You are not paid in wages therefore you make NO income: reasoning used in T. Cushing Daniel’s book; Real Money vs False Money – and Webster’s Dictionary.
Daniel - Page 253: “There is a false idea among the people, generally, that money has to be taken back to the treasuries of the United States to be redeemed – This is not so. When the government puts out a perfect circulating unit – or dollar – for value received, it is not a thing to be retired; it circulates and stays out and is continuously redeemable by the people.”
He is talking about real money, not Federal notes. So, at page 193 Daniel states, “A dollar has never been a debt. It is not made for redemption, but is made to be a redeemer.
“If the paper dollar is treated as a debt, then the gold dollar must be treated as a debt, else the one dollar is not at a parity of function with the other dollar; then one has the quality that the other does not possess, and the two dollars are not treated on equal terms.”
What Is A Dollar?
Daniel - Pg. 154 - “It is, as a matter of fact, a unit of merchandise."
Daniel - Pg. 185 - “Act of Congress of April 2, 1792, Sec. 20. “And be it further enacted, that the money of account of the United States shall be expressed dollars or units,……..”.
Daniel on Pg. 5 states money can be anything, such as wheat, corn, labor, wood, gold, water. Anything of value.
Now let’s get to your labor. Your labor is value. You exchange it for a check of money value. That is until you cash it for units of debt, Federal Reserve Notes (FRN’s). But the FRN has on its face “one dollar”. The argument with the IRS is this; your labor was redeemed in dollars and is, therefore, not compensation, salary, etc.
Definition of Redeem from Webster’s:
Redeem - vt., - to take out of pawn; to recover.
Redemption - n. ., Redeeming or buying back.
Reading Daniel on Pg. 126 to 129, we see Mr. Daniel’s argument that not one thing – but everything is redeemable.
The company has just redeemed your labor, a unit of value based on supply and demand (see Daniel – Pgs. 1-5) by dollars. Therefore, no gain has been realized that can be taxed.
Now if the IRS comes back and says to the contrary, then there is the admission that the Federal Reserve Note is not on par with the dollar or unit of value, and you have now suffered a loss and have been defrauded by the company – Interesting proposition, isn’t it?