Contrary to what you might have been told, or "sold," taxpayers cannot avoid paying income tax by “renouncing” their Social Security numbers and claiming to be “sovereign citizens," as promised by promoters of the so-called "Tax Buster" program.
The U.S. Justice Department has taken action in an Atlanta federal court to halt the "Tax Buster" program, brainchild of Jonathan D. Luman, from Stockbridge, Georgia. The court's preliminary injunction order entered against Luman holds he falsely tells customers that they can avoid federal income tax by sending the IRS documents found in his “Tax Buster Guide.” Court filings alleged that Luman sold the scheme over the Internet to customers in 41 states.
“Any plan purporting to eliminate your obligations under the tax laws is a scam,” said Eileen J. O’Connor, Assistant Attorney General for the Justice Department’s Tax Division. “The Department of Justice and the Internal Revenue Service are working vigorously to shut down tax scams.”
The court’s order requires Luman to notify his customers of the injunction, to post it on his websites, and to give the Justice Department a list of his customers’ names, mailing and e-mail addresses, phone numbers, and Social Security or employer identification numbers.
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