Basis in Law

[martin earl]

I guess the question about value pertains to the definition of income; what is it? I know the statutes define it, but I don't have time to refresh my memory right now. Is receiving lawful money receiving income?

The question should not be "are they income" clearly, there is income that is NOT taxable. For example, punitive damage payments made the by the STATE in lawsuits are not "taxable income". I know because I had punitive damages from a Federal case and the payment was not taxable, (I did not demand lawful money at the time of settlement, no income tax was due and the payment was substantial.)

Also, a credit line from a bank is not "taxable income" though is of course, an income. VISA credit lines, etc are income, but not taxable income.

CERTAIN Obligations of the United States are not taxable income either.

US Notes are lawful money AND Obligations of the United States and that is what FRNs are redeemed in "on demand". It seems that while they could be considered INCOME US Notes are not "taxable income", nor, apparently, as issued, are they a "legal tender" for payment of interest on the national debt.

This leads me to believe US Notes might be a legal tender on the "principle" of the National debt. So if one was actually volunteering to pay down the public debt, one could simply make a "principle only" payment using Redeemed lawful money.

However, I believe that would have to be done through and to the US Treasury, not the IRS.

I wonder how I would be treated if I started making principle payments on the national debt directly to the Treasury?