Feedback Friday - July 20, 2012

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Welcome to another edition of Feedback Friday! Jeff survived FreedomFest in Las Vegas, although, as you saw, many other fellow vigilantes were kidnapped and caged, including Justin O'Connell.  Justin ended up getting fired from his day job for missing a day of work when he was kidnapped... but, to us, that is a badge of honor, so we hired him.  Working for TDV may be the only job where you not only don't get fired if you get arrested, you just may get a promotion!

Lot's of great feedback to tackle this week: cajones, snipers, Robert Heinlein, and SHTF!  Thanks, as always, for joining in on our Friday tradition. Let's get to your feedback!

CAJONES

Dear Jeff,

Where do you get the cajones to say what you say and fight the powers that be?  As you may or may not be aware, not too many people are willing to outright stand up to these people in such a brazen manner.  Even those who say a few negative things about them usually hide behind pseudonyms.  I don't know of too many people like yourself who puts yourself out there and states the truth without fear.  How do you do it?

Juan R., Medellin, Colombia

Jeff's Response:

Thank you for your thoughts, Juan.  You could have replaced the word "cajones" with the word "stupidity" and it wouldn't have changed the tone of the thought!

That said, however, I decided a while ago... not long after I began to understand how governments and central banks both enslaved and impoverished people that this was my fight.  My fight is for freedom.  And, when you have decided to fight for something in your life it doesn't matter how dangerous it is nor what the risks are.  To me, nothing could be more important than freedom, yet I never cease to be amazed how unimportant it is to many people who will gladly trade their freedom for the feeling of security.

However, there are plenty who feel just like me and that is why I am really happy to help with my writing, our newsletter and many of the products we have created at the request of our readers and subscribers to help them free themselves from their oppressive state.  It's not just Americans, by the way.  Anyone in the West who has their eyes open has to see what is going on and want to at least begin to separate themselves from the state.  Many across the Middle East, including Syrians, Palestinians and Iranians also know the importance of getting themselves out from under their own tyrannical regimes.  And, many others.  Anyone with significant wealth in China should be looking to get a second passport and ways of getting their assets out from their own government as well... not to mention those who live under the oppressive rule in Russia.

You might be asking, after the US, Canada, Europe, Australia, most of the Middle East, China and Russia, where is left to go?  Well, for your money (which should be mostly in gold, not in fiat currency), there are plenty of places, including Singapore, Hong Kong, Switzerland, many Caribbean islands and others.  Just this week we partnered with the Hard Asset Alliance to offer ways to own precious metals through the Americas, Europe, Asia and Australia as one example of what we are doing.  And for yourself, to expatriate or get a second passport, look to Latin America and Asia.  We currently offer exclusive passport services in the Dominican Republic, Paraguay, St. Kitts and Nevis, Dominica and Cambodia (see more at TDVPassports) and are negotiating with governments worldwide on other programs.

Not every country has become a police state yet... in fact far from it.  And, hopefully, by the time they do the rest of the police states will all have collapsed and, after a few rough and chaotic years, will once again blossom as a semi-free, or possibly even free state.  Or no state at all, which would be the best case scenario.

In the meantime, between now and then, it will be very dangerous for all of us.  We will be attacked.  There will be casualties and losses.  It isn't going to be easy.  But what else can we do?  Hide our heads and go along with it all?  That, for me, is not an option.  And we'll keep fighting here at TDV for freedom, liberty and what is right.

SHTF, SNIPERS, AND THE COLUMBUS METHOD

IN RESPONSE TO: “A New, Exciting Option for Offshore Gold Ownership & Storage”

Dear Jeff,

How are you going to transport yourself or your assets around once the SHTF? As an airline pilot, I won’t be flying anywhere without government sanction and permission; so expectant passengers won’t be going.

While I’m at it. If you’re in Las Vegas or Toronto for a seminar and the SHTF, how do you think you are going to get back to Acapulco? Multiple passport are valueless if there is no transportation waiting to take you home. You might be stuck where you are (semi-permanently) when the SHTF. Yes you might luck out in a 4X4 and start to drive from LAS to ACA, but a maximum number of snipers will be waiting along any route, and where do you think you’ll get petrol?

Nay, I am proponent of the Columbus method: find a remote place and land on it....and then don’t go out anymore.

Steve M., in the middle of dairy & vegetables country

Jeff's Response:

Hi Steve,

You bring up an excellent point which I alluded to last week when I said that it is starting to become too dangerous to go to the US as it could get shut down at any point now - the next false flag attack, which could be as soon as the upcoming Olympics if all the terrorist chatter (government and media alerts, warnings and reports) is any indication.

I stated that I am considering never going to the US again because of this.  However, just like people who live on a fault zone I also don't think we should necessarily hide in bomb shelters for the foreseeable future either.  But one should certainly be aware of the risks.  You are correct that a second passport might not help you if you are stuck within the US borders when they close the door... however, it might.  And it is always nice to have options at a time like that as anyone who has been stuck without options in similar circumstances will surely tell you.

That said, I am a risk taker.  I am not averse to volatile and chaotic situations.  While I certainly don't seek them out like a thrill-seeker, I am a survivor and like to think I have the street smarts to get out of almost any situation - and would enjoy the challenge.  So, for this reason, I don't worry too much personally.  I could see myself bartering some gold coins which I always have with me for a small sailboat as I talk my way out of several potentially dangerous encounters, bargaining here or there for this or that and then make my way out into international waters and sail for southern Mexico where I have a better stronghold set-up... and if things were bad even in southern Mexico - which I don't expect but is possible - then I'd likely load up the family and supplies on the sailboat and slowly make our way down to northern Argentina, where we have our true Plan B at Doug Casey's Gulch.

Of course, anything could happen along the way.  There are no guaranties in the chaos that ensues when the State collapses but all we can do is be prepared and hope for the best.  And try not to let it make us too worried in the meantime... enjoy every day with friends and family to the utmost... because a period is ahead of us when The End Of The Monetary System As We Know It (TEOTMSAWKI) hits where it will likely be the biggest and most chaotic event in human history.

Just remember, as it happens, and as they tell you that the chaos is "anarchy", remember it is the exact opposite.  This is what statism always brings.  Chaos, violence and death.  260 million people were killed by their governments in the 20th century, let's hope they don't break any records this time around.

SLUTS, TAXES, AND RELIGION

Hey Jeff,

All of the answers to mankind’s problems can be found (no, not in ‘The Godfather’), but in the quotes of that brilliant science fiction writer, Robert Heinlein. 

Here are a few for TDV readers:

"Women and cats will do as they please, and men and dogs should relax and get used to the idea."

“Whenever women have insisted on absolute equality with men, they have invariably wound up with the dirty end of the stick. What they are and what they can do makes them superior to men, and their proper tactic is to demand special privileges, all the traffic will bear. They should never settle merely for equality. For women, "equality" is a disaster."

"Once a month, some women act like men act all the time.”

“Progress isn't made by early risers. It's made by lazy men trying to find easier ways to do something.” 

“There is no worse tyranny than to force a man to pay for what he does not want merely because you think it would be good for him.”

“I don’t trust a man who talks about ethics as he is picking my pocket.” 

“I am free, no matter what rules surround me. If I find them tolerable, I tolerate them; if I find them too obnoxious, I break them. I am free because I know that I alone am morally responsible for everything I do."

“Be wary of strong drink, it can make you shoot at the tax collector...and miss.”

“A society that gets rid of all its troublemakers goes downhill.”

“The most preposterous notion that Homo sapiens has ever dreamed up is that the Lord God of Creation, Shaper and Ruler of all the Universes, wants the saccharine adoration of His creatures, can be swayed by their prayers, and becomes petulant if He does not receive this flattery. Yet this absurd fantasy, without a shred of evidence to bolster it, pays all the expenses of the oldest, largest, and least productive industry {religion} in all history”.

"One man's theology is another man's belly laugh."

And finally, the ultimate piece of Heinlein wisdom: 

"Never try to teach a pig to sing.   It's a waste of time and it annoys the pig". 

Sam G., Toronto, Canada

Jeff's Response:

There is a lot of wisdom, and humor, in those words!

DO I HAVE TO REPORT FOREIGN GOLD HOLDINGS ON AN FBAR

IN RESPONSE TO: "FBAR, 8398, FATCA, And Capital Controls - The Trail That Leads To The Forced Repatriation Of Your Foreign Assets"

Dear TDV,

Where does physical gold and silver stand in the realm of things if held abroad and outside any financial institution?  Does this need to be reported if there have been no capital gains on a sale?

Bill

Vin Maru, Chief Editor of Getting Your Gold Out Of Dodge (GYGOOD) and TDV Golden Trader Replies:

Hello Bill,

When it comes to reporting precious metals held outside the US, the following forms from the IRS must be filed by anyone who qualifies, which pretty much includes every US citizen, resident alien and most domestic entities that have an interest in foreign financial accounts.  The IRS recently published a chart (here) showing what is reportable, and not reportable, under FBAR and 8398.

When it comes to precious metals, if you meet the minimum threshold for the value of assets held in a foreign financial account, then YES they are reportable on both forms.  If your precious metals are held with any financial institution in an account in which you have a financial interest (deposit or custodial), then you should file.   If you are in doubt, then check with your foreign financial institution on their reporting requirement to the IRS. If they are required to submit the information, you should report the holdings as well.  For Form 8938, Statement of Specified Foreign Financial Assets which is due with your income tax,  must be completed if you exceed the $50,000 threshold.  Form TD F 90-22.1, Report of Foreign Bank and Financial Accounts (FBAR) has a threshold of $10,000 and is due June 30th.  We suggest you visit the IRS link above to see if you qualify for reporting.  Failing to file the FBAR and Form 8938 accurately and when due renders you subject to civil and possibly criminal penalties, so it is in your best interest to file these forms if you are in doubt.  

If you are required to fill out form 8938 for income tax report purposes, you should also report the sale of your precious metals even if does not trigger a capital gain.  It clearly states that if you have a an interest in an account or asset, you are required to report it.  This includes any income, gains, losses, deductions, credits, gross proceeds, or distributions from holding or disposing of the account or asset are or would be required to be reported, included, or otherwise reflected on your income tax return.

The IRS guideline chart clearly states that "precious metals held directly" are not reportable under either form.  While there is no clear indication by what “held directly” means under FBAR and 8398, we take that to mean that these assets are not held in any type of account and are held in your possession where you have access to it.  This would include precious metals you store outside any financial account and institution (they are required to report your holdings), such as a private property or a safety deposit box in which only you have control and direct access to, you are not required to report it.  Precious metals held directly off shore has the same reporting requirement as foreign real estate, foreign currency and personal property such as jewellery, cars and collectibles.  None of these items are reportable on either form.  We assume that if you are not required to report precious metals held directly while offshore, then most likely you are not required to report its sale either.  If the tax authority never knew about your directly held precious metals, and you are not required to report it, then the reporting of the sales of these precious metals is up to you, however we suggest speaking to your tax accountant for clarification.  You don't want to assume anything when it comes to the criminal IRS.

The IRS probably left the interpretation of the law vague on purpose, so they can always get you later on because of mis-filling, yet they don’t tell you how to file.  With all these crackdowns and vague reporting requirements, it will be more difficult to store wealth out of the US without the authorities knowing.  Expect by next year that no US or European citizen will be able to store assets with a financial institution outside of their country without the authorities being fully aware of it.  All western governments and bankers are now working together to make reporting a worldwide necessity or risk penalty or confiscation.  We've all heard about one world government.  Well, it starts with a one world banking system of reporting, and that will most likely be in place by next year.  

Here is the good news for US tax slaves looking to store precious metals in other countries.  We, at Getting Your Gold Out Of Dodge, have found a solution where you can have your physical precious metals stored safely in various countries around the world without having to report these holding on form 8938 or FBAR.  Contact me if you are interested in this option or you can read about it in our special update to GYGOOD coming out soon.  This option will be made available shortly to anyone who purchased the report ($44.95 here) or free to all TDV subscribers (subscribe to TDV here or TDV Golden Trader here).

That's all for this week!  If you have any questions, comments, feedback or hatemail, please direct it to TDV@dollarvigilante.com.