions relating to purely political citizens under the CIVIL STATUTORY LAW. If they proceed at ALL under OTHER than the CRIMINAL law against a purely political citizen*, they must do so under the COMMON law and not CIVIL STATUTORY law. See:
Political Jurisdiction, Form #05.004
https://sedm.org/Forms/05-MemLaw/PoliticalJurisdiction.pdf - The above table is really just a description of the mandatory constitutional separation between public and private as documented in:
Separation Between Public and Private Course, Form #12.025
https://sedm.org/LibertyU/SeparatingPublicPrivate.pdf
3. SUPPORTING FACTS
1. REASONS WHY EARNINGS ARE EXCLUDED FROM INCOME AND GROSS INCOME: Form 1040NR Line 5a and Schedule NEC Line 7 and 26 USC 871: Earnings from my own absolutely owned, constitutionally protected, private earnings are not included as “gross income” on this submission because:
(a) Although I don’t dispute that the payment is from a U.S. (government/public) source, I find that 26 CFR 1.1441-1(c)(3), IRS Publication 519, 1040NR instructions, and 26 CFR 1.871-1 limit themselves to “nonresident alien INDIVIDUALS” who are also aliens. I am a “national of the United States” under 8 USC 1101(a)(22) and 22 CFR 51.1 (passports) and a POLITICAL citizen under the Fourteenth Amendment at birth standing on land protected by the constitution. I will call this a “U.S. national” from now on, NOT to be confused with territorial nationals in 8 USC 1408. This submission may also not be interpreted as an election to be treated as an alien. Nor is a “nonresident alien” under 26 USC 7701(b)(1)(B) a subset of aliens. Rather, it is a SUPERSET, because it is defined as being NEITHER a CIVIL citizen who are members of a subclass of political citizens at birth nor a CIVIL resident who is a foreign national. The definition says NOTHING about purely POLITICAL citizens such as myself who have made no civil elections in pursuit of privileges, even though they have been identified on the 1040NR return from 1984 to 2017 as “U.S. nationals”. I do not dispute, however, that in the case of aliens with U.S. source earnings, no consent or election is necessary to have a tax obligation because this income taxation is a “sovereign power” arising from Article 1, Section 8, Clause 3 and direct taxation limitations don’t apply. INTERNAL taxation of non-aliens who are nonresidents EVERYWHERE is a PROPRIETORIAL power requiring consent or election of some kind to procure public property. 26 USC 871(a) and Sch. NEC also apply to aliens only and exclude U.S. nationals within states because not party to a treaty or the treaty rates indicated.
(b) Nowhere am I as a U.S. national expressly identified as a CIVIL “nonresident alien INDIVIDUAL” unless I take deductions under 26 USC 873(b)(3), which I am not here doing. Thus, I can find no “statutory trigger” that would give me “reasonable notice” that I am the lawful target of politically foreign commerce with foreign countries. I don’t dispute that all “nonresident aliens” who are aliens are taxable under 26 USC 871 regardless of locality, but I am not an alien.
(c) I have not made the CIVIL “citizen” at 26 CFR 1.1-1(c) “of the United states” (corporation) in 26 CFR 1.1-1(a) and (b) election by filing a 1040 return while abroad permitted by 26 USC 911 and there is no similar statute for those within the exclusive jurisdiction of a Constitutional state so I can’t file as a privileged “U.S. person” under 26 USC 7701(a)(30).
(d) I can find no constitutionally required “reasonable notice” of a reserved property interest in my pay that would inform me that you have a right to regulate or tax it like you did with Social Security in 26 USC 871(a)(3). Hence, the payment is conclusively presumed to be absolutely owned and private property until you provide court admissible proof of ownership giving rise to the power to regulate and tax it verified under penalty of perjury.
(e) I never expressly authorized deductions on my pay but _________ did so without my authorization. Although I am a “nonresident alien” U.S. national, I am not an alien who is the only proper subject of 26 CFR 1.1441-1 withholding. Nor does backup withholding in 26 USC 3406 apply because I am not a “employee” under 26 USC 3401(c), have rendered no “personal services”, and made no 26 USC 3402(p) voluntary withholding elections as a private sector party. Thus, private property from unlawful withholding is in your wrongful custody which you have an IMPLIED duty to “return” the full amount of under common law rules WITHOUT invoking any privilege derived from the Internal Revenue Code. Gordon v. U. S., 227 Ct.Cl. 328, 649 F.2d. 837 (Ct.Cl., 1981), Bull v. United States, 295 U.S. 247, 261, 55 S.Ct. 695, 700, 79 L.Ed. 1421.
(f) Government regulation and taxation or U.S. nationals is limited to public/government property or privileges implemented with CIVIL definitions, rules, or laws affecting only said PUBLIC property the taxing authority has a proven ownership interest in under Article 4, Section 3, Clause 2 and 5 USC §301 such as fictions you create and privileges I voluntarily and explicitly ask for. Munn v. Illinois, 94 U.S. 113 (1876). No such PUBLIC property or privileges on the part of the RECIPIENT is consensually involved in this transaction that I am aware of so your CIVIL definitions and statutes don’t apply to this scenario. This is an indisputable result of the Public Rights Doctrine and is the foundation of nearly all of Congress’ legislative jurisdiction under Article 4, Section 3, Clause 2 of the Constitution. See: Property View of Income Taxation, Form #12.046; https://sedm.org/LibertyU/PropertyViewOfIncomeTax.pdf.
(e) Because no statutes or regulations exist notifying me as a U.S. national and not an alien when and how I became a “nonresident alien INDIVIDUAL” and the default status for those with a liability is ALWAYS an alien, except in the case of U.S. nationals taking deductions in 26 U.S.C. 873(b)(3) (which I am not), IRS regulations indicate that I cannot be the lawful target of an assessment or enforcement action or tax for the amounts indicated in this filing. 26 CFR 601.702(a)(2)(ii). I can find NO INSTRUCTIONS that give me a “nonresident alien” who is a U.S. national the constitutionally required reasonable notice of a civil tax obligation. Without said required reasonable notice, any tax enforcement would be a violation of due process of law. See: Requirement for Reasonable Notice, Form #05.022; https://sedm.org/Forms/05-MemLaw/ReasonableNotice.pdf.
2. NOT A PARTY EXPRESSLY MADE LIABLE BUT RATHER CIVILLY FOREIGN AND TRANSIENT FOREIGNER: The only express liability for taxation under I.R.C. Subtitles A and C is found in 26 USC §1461 relating to withholding on aliens and 26 U.S.C. §3403 for employers and I am neither. Those who are “nonresident alien” and U.S. nationals such as myself who are not engaged in the privileged “trade or business within the United States” excise taxable franchise under 26 USC §864(b) are not listed as a lawful target of the I.R.C. Subtitle A income tax in 26 CFR §1.1-1(a) or 26 USC §911. Only those “nonresident aliens” voluntarily engaged in a “trade or business” are in 26 USC §871(b) and §877(b) and who have voluntarily “effectively connected” their earnings per 26 USC §864(c) are, which does not include me. The property of such parties is identified in 26 USC §7701(a)(31) as a “foreign estate”, meaning an entirely PRIVATE estate protected ONLY by the constitution. 26 CFR §1.6012-1(b)(1)(i)(c) also acknowledges this condition by not imposing an obligation to file for such parties and describes how to file for those who have no “income” (Sixteenth Amendment) or “gross income” (domestic franchise property) such as myself. It is my sincere belief that such parties are volunteers and especially if they are U.S. nationals such as myself as exhaustively described in: How American Nationals Volunteer to Pay Income Tax, Form #08.024; https://sedm.org/Forms/08-PolicyDocs/HowYouVolForIncomeTax.pdf.
3. BENEFICIAL/COMMERCIAL USE OF MY IDENTIFYING INFORMATION BY ANY AND ALL GOVERNMENTS: Identifying numbers provided on this communication are private property and a license created and owned by the Submitter and not the government. Such numbers numerically match those issued under statutory authority but are created and owned by me. This is consistent with the fact everyone in government consistently says such numbers are “YOUR NUMBER”, and thus PRIVATE property. As such, commercial use or disclosure to any private person, entity, business, or another government for enforcement purposes or otherwise is strictly prohibited by the following: Injury Defense Franchise and Agreement, Form #09.017; https://sedm.org/Forms/06-AvoidingFranch/InjuryDefenseFranchise.pdf. This submission shall also constitute a notice and demand pursuant to the Privacy Act, 5 USC §552a(d)(2) to purge all STATUTORY/PUBLIC numbers from my record, change my status and that of all identifying numbers to PRIVATE only. Absolute self-ownership and the avoidance of involuntary servitude are impossible without the ability to do this and the Fifth and Thirteenth Amendment protections against me guarantee the ability to do this.
4. RFRA DISCLAIMER: This document, insofar as it makes legal determinations or attaches a civil statutory status to me or my property, is NOT a statement of facts but rather non-actionable BELIEFs. The only actionable facts contained herein that are verified under penalty of perjury relate to payment amounts, name, contact information and not to any privileged or civil statutory status connected with me or my property which might give rise to a civil obligation. Thus, it satisfies the Beard Test and yet may not be interpreted as a STATUTORY “assessment”. Rather it is a claim for return of funds unlawfully in your custody. It is my right per the Religious Freedom Restoration Act (RFRA) to make no civil associations or determinations in accordance with my sincerely held religious beliefs contained in the statement incorporated by reference below: “Government Religious Freedom Restoration Act (RFRA) Attachment”.
https://ftsig.org/government-form-religious-freedom-restoration-act-attachment-prevents-all-civil-status-elections/
5. MANDATORY ATTACHMENT: The following form in its entirety is incorporated by reference in the event that the this submission is ignored, the refund claimed is not given, the submission is penalized, or litigation over this submission ensues: Tax Form Attachment, Form #04.201; https://sedm.org/Forms/04-Tax/2-Withholding/TaxFormAtt.pdf.
Under penalties of perjury, I declare that I have examined this return and accompanying schedules and statements, and to the best of my knowledge and belief, they are true, correct, and complete. Declaration of preparer (other than taxpayer) is based on all information of which preparer has any knowledge.
Signed: _________________________
Date: _________________________