Joseph R. "Joe" Banister

Thursday, March 11, 2004


Dear Friends:

This is a message specifically for Californians but those who live in other states with an income tax ought to beware as well.

California is engaging in a full court press to force people to file electronically, and, not surprisingly, it will be the client who will be stuck with the bill.

A law was recently passed mandating that any income tax return preparer who prepares more than 100 income tax returns per year is forced to file all returns electronically. Although I don’t prepare income tax returns for clients ever since learning about the fraudulent administration and enforcement of the federal and state income tax systems, there are obviously thousands of tax preparers who do.

Most people don’t realize that the bill from their income tax preparer is sure to go up because the income tax preparer is sure to incur additional costs for implementing this e-file system that is being forced down their throats and theses preparers will undoubtedly pass the cost on to their clients.

I believe you can make a difference by sending a message to the California authorities that you do not appreciate having even more money taken out of your pocket just to make it convenient for the California taxing authorities to harass you (and, yes, the California authorities are every bit as deceitful about the application of the California income tax laws).

I wouldn’t be surprised if this isn’t also a way to decrease the client roles of local CPAs from the tax return preparation business (who may eventually learn the truth about the limited application of the income tax from their clients) and usher in national firms like H&R Block who I believe would ignore the truth about the income tax at all costs.

What most income tax return preparers probably are not telling you or don’t even know is that the e-filing requirement can be avoided if the client chooses to “opt-out” by filing Form 8454. More information can be found at:


If you have a CPA or other tax preparer prepare your tax return and don’t like what amounts to an “unfunded mandate” from California officials forcing you to pay to make it easier for them to harass you, get yourself a copy of Form 8454 so that you can elect out of e-file.

By the way, I’ll be speaking at the 2004 Health and Freedom Rally sponsored by the Freedom Law School this Saturday (03/13/04) at The Atrium Hotel, 18700 MacArthur Blvd., Irvine, California . Bob Schulz, Vernice Kuglin and many other speakers will be there. More information is available at www.livefreenow.org


Joseph R. (Joe) Banister, C.P.A.
Former IRS Criminal Investigation Division Special Agent www.freedomabovefortune.com