I was there..........
United States of America, Plaintiff-appellee, v. Robert R. Raymond, Individually and Doing Business As Morningstar Consultants, and Robert G. Bernhoft, Individually and Doing Business As Morningstar Consultants, Defendants-appellants, 228 F.3d 804 (7th Cir. 2000)
Robert Raymond and Robert Bernhoft appeal the district court's entry of a permanent injunction preventing them from engaging in a number of activities related to the sale of a collection of materials known as the "De-Taxing America Program." For the reasons stated herein, we affirm.
Raymond and Bernhoft are active members of the U.S. Taxpayers Party and were the chief participants in a business known as Morningstar Consultants ("Morningstar"). Between January and June of 1996, Morningstar ran a weekly advertisement in a local Wisconsin newspaper under the caption "Just Say No." The Just Say No advertisement contained the following statements: 1) "Federal, State & Social Security Taxes are Voluntary;" and 2) "The Internal Revenue Service has no Statutory Authority to: Compel you to file a Tax Return, Require withholding from your paycheck, Levy or Lien your property, Audit your Books & Records." This advertisement was part of an effort by Morningstar to market the "De-Taxing America Program" (the "Program").
The Program consists of three volumes of materials. These materials contain information presenting the view that, among other things, the federal income tax is unconstitutional and that persons who are not federal employees or residents of the District of Columbia are not legally required to pay federal income tax. In addition to providing information regarding general tax-protest principles, the Program includes several forms and instructions to guide the purchaser through the process of "de-taxing." Purchasers are informed that if they complete the materials and directions in the Program they will be "withdrawn" from the jurisdiction of the federal government's taxing authorities and the social security system and will no longer be required to pay federal taxes.