When Will Patrick Mooney Announce His Loss At LostHeads?

[grixit]

According to NASA, there was a serious solar flare last week. It's expected that there will be a few magnetic storms until the outer atmosphere's ionic balance is reestablished. That's a handy excuse for almost anything.


No you may not
Deduct that lump of green putty
You found beneath your armpit
It is not a dependent
Nor a capital investment
And certainly not
Your assisstance of Counsel

[Gregg]

I really am begining to feel like I'm strapped into a poetry appreciaton chair.

[Nikki]

Oh no

Not the comfy chair

[Cathulhu]

Gregg, I've got the whole book of Carolyn's poems--yeah, plural! in my possession currently (promised Mom I'd figure a way to preserve it properly, which isn't any worse than the way James used to buy Dreamscape figurines for his Mom) so I'll say this once--I could poem you into the ground right now, my bitch!

edited to note--yeah, I did, Dok.

[Famspear]

Well, it has now been a month since Patrick Michael ("Blowhard Junior") Mooney's second Tax Court defeat (ooops, I mean "Hendrickson-style victory"). And still no word from Blowhard Junior.

Come on Little Blowhard..... tell us all about it.....

[Famspear]

Finally, after an absence since February 4th, Patrick Mooney posts at losthorizons, in response to the posting, by user "smudge", of this material copied and pasted from the Internal Revenue Manual:

1.2.14.1.1 (Approved 08-18-1994)
Policy Statement 5-1

Enforcement is a necessary component of a voluntary assessment system
A tax system based on voluntary assessment would not be viable without enforcement programs to ensure compliance. Accordingly, the Service is responsible for taking all appropriate actions provided by law to compel non-compliant taxpayers to file their returns and pay their taxes.


The Service is committed to educating and assisting taxpayers who make a good faith effort to comply. However, enforcement action should be taken promptly, in accordance with Internal Revenue Manual guidelines, against taxpayers who have not shown a good faith effort to comply. These actions include enforcement necessary to move the taxpayer toward compliance.


In determining the appropriate enforcement action to take, factors such as the taxpayer's delinquency history should be considered. Promotion of long-term voluntary compliance is a basic goal of the Service, and in reaching this goal, the Service will be cognizant not only of taxpayers' obligations under our system of taxation but also of their rights. However, when a decision to enforce has been made, the Service will have no hesitancy in pursuing the matter to conclusion.

Patrick Mooney responds with:

Is there a purpose to posting this tripe?

http://www.losthorizons.com/phpBB/viewt ... 15d2#27159

Oh, what's the matter, Patrick? Still smarting from your February 7th loss in U.S. Tax Court? Come on, Patrick, tell us all about it. We want to hear about how your second loss in Tax Court once again "proves" that Hendrickson's Cracking the Code tax evasion scam is "correct."

[Thule]

Patrick Mooney responds with:

Is there a purpose to posting this tripe?

http://www.losthorizons.com/phpBB/viewt ... 15d2#27159

Ohhh, wittle Wooney is grumpy today. I wonder if any of his companions dare ask him about the "trial where the IRS failed to carry its burden of proof that a properly filed, CTC-educated return could be found frivolous on its face."

[Quixote]

Mooney's response was a bit grumpy, but I too wonder what point smudge was trying to make. But then, I have the same reaction to 90% of what gets posted on LH.

[Thule]

Mooney is back. And this time he's mad. Still no direct explanation on how his glorious, gory victory which left the IRS speechless could have backfired so badly. But he more than emplies that the courts are corrupt, we need to fight back, yada yada.

So everyone who had; "Within a few weeks, predicting fall of IRS" has won a nice, Illuminati-themed BBQ-set. Perfect for those intimate al-fresco dinners at the patio. With dual grip handles that can be operated both by human and lizard hands. Congratulations, and as we say; Krahg nai rawryh'le. Chthulu f'tagn.

I believe it is our duty to not cooperate with this process any longer and we must begin plans to take back our government through means of non-violent non-comformity. We are going to have to FIGHT to remain free from here on out.
The sooner we begin to think along these lines, the easier all of this will become.

As Justin recently reported from his foray into the Tax Court, it is a den of callous evil. The judges may be civil, and the IRS legal reps capable of being corteous, but that is because they know it is a rigged game and normal people walk into that room with soul-shaking FEAR. Many of them crumble under the weight of their own ignorance as to what is going on.

I felt that fear, too, but pressed on. As a result of facing that fear, the power of it was greatly diminshed, because their version of events has NO TRUTH IN IT.

I've had a few disagreements with the tax authorities. But I've never felt fear. Why? Beacuse my disagreements have been over legitimate issues. But I can understand that the greedy little piggies over at LH are terrified of Tax Court. I do take objection to Mooney describing how "normal" people would feel. How would he know that?

http://www.losthorizons.com/phpBB/viewt ... ght=#27214

[wserra]

Illuminati-themed BBQ-set. Perfect for those intimate al-fresco dinners at the patio. With dual grip handles that can be operated both by human and lizard hands.

And rotisserie skewers shaped like the TP busts on the old Quatloos coffee mug. Shove John Kotmair up a chicken butt.

Put me down for two.

[Duke2Earl]

The key point is that it never, ever, ever crosses what passes for any of these idiots minds that the reason they keep losing is that they might actually be wrong.

[The Operative]

One concept of the tax denier arguments about losing in tax court is that the tax court never rules in favor of the tax denier and that proves corruption. Here is a case that proves that theory wrong...

JEFFREY S. AND MARY F. CHARLTON, ET AL., 1 Petitioners v. COMMISSIONER OF INTERNAL REVENUE, Respondent

UNITED STATES TAX COURT - MEMORANDUM DECISION

T.C. Memo. 2011-51

Docket Nos. 19599-07, 19600-07, 19601-07, 19602-07, 19603-07, 19604-07, 19605-07.

Filed March 1, 2011.
**********
1 Cases of the following petitioners are consolidated herewith: Graphic Connections Group, LLC, Jeffrey S. Charlton, Tax Matters Partner, docket Nos. 19600-07 and 19601-07; Wealth Builders International, LLC, Jeffrey S. Charlton, Tax Matters Partner, docket Nos. 19602-07 and 19603-07; Golf Links Display Group, LLC, Jeffrey S. Charlton, Tax Matters Partner, docket Nos. 19604-07 and 19605-07.

**********

Harry Charles , for petitioners.

James A. Kutten and Stephen A. Haller , for respondent.

MEMORANDUM FINDINGS OF FACT AND OPINION
[SNIP]

OPINION

Section 6501(a) provides that, generally, the amount of any tax must be assessed within 3 years of the filing of a return. If, however, a taxpayer files a false or fraudulent return with the intent to evade tax, the tax may be assessed at any time. Sec. 6501(c)(1). Similarly, section 6229(a) provides that, generally, the amount of any tax with respect to any person which is attributable to a partnership item or an affected item relating to a partnership taxable year must be assessed within 3 years after the later of the date the partnership return is filed or the last day for filing the return. See also sec. 6501(n)(2). If, however, any partner has, with the intent to evade tax, signed or participated directly or indirectly in the preparation of a partnership return which includes a false or fraudulent item, the tax may be assessed at any time. Sec. 6229(c)(1).

Respondent contends that the period to assess Jeffrey and Mary’s 2000 tax liability is open because Jeffrey and Mary’s underpayment of tax is due to fraud and thus is not subject to the 3-year limitation period. See sec. 6501(c)(1). Respondent also contends that the FPAAs were timely because the partnerships’ returns were false or fraudulent and thus not subject to the applicable 3-year limitation period. See sec. 6229(c)(1). Respondent must establish by clear and convincing evidence that Jeffrey and Mary filed false or fraudulent returns with the intent to evade tax. See sec. 7454(a); Rule 142(b); Botwinik Bros. of Mass., Inc. v. Commissioner , 39 T.C. 988, 996 (1963). This burden is met where respondent proves that the taxpayer intended to evade taxes known to be owing by conduct intended to conceal, mislead, or otherwise prevent the collection of taxes. See Parks v. Commissioner , 94 T.C. 654, 661 (1990).

Simply put, respondent has failed to meet his burden. See Petzoldt v. Commissioner , 92 T.C. 661, 700 (1989) (providing that the existence of fraud may not be found under “‘circumstances which at the most create only suspicion.’” (quoting Davis v. Commissioner , 184 F.2d 86, 87 (10th Cir. 1950), remanding a Memorandum Opinion of this Court)); Beaver v. Commissioner , 55 T.C. 85, 92 (1970). To the contrary, Jeffrey did not intend to evade tax but wrongfully believed that the ProTec plan and the Aegis system were legitimate tax avoidance techniques. Indeed, Jeffrey, Timothy, and Mr. Moore all believed that the Aegis system was legitimate and that the returns were accurate. See Gajewski v. Commissione r, 67 T.C. 181, 199 (1976) (stating that the existence of fraud is a question of fact to be determined upon consideration of the entire record), affd. without published opinion 578 F.2d 1383 (8th Cir. 1978). Mr. Moore, respondent’s primary witness, provided convincing testimony regarding the perceived legitimacy of the techniques and accuracy of the returns. His testimony relating to his advice to Jeffrey and Timothy, however, was inconsistent, incoherent, and at times incomprehensible. Nevertheless, Jeffrey, through his credible testimony, established that Mr. Moore did not express any doubt regarding the legitimacy of the tax planning arrangements. In fact, Mr. Moore was so comfortable with the tax planning arrangements that, after preparing the domestic trusts’ returns relating to the years in issue, he became a trustee of Jeffrey’s domestic trust (i.e., Token Trust).

Jeffrey, who undoubtedly had a penchant for fast and easy money, foolhardily followed the Aegis system (i.e., structuring the transactions and resisting the IRS audit). See Niedringhaus v. Commissioner , 99 T.C. 202, 211 (1992); Gajewski v. Commissioner , supra . Nevertheless, Jeffrey maintained adequate records and made all pertinent information available to Mr. Moore, his longtime trusted, yet imprudent, CPA. See Niedringhaus v. Commissioner , supra at 211. To his detriment, Jeffrey relied on the professional judgment of Mr. Moore, who inexplicably believed in and acquiesced to an elaborate scheme designed by con artists. See Estate of Temple v. Commissioner , 67 T.C. 143, 162 (1976) (holding that reliance upon an accountant to prepare accurate returns may negate fraudulent intent if the accountant was supplied with all the information necessary to prepare the returns); Marinzulich v. Commissioner , 31 T.C. 487, 490 (1958) (holding that a taxpayer’s reliance upon his accountant to prepare an accurate return may indicate an absence of fraudulent intent).

Accordingly, the extended limitations periods set forth in sections 6501(c)(1) and 6229(c) are not applicable, and respondent’s determinations and adjustments relating to 1999 and 2000 are barred.

Contentions we have not addressed are irrelevant, moot, or meritless.

[Famspear]

On Saturday, March 12, 2011, at losthorizons, Patrick Michael ("Blowhard Junior") Mooney wrote:

Let's not be confused here.

Sorry, Patrick, but you're posting at lost horizons dot com, remember?

For CTCers, these issues before the Courts (or whatever level of "due process" they are pretending to give us) are not a matter of what one is willing to admit to on the record.

The issue is that a CTCer already testified to the truth (on his or her 1040) and is subsequently having it ignored and then threatened with displacement for an alternative version of events that did not occur. The alternate version of events has no basis in fact, at all, yet is allowed to prosper because of the financial gain it represents to the criminal elements operating the scheme (who are now unfortunately decidely [sic] in control of the judicial and administrative process).

Wrong, Patrick. For the umpteenth time, you ADMITTED the only material question of fact. You ADMITTED that you received the earnings. Whether those earnings -- received in a private sector, non-federally privileged activity -- are "income" within the meaning of the tax law is a question of LAW for the Court to decide -- not for you to decide. And the answer is: those earnings are "income." That has nothing to do with something having "no basis in fact" or not.

In other words, it should now be apparent to any clear-thinking American that our government has been hijacked by these criminal elements. For us to "play along" with them in the charade of this having any legal respectability is our own fault.

No, it should now be apparent to any clear-thinking American that you are still clueless, Patrick.

I believe it is our duty to not cooperate with this process any longer and we must begin plans to take back our government through means of non-violent non-comformity [sic]. We are going to have to FIGHT to remain free from here on out.

No, I believe it is your duty, generally, to report the earnings you receive from services you perform as income on your federal income tax return, regardless of whether those earnings were received in a private sector activity or not, regardless of whether that activity was related to a "federal privilege" or not, and regardless of whether you agree with the rulings of federal courts on Peter Hendrickson's Cracking the Code tax evasion scam.

The sooner we begin to think along these lines, the easier all of this will become.

As Justin recently reported from his foray into the Tax Court, it is a den of callous evil....

In other words, Justin took his version of the Cracking the Code tax evasion scam to the U.S. Tax Court, and he lost? What a surprise.

....The judges may be civil, and the IRS legal reps capable of being corteous [sic], but that is because they know it is a rigged game and normal people walk into that room with soul-shaking FEAR. Many of them crumble under the weight of their own ignorance as to what is going on.

How nefarious of the judge to be civil! How cruel for the IRS legal reps to be courteous! Ohhhhh, the humanity!.....

I felt that fear, too, but pressed on. As a result of facing that fear, the power of it was greatly diminshed, because their version of events has NO TRUTH IN IT.

In other words, you lost in Tax Court -- again. Why not just say it, Patrick? So, tell us, Patrick, how does losing a second time in U.S. Tax Court represent a diminution of the power of your fear?

Oh, wait, never mind.....

Exposed for the criminals that they are...we only need to develop the resolve to make them accountable again...like good people everywhere around the world are trying to do now.

So, Patrick, you've think you've "exposed" the IRS and the Tax Court judge as "criminals"? Why? Because you lost yet again? What are you, Patrick, eight years old?

There will not be another opportunity like this in the coming years if we do not take advanatge [sic] of that spirit now. It is going to require that you get used to being "uncomfortable" for awhile...as great change always is preceded by a bit of chaos.

The chaos you feel, Patrick, comes from being clueless. I hope that if "great change" comes for the users of the Cracking the Code scam, it will not be in the form of additional extended visits to federal prisons.

But if you can keep your mind fixed on the goal of a free and restored America...a country that you would be happy and proud to pass off to your children and grandchildren, then you will find all the energy, courage and resources necessary to navigate through these chaotic times.

I know it is possible...God would not give us the dream were it not in our power to accomplish it. We only have to say "yes" and be willing to be guided to take the appropriate and necessary actions to initiate the changes in our own lives.

That's part of the problem, Patrick. I am seriously doubting that God is the one who gave you this "dream," Patrick. Maybe it's just me, but I've never once received a message from God to cheat on my taxes.

Many of you are already there. But too many of us are doing it alone. That's got to change, too.

I'm encouraging all warriors to really "pray" or "meditate" or contemplate what I'm saying here. The time for sitting on the sidelines is very quickly coming to an end. You are all leaders!

No, Patrick, they're all followers. Peter Eric ("Blowhard") Hendrickson was the leader. And he's in federal prison for using the scheme.

One last thing...even though things can get uncomfortable, that doesn't mean that you can't enjoy the process while its happening. Trusting in your higher power is a big assest [sic] in that department, as is developing some sense of joy about life. There are some things worth risking your present comforts for, aren't there?

http://www.losthorizons.com/phpBB/viewt ... 1fce#27226

(bolding, italics and underlining in original)

So, that's it, folks! After having claimed to have stunned and hog-tied the Internal Revenue Service, Patrick is down to this: Losthorizontals need to learn to "enjoy" the process. And the process is really the process of cheating on taxes, having penalties imposed, and losing every time in court.

[Thule]

Patrick is down to this: Losthorizontals need to learn to "enjoy" the process. And the process is really the process of cheating on taxes, having penalties imposed, and losing every time in court.

That's rather disturbing...

[wserra]

On Saturday, March 12, 2011, at losthorizons, Patrick Michael ("Blowhard Junior") Mooney wrote:

even though things can get uncomfortable, that doesn't mean that you can't enjoy the process while its happening.

To which "ENDtheFED" answered:

Great to hear from you Patrick. You are truly an inspiration to all of us!

"Thank you, sir! May I have another?"

Strange bunch of people.

[ashlynne39]

I felt that fear, too, but pressed on. As a result of facing that fear, the power of it was greatly diminshed, because their version of events has NO TRUTH IN IT.

Well look at that, PM managed to turn the whole thing into a victory after all. It's amazing what these people are willing to accept as a win. They don't have very high standards do they?

[ashlynne39]

The sooner we begin to think along these lines, the easier all of this will become.

As Justin recently reported from his foray into the Tax Court, it is a den of callous evil....

In other words, Justin took his version of the Cracking the Code tax evasion scam to the U.S. Tax Court, and he lost? What a surprise.

Actually, if you haven't read it, it's a pretty entertaining summary. Justin and his wife apparently trotted on down to tax court to "spy." They spent all day watching different cases, observing the judge and the attonreys and taking notes on exciting judicial quotes.

[Gregg]

Justin has tossed a few hints that his wife is skeptical. He's also mentioned that he filed a joint return this year, so I'm guessing she might be a future ex wife. Wonder what she looks like?

Just sayin'

[notorial dissent]

I felt that fear, too, but pressed on. As a result of facing that fear, the power of it was greatly diminshed, because their version of events has NO TRUTH IN IT.

I think in the real, sane world, they call that DENIAL. In fact, I'm real sure of it.
I guess it's what could be called a pyrrhic victory, the boat sank it wasn't captured.

If Justin filed a joint return, his wife had better be skeptical, as he has just thrown her under the bus whether she knows it or not. He doesn't sound like the sharpest knife in the drawer to begin with, and he just keeps getting further into the morass, particularly if he thinks Looney Mooney is a fount of wisdom.

I think they have all taken complete leave of reality at this point from the things they are grasping at.

[Gregg]

Do you get the feeling that there are a lot of people with Victories to post but in order to keep the forum from moving too fast they're not posting until the very few who have had problems to discuss the way to set the IRS straight?

Ya think?