SENATOR INOUYE'S 1989 CONSTITUENT REPLY

(see comments below)

DANIEL K. INOUYE
Hawaii
United States Senate
Suite 722, Hart Senate Building
Washington, DC, 20510
(202) 224-3834
Fax (202) 224-6747

June 26, 1989

Mr. Fred M. Ortiz
Tax Consultant
73-4188 Eluna Street
Kailua-Kona, Hawaii, 96740

Dear Mr. Ortiz:

On behalf of Senator Inouye, I am writing in further response to your inquiry regarding the precise provisions of the Internal Revenue Code (IRS [sic]) that render an individual liable for income taxes.

Based on the research performed by the Congressional Research Service, there is no provision which specifically and unequivocally requires an individual to pay income taxes. However, Article I, section 8 of the U.S. Constitution accords the Congress the "power to lay and collect taxes . . ."

Accordingly, the IRC need not specifically state that individuals shall be liable for income taxes because it is inferred from the Congress' authority to so levy and collect. This conclusion is further supported by I.R.S. Sec. 7201 et al. (1988) which sets forth numerous penalties for failure to pay income taxes owed. I have enclosed a copy of these provisions for your information.

I am pleased to have had an opportunity to assist you in this matter.

Aloha,

MARK L. FORMAN
Legislative Correspondent
MLF:r

Enclosure

WE THE PEOPLE COMMENTS ON SENATOR INOUYE'S REPLY

The above letter from Senator Inouye's office to one of his constituents (a tax consultant) notes that research by the Congressional Research Service confirms there is no provision in law that actually requires citizens to file and pay income tax. The letter continues with the remarkable assertion that Congress's constitutional "power to lay and collect taxes" under Article I Section 8 somehow relieves the IRS from having to specify that individuals are liable for income taxes! (This kind of logic pretty much bypasses the need to go through the inconvenience of actually passing laws and drawing up regulations to implement them.) The letter also notes that IRS regulations set forth penalties for failure to pay income taxes owed (putting the word "owed" here simply begs and dodges the question of who does owe income taxes, i.e., who is liable?). One gets the impression that it's legal to penalize citizens for not doing something that no law requires them to do. One must wonder whether the tax consultant had any further questions after reading this letter. Further, one wonders how he subsequently advised his clients.