Understanding Income Tax: Calculation Methods and Types Explained
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12 reactions | The tax law isn’t out to get you. It’s built to reward...
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FacebookTom Wheelwright, CPA
Most Americans are told that 26 U.S.C. § 1 is “the law that imposes the income tax.” Here’s what they don’t tell you: 1. § 1 doesn’t impose a tax on people. It taxes taxable income, which must first exist by definition and jurisdiction. 2. § 1 doesn’t define taxable income or who must file. Those definitions are in §§ 61, 63, 6001, 6012, 6151 — and none create a universal duty. 3. § 1 is NOT a liability statute. It never identifies: • who is liable • why they’re liable • what jurisdiction applie
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