CLARKSON'S TAX AUDIT PROCEDURE I 

When you join our movement, you are of course aware that you have a high possibility of being audited by your friendly neighborhood scum. If you are a tax patriot, you can not use the method or strategy that the tax serfs use, nor can you use anymore some of the procedures developed years ago by the original Patriot leaders. The method described herein should be followed carefully.

The IRS changes their methods, regulations and laws daily and has developed effective counter-measures to combat tactics which we found successful in the past. Below you will find the outline of the basic strategies developed over six years by the author and used in approximately 600 audits. Needless to say, you can use the procedures and guidelines of this article when contacted by any government agent, not just tax rats.

Clarkson's Audit Procedure means simply following a few Basic Principles which need to be understood and studied. Clarkson believes that you should learn the basic, fundamental theory so you can keep abreast of changing conditions.  If soldiers battling the money bureaucracy merely memorize certain steps and procedures, they will be unable to cope with a modern, well supplied enemy with a vast support system and communications network. However, modern day Continental soldier who is well briefed in the basic principles of divi1i~ed guerrilla warfare, can adapt rapidly to changing conditions and beat the stupid, sluggish and slow enemy on his own battlefields.

Basic Principle #1 - Nice Guys Finish Last. We are dealing with THE ENEMY. Nothing more, nothing less, do not expect the scum's or their minions to help you one bit. The enemies soothing manner, friendly smiles, apparent openness is a façade to trick you into lowering your guard, to expose your flanks. Do not give quarter - do not expect quarter. Do not trust them, not one single bit, keep your guard up and be prepared for dirty, low lying tricks.

Basic Principle # 2 - Good Intentions rave The Road To Hell.

Basic Principle # 3 - Do Unto Them Before They Have A Chance To Do Into You.

Basic Principle # ¹4-All IRS Agents are Liars, thugs, And Scum (Explained in greater detail in June 80 Cannon)

Basic Principle # 5-Lawyer Delay Wants To Help You. Attorney Delay, the world's best attorney, can be your best friend and never charge you a cent. All you have to do is ask him to help. (The Words And Thoughts of Lawyer Delay" were to be published in last September's issue of The Cannon but which should be submitted soon).

If you receive notification that your tax return is to be audited, whether a constitutional one or an old one, you must realize that you are in for a long and time consuming fight. This is unavoidable, you might as well make the most of it and enjoy yourself. This can be a very pleasing, enjoyable experience as your combat daily the big bureaucracy and actually beat it. Go ahead and line up a good typewriter and learn how to type if you do not know already.

Reply to all letters, using the principles of "Earnest Letter Writing (see Dec 79 Cannon). Simply stated "earnest letter writing means you reply to all correspondence in a direct, cooperative friendly manner. You do not make admissions under any circumstances and you faint cooperation. You simply state "I want to cooperate not "1 will cooperate . You request a conference without a date by saying "I am looking forward to cur conference, not I will meet you on such and such a date . In general, in responsive letters, you:

A. Deny - You deny everything that they have claimed.

B. Appeal - You appeal to a higher office or to the correspondent's supervisor, every decision or thought ad versed to your position.

C. Accuse - You make at least one vile and unequivocal accusation in each letter.

Clarkson has solid and definite reasons to back up his letter writing instruction However, some are not suitable to be broad case in the print media. Call for complete details at 864-225-306

No Admission: Make no affirmative statement. Remember what you say can be used against you.

Basic Principle # 6 - Conserve Resources. Your time and money are not unlimited and great demands may be made upon them later. Therefore, from the beginning you must practice tight control of your limited resources in time and money.

A. Do not send letters registered mail unless you simply have to because this is an expensive proposition as the years go by. Even pennies add up to a large. amount. In general, if you can state under oath that you placed a letter in the US Mail, the addressee is presumed to ~ receive it and has a duty of rebutting that presumption. Very seldom should registered and certified letters be used. Incidentally, certified and registered letters leave a paper trail which you need to remove yourself from anyway.

  B. Clarkson and other knowledgeable Patriots have prepared and assembled various packets with ready-to-use plug-in forms. Do not waste your time and energy typing when a form will suffice. Our enemy has access to a tremendous number of forms, automatic typewriters and computer written letters. If you respond individually to these computer letters, you will soon be worn out. The enemy wants to wear you down and out. The Clarkson basic strategy is to do to them what they want to do to us. Wear the wheels of the bureaucracy down to the flubs, by constant and unrelenting guerrilla civilized-type warfare.

R Make the enemy deplete its resources while you conserve yours. As we all know, men with valor, steadforthness, courage can beat a larger number of mercenaries, who are generally recruited from the bottom of society, from slums. However, even scum's with overwhelming resources can be successful. Use the forms in Clarkson's packet, especially the "Patriot Protection Procedure packet ($20 from RBC, 515 Concord Ave., Anderson, S.C. 29629. The forms therein are well horned, developed, time-tested and true.

C. In most cases, do not waste time making lengthy responses to computer letters. A simple, short response is adequate. So often I hear from knowledgeable patriots that they just quit - why? Because they did not have time, they are worn out from prior letter writing. I go over their file and note detailed, well researched responses to IRS form letters. What a waste. The enemy does not even take time to read some responses anyway. So, they are not burdened. So, the Patriot expends his valuable resource, his time on meaningless rituals, and when the call for action sounds, he fails - he allows important letters to go by without a response The anti-statist_, or his beloved wife with worn finger-tips, neglects the vital responses.

Basic Principle # 7-Stall, Delay: Do not rush, in response to the audit letter, to the IRS office and take the Fifth. This is an outdated procedure. When you show up to take the 5th, THE IRS WILL HIT YOUR BANKS WITH A ~ 7609 SUMMONS~. Therefore, postpone the inevitable exercising your constitutional rights on your personal books and papers as long as possible to give you time to prepare, to study and to begin extensive work with the FOIA-PA. Use the five basic stall tactics and after four or five years, then exercise your constitutional right to refuse to produce books and records as a Last Resort.

A. The Schedule Stall:

First, simply notify the government that the time scheduled is inconvenient and for them to please reschedule another one. You do not need to furnish any reasons for the first postponement. When the second postponement comes, then have a reason. Simply write a nebulous, equivocating letter saying that you can not be there for a business meeting, or personal reason, etc. Do not lie or say anything untruthful. Remember - you can go to jail for making false statements to federal officials. Actually, you do not have to make false statements, just word your request for postponement very loosely so any excuse will work. You can generally secure two postponements without any trouble. Thereafter, you need concrete reasons, if you have them. Do not take a chance and make out something that is not true. The enemy is unclean, mean, cruel - not stupid generally.

For the third postponement, simply write the auditor and state firmly and definitely that your policy is that you must receive notices of audits two weeks in advance-in writing and no telephone calls. The auditor then will attempt to call you to schedule a meeting. Simply repeat what you have said and stand firm. Do not let them talk you into a firm date. If the scheduled meeting conflicts with another meeting, notify them truthfully in writing.

Take control, just do not agree to a time. Tell them to schedule a meeting and notify you and you would then let them know whether the date is satisfactory. Announce this as your policy - do not explain why - you do not have to do anything, unless you must by law. Be firm, just tell the L.I.R.S. what you want done and say no more. Excuses can be answered, do no give any. When they wise up, proceed to stall Number Two.

B. The Privacy Act Stall:

Send in Clarkson's Agent Questionnaire, which is based on the Privacy Act(e) (3) which states that the scum's must furnish you certain information before you furnish them information. Stand firm here. Do not let them talk you out of your legal rights. By law, you are entitled to know what they intend to do with the information, whether your furnishing it is mandatory or voluntary, the recourse they have if you fail to furnish information, etc.

Read the Privacy Act and understand your legal rights. If they reply in some nebulous, general manner, write back and tell them firmly that you want clear and definite answers to your questions; their response is not correct and that you want to appeal it to their supervisor; that their letter is harassment, intimidation, etc. This should last six months. When the opposition furnishes you adequately with all information to which you are legally entitled under the Privacy Act, then you proceed to stall three. Ask always for more information and their little brochure is "not enough".

C. The Tape Recorder Stall:

Attend the audit with your tape recorder and hold a tea party. Preferably, you should have the audit scheduled at your place of business or residence. Follow carefully the well honed methods of a tea party developed over many years by original patriots as outlined "In Recipe For A Tea Party in Aug 79 issue of The Cannon. The tea party is much fun and the news media certainly enjoys it.

The tape recorder stall is not as effective since the scum have developed a counter measure: they allow you to have a tape recorder. If they do not allow you to have a tape recorder, follow the procedures outlined in the Patriot Protection Procedure Section in the Dec 79 Cannon by first requesting a copy of KGB regulations on use of tape recorders and then demanding compliance on their part. If the traitors disallow it; appeal, deny and accuse.

The tape recorder fight could easily last six months. However, if you show up with a tape recorder and they allow you to use it, you need to have a fallback position. Do something they do not like so that they will call off the audit and send you home. Do not call it off yourself. Have your witnesses refuse to identify themselves. If this does not work, have your unidentified witnesses begin to speak for you. This will surely send you home for a rescheduled audit. If this does not work, you can always ask:   " What records do you want, please explain in detail? I do not understand?"

D. The POA Stall:

The IRS will furnish a free Power Of Attorney Form₁ Form 2848. Fill out one of the forms and have a friend show up at your audit unannounced with the form filled out incorrectly. The agency will show you how mean, tough and ornery he can be, how much smarter he is, and how well he knows his regulations. He will reject the power of attorney form and reschedule the audit, in two months. You, of course, will refuse his rejection and fight, argue and appeal his decision on the POA. This should last for six months and finally, you lose and must fill out the power of attorney form correctly..

Then have another friend, patriot or anybody walking down the street show up at the next audit with another power of attorney form. Even better, have a friend of yours in another state be your representative, so the lying lizards would have to transfer the entire file to another district and assign a new agent. Anybody can be your representative - not just CPA's, lawyers and enrolled agents.

On the POA form, refuse to furnish the address of your representative, unless he lives in another state. When I began representing taxpayers free, various agents assigned to my cases discovered that I was not filling out their stupid forms correctly. In an effort to punish me and wear me down, they began rejecting the forms even though they had accepted the same ones earlier and acted upon them. At first, I was dismayed and somewhat upset, but then I realized that this was the ideal situation for me. Therefore, as the months went by I fought and argued on the power of attorney form and never got to the real issue of whether my clients owed or did not owe any money. Attorney DeLay began helping me and then I never lost a case on the power of attorney forms.

E. The Lawyer Stall:

After you have used the other stalls or the enemy have developed effective counter measures, go find yourself a disreputable lawyer, preferably one who drinks too much and bathes too little. Pay a minimum retainer with the promise to pay more. If the lawyer has minimum intelligence and maximum desire for more money out of you, he will bring up thousands of excuses to delay the audit until you bring in more retainer.

In my audit, I found a very good lawyer who happens to enjoy a good practical joke. He seemed to enjoy playing a game of cat and mouse with the tax-rats as much as anyone else. Use your imagination here. You can use a CPA, minister, former IRS agents, etc.

Basic Principle # 8 The Dumb Fox Routine: When dealing with the IRS, simply state, continuously: I am not a lawyer, I do not know, I do not understand.

You are not expected to know the intricate and senseless regulations and so you do not. You can never get in trouble by simply asking questions. Therefore ask millions of them. If the agent writes or asks you a question, then state you do not understand that he is to explain his questions in detail. Drag it out, you have more time than money anyway.

Basic Principle #9 - Fight On Procedure at the lowest possible level.

Go through their forms and procedures to find errors. Call procedural errors to their attention, argue, appeal and accuse. Fight each and every nitpicking comment or word in their letters to the very end. Start at the very basic level, on the smallest, simplest issues, as the attorney of attorney form, the date of audit, whether you can have a camera, any little thing. If you are arguing whether your representative must include his address on the power of attorney form and you later lose, you have not lost anyway. You have not lost any money. But, if you fight on substantive issues, i.e. whether you do or do not owe the moneys and you lose, they may collect it. If you do not have toj3cus on the real issue, do not. Simply argue the years away on ridiculous procedural points. The small minded nitwits that call themselves public servants will be delighted when after two years, they made you fill out the POA form correctly. You of course, would be delighted as once again, you have not paid money.

Also, as you wear away their time and energies on the small stuff, they do not have the time to attack others - you have made your contribution to a free society and thrown your monkey wrench into the machinery of Big Brother. The welfare state depends on bureaucracy expediency; simply deny it to them.

Even if you could win on the substantive issue, i.e. whether you are entitled to this or that deduction, fight hard anyway. Reasons: (1) To keep them from focusing on real issues. If you cooperate on everything, but for instance, business deductions, even the most stupid traitor would know you are weak there. (2) Show them you are a true American, one who fights all the way. Then you have a 50% chance they will abandon your case and pick on someone else. (3) Mad dogs attack those who show fear.

However, be careful. Do not deny the government your records because they can then attack your bank accounts. Incidentally, quit writing checks. The Privacy Act (e)(2) states that the agencies must. get records from you first if they seek to make a determination. So as long as you do not refuse to furnish records, they must continue to seek them from you. The basic principle here is: Do not refused, but do not furnish either. 

Basic Principle #10 No Admissions:

Anything you say can be used against you. Remember this every time you write or communicate with the bureau-rats: DO NOT MAKE ADMISSIONS. You do not have to say anything you only need to ask questions and make minor requests. Do not bother to make admissions, they will not do you any good, whatsoever, under any circumstances and might (will) harm you later. You do not have to make a definite, firm statement, so do not. It is so simple.

Basic Principle #11 Write Your Congressman

The L.I.E.R.S. (Lying IRS) from stupidity, slovenness will sooner or later make mistakes. They will send a threatening letter, contact your minister, make false accusations, make at least one slip. Exploit this; hammer away; jump up and down; scream and shout. Write them again and again reminding them of their errors. Force them into a position of admitting harassment tactics or denying the same, in spite of your clear and convincing proof. Then, write a clear, fully explanatory letter to the agent demanding a complete apology. Then send a carbon copy of this letter to your congressman with a cover letter.

The cover letter to your congressman should always be to ask him to do something definitely, state that a copy of the letter is attached which is self explanatory and ask that he not simply pass on the letter, but request a full investigation or explanation.

It is unlikely that your congressman will see or be informed of your letter, but one of the staff members will forward this to the IRS congressional liaison.

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This is insert of pages 10-15 of Clarkson's Tax Patriot Handbook.