The Endlessness Of A Temporary Tax

Authored by Jeff Thomas via,

Governments regularly claim that they favour tax reform. When this claim has been repeated so many times that virtually no one believes them anymore, they announce a tax reform, to show that they really mean it. They then reshuffle the existing taxes to give the appearance that taxation will actually be lowered.

When it becomes apparent that the reform is a sham, they often pull a rabbit out of a hat in the form of a “temporary” tax, that’s pre-legislated to end sometime in the future.

Sounds promising.

So, let’s have a look at one such temporary tax and see how things worked out.

The US government introduced the War Revenue Act of 1898—a tax on telephone use—under the claim that it was necessary to pay for the Spanish American War.

In what way does telephone use pertain to a government invading another country? Well, actually, one has nothing to do with the other. But, let’s leave that discussion for another day and see how this temporary tax played out.

The Act was repealed in 1902 but was reinstated, this time as the Emergency Internal Revenue Tax Act of 1914. The justification then given was that another war was on the way and increased taxation to pay for it couldn’t begin too soon. Telephone users needed to cough up.

It was decided by both parties to increase the tax on telephones and the War Revenue Act of 1917 was created. It hadn’t passed the debate stage until the war was over, but they decided that they’d implement it anyway, as the work had already been done. In the bargain, they introduced not only increased rates, but graduated rates.

This act was also repealed, in 1924, but was reinstated with the Revenue Act of 1932. Since that date, it has been reauthorised 29 times.

In 1941, an increase was put in place to pay for (you guessed it) another war—World War II. This was increased again in 1943, but people complained and the new law contained a provision that the increased rates would end six months after “the date of termination of hostilities in the present war.” However, the Excise Tax Act of 1947 was passed to assure that the tax would continue indefinitely.

Over the subsequent years, periodic changes were made. Although the rates went up and down like a bride’s nightie, most, not surprisingly, were upward.

As further (undeclared) wars came and went, taxation on telephone calls repeatedly needed to be increased and, regardless of the party in power, increases continued.

At long last, on 14 September, 2000, the House of Representatives took up legislation which included the repeal of the telephone excise tax. This measure passed both houses, but the fix was in. President Clinton vetoed the repeal. (The legislative branch and the executive branch have to take turns playing the bad cop, but the outcome is the same: increased taxation.)

Then, in 2006, a case was made (in the words of the Treasury Secretary), to amend the Internal Revenue Code “of an outdated, antiquated tax that has survived a century beyond its original purpose, and by now should have been ancient history.”

Finally, American citizens could wash their hands of a one-hundred-year theft of their earnings that, even at the start, was based upon a ludicrous concept.

Unfortunately… it didn’t happen.

The repeal was never enacted and Americans continue to pay for the Spanish American War today.

So, what’s the takeaway here?

Well, first off, this little history serves as a reminder that there’s nothing so permanent as a temporary government measure.

Second, although not a month goes by without one politician or another, from one party or the other, rising up in righteous indignation that a new tax or an expanded tax is absolutely necessary to continue the welfare of the American people, there is, in truth, no sincerity in their claim. They simply want more money.

Third, no amount of money is ever enough. Even if Washington, D.C., is the only part of the US that is enjoying prosperity, even if no congressman leaves office without more zeroes behind his net worth than when he went in, virtually every legislator will vote for increases in taxation.

And, fourth, there’s no such thing as tax reform. From time to time, legislators will need to trot out the idea of tax reform, and be seen to be arguing over the details, but will ultimately always do the same: the deck will be reshuffled, but somehow, taxes will rise once again.

But the overall lesson to be learned is that Government is, and has always been, a shell game. Its purpose is not to serve the electorate; it is to separate them from the fruits of their labours.

Full stop.

As former US Chief Justice John Marshall stated,

The power to tax involves the power to destroy.

More recently, Ron Holland offered the following:

Since the beginning of recorded history, the business of government has been wealth confiscation.

However, both these individuals were conservatives, and it would only be fair to ask for commentary from the liberal side. One such liberal political leader is none other than Vladimir Lenin, who stated,

The way to crush the bourgeoisie is to grind them between the millstones of taxation and inflation.

Of course, the reader may wish to consider relocating to a jurisdiction where the taxation is far lower, but if he chooses to remain in the US, EU, Canada, or other jurisdiction where the tax level is already oppressive, his plans should include temporary taxes that are unlikely to end in his lifetime.

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Few people realize this, but it is possible to escape the US government’s “power to destroy.” Find out how in The American Expatriation Guide: How to Divorce the US Government. Click here to download your free PDF copy now.


Blythes Master Bigly Tue, 12/26/2017 - 17:11 Permalink

The 'Penny for Pinellas' tax

Years ago, in 1990 I think, in Pinellas County, Florida, A penny tax was 'temporarily' enacted for 10 years to pay for the conversion of old abandoned rail lines to be converted into trails for biking, jogging, and walking.

In 2000, pols lobbied the public to extend the tax for ten more years to do more good things like build playgrounds, more trails, ect, etc..

In 2010, the pols got the sheeple to approve the misnamed penny for Pinellas tax yet again. Truth be told, it sould be called the 1 percent for pinellas as it tacks on 1 percent of your entire purchase for the tax, not just a penny.

So the temporary tax called The Penny for Pinellas that was supposed to be for only ten years, is now going to be entering it's 28th year of existance.

All because the sheeple let the camel get its nose under the tent in the first place.

In reply to by Bigly

khnum Tue, 12/26/2017 - 16:36 Permalink

Death and taxes...along the river Nile there is a large rock with a series of heiroglyphs in a vertical column,these determined the level of the flood and the appropriate tax rate for that level.

pynky01 Tue, 12/26/2017 - 16:42 Permalink


Yen Cross Seasmoke Tue, 12/26/2017 - 17:59 Permalink

What he said^  I try every single day, to explain how we live in a closed ecosystem, with finite resources, to people I know. All I get is the DEER!  Demand drives inflation, NOT the other way around.  The debasing of currencies has outstriped demand, to the point that inflation can't accurately be measured, <by demand.  The world is aging, except in war~torn areas, because couples can't afford, or don't want to start families. The globalists are like a swarm of Locusts, and just look for the next place to exploit.  Nothing has changed because "Human Nature" is innate.

In reply to by Seasmoke

Endgame Napoleon Yen Cross Tue, 12/26/2017 - 18:51 Permalink

US population at our post-WWII peak of widespread middle class prosperity was:

194.3 million

US population today is:

323.1 million

In the period when more households had a middle class lifestyle, American parents were raising a [smaller] huge generation, the Baby Boomers, whose mere births are often credited with fueling an economic boom.

.....although it was not that and was more likely due to the one-earner, married households of that time and the higher wages in a country with a strong industrial base, unlike this service-sector economy, where dual, high-earner parents cut the size of the middle class in half by keeping the decent-paying jobs concentrated in fewer households, while more people at the bottom compete for low-wage jobs, diluting wages, because of moms and many immigrants armed with rent-and-grocery-paying welfare and child tax credits up to $6,444 that drive down wages since those single moms do not need higher wages and would exceed the earned-income limit for welfare if paid more, or if they worked more hours.

The country is not bereft of young people, quite the opposite, since the Millennials are a [bigger] generation than the Baby Boomers, proving that the number of births is NOT a panacea, because this economy is sheer crap.…

In reply to by Yen Cross

Herdee Tue, 12/26/2017 - 16:50 Permalink

Truth is that they have this world cop mentality along with a world hegemony agenda. Do any Americans actually believe that the funding of the military/industrial complex will stop? Actually, it's out of control.

shovelhead khnum Tue, 12/26/2017 - 20:17 Permalink

Ain't none of it getting paid back so who cares? Print and loan away... we're well past redemption anyway.It crashes and we start doing the same old shit all over again.I betcha.The winners will be those who turned their fake munnies into real shit before the fact with no claims on them.

In reply to by khnum

Endgame Napoleon Herdee Tue, 12/26/2017 - 19:24 Permalink

We need to cut it back. We need to stop paying for the defense of a bunch of countries that hate us, applying the same money to guard our Swiss-cheese border.

American citizens have gone without a lot to fund the defense of multiple countries, while our tax base, in turn, is used to keep up illegal aliens to the tune of $116 billion per year, paying them to reproduce if they stay below the earned-income limit for welfare in [traceable] income.

Hey, I am a citizen of this country, and my government has not spent anything like this on my childless ***, as it pours money into the hands of the citizens of other countries.…

And N__O, many of them do not work hard. Some do. Many do not, but most get paid by government for sex and reproduction. And those are not working many hours, according to their paycheck stubs.

They have to present 8 paycheck stubs when applying for more than I made in a week in just free food at the Department of Human Services, where I worked for beans as a college-educated citizen.

I could barely afford rent and had no cable, nor my own cell phone. Illegal alien moms, presenting SS cards for multiple US-born kids and a sole, male breadwinner’s paycheck stubs, were in there all the time, often trying to use cable bills to count as an expense. The women did not have paycheck stubs for themselves.

They also got $4.2 billion in refundable child tax credits of up to $6,444 in one year (2011). They get $1.5 billion in these lump-sum checks up to $6,444 every year, whereas my tax return as a childless citizen whose rent absorbs more than half of my pay is usually around $300.……

Illegal aliens usually get the child tax credit for maximum womb productivity—the $6,444 Big Gulp Child Tax Credit for 3 or more kids.

If the [refundable] child tax credit is doubled, illegal aliens will get more than half of the per capita income in many Southern states in one yearly $12,888 payout for sex and reproduction, compliments of the US Treasury Department, making a year’s worth of work even less rewarding for citizens with earned-only income to live on in these states and many others:

Kentucky — per capita income — $18,093…

Tennessee — per capita income — $19,393…

Alabama — per capita income — $18,189…

Mississippi — per capita income — $20,670…

South Carolina — per capita income — $18,795…

In reply to by Herdee

Beowulf55 Tue, 12/26/2017 - 16:52 Permalink

"no amount of money is ever enough."God damn right, yet the majority of the people still BOHICA.Next time you see your congress critter tell him/her/it that you have had enough and that they are traitors to the Constitution and people.  And that tyhe consequences of treason is death and that you have a gun to carry out the punishment.

Cardinal Fang Tue, 12/26/2017 - 16:55 Permalink

Oh, but I thought, according to one article I read here, that the collective is called for a higher purpose...

It's for the children...ha what they don't tell you is the tax is for YOUR children to pay...

nuggetstoosmall Tue, 12/26/2017 - 17:18 Permalink

So let me get this straight. I pay 45cents per gal of gas to improve the road and even passed a special 1 cent per gal to fix pot holes. So, the road to denver is 2 lanes, lets make it 3 lanes with our tax dollars and fed grants. Sounds good. But wait a minute, that implies a free new lane????? We'll just make it a toll road as 470 is to the airport. What kind of a crazy house do I live in.....19th century, no taxes, no permits, no gun laws, only limited policing and we got along fine. Open carry even. How many ways can we tax you let me count.

Endgame Napoleon nuggetstoosmall Tue, 12/26/2017 - 19:38 Permalink

How about tax welfare checks to pay citizens and noncitizens to have sex and reproduce, called “tax credits,” even though they do not pay income tax?

What would 19th century people, with strong social pressure to marry and support their own kids, back in the day when multiple kids per household were actually needed to work on farms and in factories, think of that?

Modern Republi-CONs LOVE pay-for-sex-and-reproduction tax welfare. I thought Democrats were the ones who loved welfare.

This child tax credit welfare is also the most likely to be spend on $800 tattoos, trips to Marco Rubio’s state to copulate with boyfriends and master bedroom furniture, rather than on children, because the same moms often have free rent, free EBT food, free electricity, monthly cash assistance, nearly free Headstart, free medical care, help from a boatload of children’s charities, untraceable income from boyfriends and help from the children’s grandparents in almost all cases, freeing up their child tax credits for mom pampering.

RepubliCONs love 100% free, non-contributory welfare, issued in lump sum through the tax code.


Santa for sex and reproduction, in or out of wedlock, and whether or not you are a citizen.

How conservative.

Nonetheless, I am [sure] that their 19th century counterparts would be shocked, very much including the mass of turn-of-the-century immigrants.

In reply to by nuggetstoosmall

coast1 Tue, 12/26/2017 - 17:23 Permalink

of topic but I want to promote SGTreport on youtube...not making money, no need for email address or credit card, no promotions from me except I really have come to like SGT report on youtube..thanks..I felt in my spirit to do this..and am open to other suggestions..luv you guys and hope more truth comes out in 2018...remember how much they hated JESUS..

Whodathunkit Tue, 12/26/2017 - 17:26 Permalink

In Atlanta they got people to pay a toll for building a VERY short piece of highway (not saying it wasn't needed) with the intention of scrapping it when the road was paid for. Hahahahahaahahahaah. When I moved here in 13, a big stink erupted when someone said that road had been paid for a long time. OH GAWD. Been tolling people a LONG time. They ended up paying 1M to dismantle the toll booths AND REASSIGNED all the toll authority workers to other .gov gravy jobs. Can't get fired from the goobermint. Ask McCabe bout those perks.

Hammer of Light edifice Tue, 12/26/2017 - 20:52 Permalink

What's even more amazing is anyone willingly lives in that shithole called Denver. One of the most consumerist gacking plagues of a lifestyle with choking pollution, choking traffic as in life in a metal coffin, choking taxation, choking police tyranny and a spy state mentality that would make Dulles proud to be the cancerous fuck he was, choking eye popping real estate prices so high nobody has any remote sense of stable security without having to fear losing everything every 30 days... If you want a real life in servitude to the government anal fatted cock homosexually gaping your asshole, start in Denver!

AKA Also the new home of the CIA and the new Washington DC after they Larry "pull it" Silverstein DC in the upcoming nuclear false flag!

I went back to Colorado a decade ago for a job, moved there, got 3 weeks into the gig and said aww hell no, this place is freakin retarded. E-470, I25 and 36 to boulder, it's INSANE people do this on purpose.

Colorado is the number 1 police state in the US now second only to DC, Baltimore, NYC and Chicago. Life under surveillance 24/7, a police force that is hell bent on keeping you in the system and charging you for everything, hillbilly gucking retards, and then you have Boulder which is surrounded by reality in their ultra bucktard liberal mentality.

Colorado used to be a very cool place until they went full on police state charge you up the ass for everything and tax you into oblivion and fine you if you don't pay state. I took my ass outta that shithole so fast it would make your head spin and never to return to that horrid existence.

Good heavens man, get outta there while you still can. Save yourself and yours.

In reply to by edifice

Umh Tue, 12/26/2017 - 17:37 Permalink

My complaint several decades ago is that it is hard for the little guy to plan for tax changes. With fewer options and flexibility the so called little guy is trounced when tax changes roll around. It was never anything to big, the deductions for interest, income averaging ... just about the time you were using these methods they would change the tax law.

My crotch itches Umh Tue, 12/26/2017 - 19:28 Permalink

This right here is why I won't use a Roth IRA, but just a traditional (and an HSA).  I have absolutely no confidence that the fuckers won't change the rules and just take the tax again at god knows what rate, therefore I won't pay it upfront with a promise of tax free distribution. Anyone else here share these feelings or think I am being a bit tinfoil hat-ish?  

In reply to by Umh

EmptyBag Tue, 12/26/2017 - 18:00 Permalink

The U.S. Federal government is 95% illegal. The Constitution has been ignored and "interpreted" out of existence.We are on a planned, long road to national bankruptcy and eventually to a national emergency that will see rule of law disappear and a non-elected ruling council with one person on that council who will be the new emergency "manager." Basically what will eventually come out the other end is an authoritarian politboro style ruling elite.Somewhere on the road to bankruptcy an emergency banking / liquidity crisis will cause the Congress and whoever is the current President to nationalize all savings including 401K's, private pensions, stocks, bonds and any other finacial vehicle or good such as gold, silver and any crypto currencies. Everyone will be "given" what they need to live as long as they serve the State loyally.That is all.

SweetDoug Tue, 12/26/2017 - 18:15 Permalink

'''Total digital disruption is coming in 5-8 years at most.Cheap power with battery advances, will render centralized power a thing of the past. What will the big corps do?VR, AVR will wipe out B'n M retail. It's already happening.Add in driverless cars, robots, automation, government debt 30 trillion by 2024 and we are @#$%ed.They will come and go through your goddamn couches for coins. OJOV-V

. . . _ _ _ . . . Tue, 12/26/2017 - 18:44 Permalink

…by which means it happened, as it hath happened since, that what at first was submitted to as a convenience, was afterwards claimed as a right.” … “Immediate necessity makes many things convenient, which if continued would grow into oppressions. Expedience and right are different things.” -Thomas Paine

Ink Pusher Tue, 12/26/2017 - 19:25 Permalink

Personal Income Tax in Canada was instituted as a TEMPORARY 5 YEAR EMERGENCY measure ... back in 1918.Proving politicians cannot fucking count and never could do the math. 

tuetenueggel Wed, 12/27/2017 - 04:51 Permalink

In 1913 just befor begin of WWI germany introduced a temporary tax for building the new fleet.It was put on sparkling wine and champagne. Guess if we still have it 105 years later ?sure we do.