Home
/
RELIGION & LIBERTY ONLINE
/
Just Render Unto Caesar Already: The IRS and Frivolous Tax Arguments
Just Render Unto Caesar Already: The IRS and Frivolous Tax Arguments
Mar 31, 2026 10:32 AM

In an attempt to trap Jesus, some Pharisees and Herodians asked him, “Is it lawful to pay taxes to Caesar, or not? Should we pay them, or should we not?” In response, Jesus said,

“Why put me to the test? Bring me a denarius and let me look at it.” And they brought one. And he said to them, “Whose likeness and inscription is this?” They said to him, “Caesar’s.” Jesus said to them, “Render to Caesar the things that are Caesar’s, and to God the things that are God’s.”

The Pharisees and Herodians “marveled” at Jesus answer, but had they asked an agent of the Roman IRS they likely would have been given a similar answer.

Governments have always had to contend with citizens who make what are considered “frivolous tax arguments” to plying with tax laws. Such arguments rarely work (it’s usually not effective to try to present a creative interpretation of tax law to the people who interpret tax laws) but people keep trying.

The IRS has an entire list of responses to the mon frivolous tax arguments. Here are four of my favorites:

1. Contention: The filing of a tax return is voluntary.

Some taxpayers assert that they are not required to file federal tax returns because the filing of a tax return is voluntary. Proponents of this contention point to the fact that the IRS tells taxpayers in the Form 1040 instruction book that the tax system is voluntary. Additionally, these taxpayers frequently quote Flora v. United States, 362 U.S. 145, 176 (1960), for the proposition that “[o]ur system of taxation is based upon voluntary assessment and payment, not upon distraint.”

The Law: The word “voluntary,” as used in Flora and in IRS publications, refers to our system of allowing taxpayers initially to determine the correct amount of tax plete the appropriate returns, rather than have the government determine tax for them from the outset. The requirement to file an e tax return is not voluntary and is clearly set forth in sections 6011(a), 6012(a), et seq., and 6072(a)

2. Contention: Federal Reserve Notes are not e.

Proponents of this contention assert that Federal Reserve Notes currently used in the United States are not valid currency and cannot be taxed because Federal Reserve Notes are not gold or silver and may not be exchanged for gold or silver. This argument misinterprets Article I, Section 10 of the United States Constitution. The courts have rejected this argument on numerous occasions.

The Law: Congress is empowered “[t]o coin Money, regulate the value thereof, and of foreign coin, and fix the Standard of weights and measures.” U.S. Const. Art. I, § 8, cl. 5. Article I, Section 10 of the Constitution prohibits the states from declaring as legal tender anything other than gold or silver, but does not limit Congress’ power to declare the form of legal tender. See 31 U.S.C. § 5103; 12 U.S.C. § 411. In an opinion affirming a conviction for willfully failing to file a return and rejecting the argument that Federal Reserve Notes are not subject to taxation, the court stated that “Congress has declared federal reserve notes legal tender . . . and federal reserve notes are taxable d

3. Contention: Taxpayers can refuse to pay e taxes on religious or moral grounds by invoking the First Amendment.

Some individuals or groups claim that taxpayers may refuse to pay federal e taxes based on their religious or moral beliefs, or an objection to the use of taxes to fund certain government programs. These persons mistakenly invoke the First Amendment in support of this frivolous position.

The Law: The First Amendment to the United States Constitution provides that “Congress shall make no law respecting an establishment of religion, or prohibiting the free exercise thereof; or abridging the freedom of speech, or of the press; or the right of the people peaceably to assemble, and to petition the Government for a redress of grievances.” The First Amendment, however, does not provide a right to refuse to pay e taxes on religious or moral grounds or because taxes are used to fund government programs opposed by the taxpayer. The First Amendment does not mercial speech or speech that aids or incites taxpayers to unlawfully refuse to pay federal e taxes, including speech that promotes abusive tax avoidance schemes.

4. Contention: The “United States” consists only of the District of Columbia, federal territories, and federal enclaves.

Some individuals and groups argue that the United States consists only of the District of Columbia, federal territories (e.g., Puerto Rico, Guam, etc.), and federal enclaves (e.g., American Indian reservations, military bases, etc.) and does not include the “sovereign” states. According to this argument, if a taxpayer does not live within the “United States,” as so defined, he is not subject to the federal tax laws.

The Law: The Internal Revenue Code imposes a federal e tax upon all United States citizens and residents, not just those who reside in the District of Columbia, federal territories, and federal enclaves. The Supreme Court has “recognized that the sixteenth amendment authorizes a direct nonapportioned tax upon United States citizens throughout the nation, not just in federal enclaves.” United States v. Collins, 920 F.2d 619, 629 (10th Cir. 1990) (citing Brushaber v. Union Pac. R.R., 240 U.S. 1, 12-19 (1916)). This frivolous contention has been uniformly rejected by the courts, and the IRS warned taxpayers of the consequences of making this frivolous argument. Rev. Rul. 2006-18, 2006-1 C.B. 743.

“Like moths to a flame, some people find themselves irresistibly drawn to the tax protester movement’s illusory claim that there is no legal requirement to pay federal e tax. And, like moths, these people sometimes get burned,” said a federal court in the case of United States v. Sloan. Burned, indeed: If you file a frivolous tax return you can be fined up to $100,000 and imprisoned up to five years.

So if you’re ever tempted e up with a creative reason for avoiding paying federal taxes, you’re better off just following Jesus advice and “render unto Caesar” before Caesar renders unto you.

Comments
Welcome to mreligion comments! Please keep conversations courteous and on-topic. To fosterproductive and respectful conversations, you may see comments from our Community Managers.
Sign up to post
Sort by
Show More Comments
RELIGION & LIBERTY ONLINE
What Economics Can’t Explain
Tyler Cowen has an interesting column in last Sunday’s New York Times, arguing that despite run-of-the-mill objections to “cold” and “heartless” economic analysis, economics is, as a science, “egalitarian at its core”: Economic analysis is itself value-free, but in practice it encourages a cosmopolitan interest in natural equality. Many economic models, of course, assume that all individuals are motivated by rational self-interest or some variant thereof; even the so-called behavioral theories tweak only the fringes of a mon, rational understanding...
Women of Liberty: Jane Jacobs
(March is Women’s History Month. Acton will be highlighting a number of women who have contributed significantly to the issue of liberty during this month.) The lives and deaths of cities in America is certainly topical. Drive through Detroit if you don’t think so. On one hand, block after block of decimated homes create a landscape of, let’s be honest, death. On the other, people in the city forge ahead, turning empty city blocks into burgeoning urban gardens, seeking out...
Cash for Young Entrepreneurs
The Hitachi Foundation is accepting applications for its 2013 Yoshiyama Young Entrepreneur Award, which identifies up to five young people striving to build “sustainable businesses” in the United States. Each awardee will receive $40,000 over two years, along with the tools and training designed to put a startup on the path to success. Deadline is March 28. The Hitachi Foundation says its Yoshiyama Young Entrepreneur Program “identifies and highlights leaders who are using the power of business to fight poverty...
The Hidden Welfare Program for the Low-Skilled and Uneducated
There are 14 million Americans who are out of work yet don’t show up in the monthly unemployment statistics. The federal government spends more money each year on cash payments for this group than it spends on food stamps and bined. They are part of the hidden social safety net. They are the disabled former workers. NPR’s Planet Money has produced a fascinating report on the growth of federal disability programs and what disability means for American workers. Here are...
Samuel Gregg: Pope Francis and the Renaissance of Natural Law
Those who thought Pope Francis was going to be a “a jolly, badly-dressed, Gaia-worshipping baby-boomer from 1972 received a severe jolt of reality today”, says Sam Gregg, Acton’s Director of Research. In today’s National Review Online, Gregg is quick to clear up any thoughts of the new pope being a relativist or pop culture phenom. While Pope Francis has made it clear from the very beginning of his pontificate that he wishes to draw attention to the poor, he’s not...
Keeping Tax Cheats on the Government Payroll
If a worker owes their employer thousands of dollars and refuses to pay the debt, should they be fired or have their wages garnished? What if the employer is the federal government? Astoundingly, more than 100,000 federal employees owe more than $1 billion in federal taxes. To provide an incentive for them to pay up, a mittee approved legislation that would require the firing of government workers who are “seriously tax delinquent.” The Federal Employee Tax Accountability Act of 2013...
Samuel Gregg: What Tocqueville Knew
In the Wall Street Journal, Acton Research Director Samuel Gregg turns to French political thinker Alexis de Tocqueville to show how democratic systems can be used to strike a Faustian bargain. “Citizens use their votes to prop up the political class, in return for which the state uses its power to try and provide the citizens with perpetual economic security,” Gregg explains. This, of course, speaks to the current catastrophe that is the European welfare state. French workers, for example,...
Young Adults Lag In Wealth Building
According to a new study by the Urban Institute, “when es to saving, owning a home, paring down debt, and growing a retirement nest egg, those under age 40 have stagnated as their parents’ generation accumulated.” Average household net worth, even after the ripples of “the Great Recession,” nearly doubled from 1983 to 2010, but not for those born after GenXers or Millennials (those born after 1970). In fact, the average inflation-adjusted wealth in 2010 for young adults was 7...
Women of Liberty: Feminine Brigades of St. Joan of Arc
(March is Women’s History Month. Acton will be highlighting a number of women who have contributed significantly to the issue of liberty during this month.) According to the religious liberties established under article 24, educational services shall be secular and, therefore, free of any religious orientation. The educational services shall be based on scientific progress and shall fight against ignorance, ignorance’s effects, servitudes, fanaticism and prejudice. All religious associations organized according to article 130 and its derived legislation, shall be...
Pope Francis and the Christians of the Middle East
“Every public gesture and word of the Holy Father tends to have meaning,” says Charles J. Chaput, the archbishop of Philadelphia. “So what was the pope saying with this symbolism as he began his new ministry?” Chaput believes Pope Francis focus is the persecuted church: The Chaldean and Syriac Catholic Churches of Iraq and Syria, while differing in rite and tradition from the Latin West, are integral members of the universal Catholic Church, in munion with the bishop of Rome....
Related Classification
Copyright 2023-2026 - www.mreligion.com All Rights Reserved