“We the People” Sued By Feds Over Tax Scam

Posted on May 21st, 2007

I found this item on the California Tax Attorney Blog. Robert L. Schulz and his companies We the People Foundation for Constitutional Education Inc., and We the People Congress Inc. have been sued to stop a tax scheme estimated to cost the government more thn $21 million in taxes.

Schulz allegedly used the two companies to market a tax fraud scheme called the Tax Termination Package. This program was sold as a way for employers to avoid withholding federal income taxes from wages.

The We the People companies allegedly advised clients that use of “replacement forms” instead of approved IRS withholding forms would allow them to legally stop tax withholding. This is false, as the forms do not allow businesses to stop withholding.

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