Is it true that you don't have to pay income taxes?

Question

What would happen if you don't? Thanks.

Answer 1

Untrue.

If you don't file and/or pay, you will be hit with interest and penalties.  The current penalty for filing a frivolous return is $5000 per return ($10,000 per return if joint returns) and that is just the penalty.  You still have to pay the taxes, interest and normal penalties.

In certain circumstances, you can end up in federal prison.  Wesley Snipes is currently looking at 3 years himself.

The people who claim that you don't have to pay are called "tax protesters" and, while their various theories vary, they all have one thing in common.  No one of them has ever been victorious in court and gotten out of paying their taxes.

File your returns and pay your taxes.  You will be much happier in the long run.

Answer 2

Of course you have to pay income tax if you have enough taxable income.  You need to get out of your delusional world and ignore the silliness you have been soaking up.

Answer 3

Ask Wesley Snipes.

Answer 4

If you have sufficient income, you have to file a return (see the 1040 instructions for the cutoff amounts).  Most of us pay our taxes with the credit from withheld income taxes.  If your tax libility exceeds your credit then you have to pay the difference. (IRC §6151(a).)

Failure to pay your taxes when due will result in penalties and interest.  Depending on the amount owed and the IRS's enforcement priorities, the IRS may just wait until you file for a refund and keep it or may file notices of federal tax lien, which will really s***w up your credit, levy on your wages or your bank accounts, including retirement accounts, or seized assets.

Most people do not go to jail over unpaid taxes.  That's because most people are not terminally stupid and take the hint long before it gets to that point.

Answer 5

Yes, as long as you have enough LEGITIMATE deductions to offset your income.  The only way to know that is if you actually file a tax return.

Just remember, employers are REQUIRED to withhold income taxes.  If you want any chance of getting that money back, you will need to file a tax return.

BTW, all tax protester arguments are bogus.  There hasn't been one that has worked.  If you have a link to a court case where the tax protester actually won their case, I would LOVE to see it.

If you don't pay your taxes, the IRS will take all of your stuff and send you to jail.

Answer 6

technically we dont have to pay federal, its nowhere in the law books....BUT good luck trying to find a judge that will drop charges on a case of not paying them.

Answer 7

I have heard that as long as you don't owe them, you don't have to file. . . I had an old friend who had not filed taxes for 33 years. . .he filled them out and kept them, but never mailed them in.  Unfortunately he died before he could ever collect on them. . .He was a top CPA of a major firm here in my city. . . .so I'd say it's true about not filing them. . .

Answer 8

The 16th Amendment was never officially ratified so the answer is "no" in a dream world. However, if you don't the IRS will come after you and you will never win in court and you will have to pay. However, that being said, if you have your own business, set up off shore, earn your profits off shore from off shore business sources, keep it offshore and buy assets off shore and don't bring the money on shore ever and continue to build your asset base off shore and then legally, you don't have to pay taxes on that type of income base. Anyone can start an International type of business base and if you do, keep it off shore and there is no legal liability for taxes based on the US tax code. You may have to report it, but if you keep it off shore, you don't have to pay taxes on what you do not bring on shore. Now if you earned the money here in the US and then you sent the money off shore, then you would be legally obligated to pay taxes on the money you earned on shore.

Answer 9

Ask Willie Nelson or Leona Helmsley

Answer 10

We all pay federal taxes. A few states like Nevada and Florida do not have state taxes.