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Jeff-DicksteinThe Government has sued Bill Benson seeking an injunction prohibiting him from “falsely” telling people the 16th Amendment to the United States Constitution was not ratified and therefore they are not required to file an income tax return. The Government contends it is entitled to an injunction because Benson is promoting an abusive tax shelter, conduct made subject to penalty per 26 U.S.C. Section 6700.
In 1894 Congress passed an income tax act very similar to the current income tax law. That law was challenged on the basis that a tax on income is a direct tax, the United States Constitution requires direct taxes to be apportioned, and the act passed by Congress was not apportioned. The United States Supreme Court agreed and held the income tax act was unconstitutional."