IRSteroids

Investors.com ^ | January 5, 2010 | INVESTORS BUSINESS DAILY Staff

[Kaslin]

Taxes: As if the Internal Revenue Service doesn't have enough power, the agency says it will regulate tax preparers. And ObamaCare gives it even more clout.

Eric Hoffer, the great working class scourge of statist power, noted in his 1955 book, "The Passionate State of Mind," that "There is a large measure of totalitarianism even in the freest of free societies."

In America, the power to tax has always been recognized as the deadliest tool of the tyrant. Edmund Burke, the great British parliamentarian, in 1775 said the American colonies' "love of liberty" was "fixed and attached on this specific point of taxing."

According to this early sympathizer to the American cause, "Liberty might be safe or might be endangered in twenty other particulars without their being much pleased or alarmed." But on taxes, "Here they felt its pulse, and as they found that beat they thought themselves sick or sound."

Considering Americans' innate sense of the relationship between taxation and freedom, it's startling to read international taxation expert and legal historian Charles Adams' account of the evolution of income tax collection.

As Adams points out in his history of taxes from antiquity to the modern era, "For Good and Evil," "in the tax system of the 1950s no bank informed the IRS about customers' affairs. Interest was not reported, withdrawals of cash were not reported" and neither were real estate sales, stock and dividend transactions, nor independent work now required by the 1099 form.

[Nighttime in America]

Enter IRS Commissioner Doug Shulman, who announced Monday that within three years it will cease being legal to have your taxes prepared by someone unlicensed by the federal government.

As if they could stop it. I will still be able to pay someone to prepare my taxes, but his name won't be on them. Business will go on as usual, but in the black market. Anyone see a problem with that?