The Marxist Noose Tightens

I mentioned that it was time to get your money out of the country.  The well-thought out Marxist plan, nearly a century old, is being executed, see yesterdays KGB lecture, so the operatives have already figured on how to prevent refugees.  They won't build a wall, since that will stop illegal aliens from ariving, so they did the next best thing.


In a bill called Hiring Incentives to Restore Employment Act (H.R. 2487) a small section was included that CONTROLS your capital even outside the country.  It is ordering the world to comply. Most countries will.

Read throught the statute provisions, below.  I bet a bunch of Republicans voted for this as no one reads bill. This bill makes sense when you understand socialists want money from the working class, while, at the same time, the better-off working class wants a new country.  


Challlenged leftists, I see, gloat and taunt people, saying they should leave. The insane are in charge of the institution. Of course they will leave and the morons will be wondering what else can be taxed.  They will have to tax themselves, but there is no comprehension that there is no such thing as a perpetural motion machine. 


The Marxist operatives love that because there will be a violent reaction and that will provide the justification to use force to control the masses.

Even the most reflexive leftist now has to understand what is going on. They are not democrats or liberals, they are the bagmen of the Marxists. (As I say, the loudest will be the first to go.)

The government is a new form of organized crime and has its enforcers out to keep people in line. You are supposed to stay in line because you were born here, making this a prison, not a republic.  You may recall we had a revolution about this.  

Also, recall yesterday, we had our first gun shot at a Virginia legislator, the minority leader, while he was in his car. This is going to get ugly. The government will circumvent the Constitution to prevent gun ownership claiming there is a national crisis, just as Marxists have done all over the world for 75 years.

Leftist may feel glee, but it is a short-term one as services plunge and money vanishes, resulting in uneard of taxes and income tax rates. The world is a global market - that is what the left wanted, now they have to live with it.

This law merely demonstrates to the slowest among us what is going on;  it does nothing to stem the tide of capital disappearing.  After a minute of thought, I figured out how to legally circumvent this intrusion and I will.  I won't publish it here, as I see sites annoying to the great Obama vanishing from the Internet. I wonder if Google will close its U.S. facilities.   

The status of gold and silver is not determined here, but plan on it being controlled or confiscated.

So far, we haven't seen people disappearing, but that is a matter of time.  Notice the M-16s in the New York subway today?  Please, don't bother me with saying they are a response to old ladies who might set off a bomb. There is ZERO chance they will stop anything.

Wiki on the subway: it is one of the oldest and most extensive public transportation systems in the world, with 468 stations in operation (423 if stations connected by transfers are counted as a single station);^[1] 229 miles (369 km) of routes,^[4]translating into 656 miles (1,056 km) of revenue track; and a total of 842 miles (1,355 km) including non-revenue trackage.^[5] In 2008, the subway delivered over 1.623 billion rides, averaging over five million on weekdays, 2.9 million on Saturdays, and 2.3 million on Sundays.^[1]

So, we are supposed to accept a paramilitary presence on our streets.



---------The Bill ----------

Offset Provisions - Subtitle A—Foreign Account Tax Compliance. In brief, the Provision requires that foreign banks not only withhold 30% of all outgoing capital flows (likely remitting the collection promptly back to the US Treasury) but also disclose the full details of non-exempt account-holders to the US and the IRS. And should this provision be deemed illegal by a given foreign nation's domestic laws (think Switzerland), well the foreign financial institution is required to close the account.

(a) IN GENERAL.—The Internal Revenue Code of 1986 is amended by inserting after chapter 3 the following new chapter:

‘‘CHAPTER 4—TAXES TO ENFORCE REPORTING ON CERTAIN FOREIGN ACCOUNTS
‘‘Sec. 1471. Withholdable payments to foreign financial institutions.
‘‘Sec. 1472. Withholdable payments to other foreign entities.
‘‘Sec. 1473. Definitions.
‘‘Sec. 1474. Special rules.
‘‘SEC. 1471. WITHHOLDABLE PAYMENTS TO FOREIGN FINANCIAL INSTITUTIONS.

‘‘(a) IN GENERAL.—In the case of any withholdable payment to a foreign financial institution which does not meet the requirements of subsection (b), the withholding agent with respect to such payment shall deduct and withhold from such payment a tax equal to 30 percent of the amount of such payment.

Clarifying who this law applies to:

‘‘(C) in the case of any United States account maintained by such institution, to report on an annual basis the information described in subsection (c) with respect to such account,‘‘(D) to deduct and withhold a tax equal to 30 percent of—

‘‘(i) any passthru payment which is made by such institution to a recalcitrant account holder or another foreign financial institution which does not meet the requirements of this subsection, and

‘‘(ii) in the case of any passthru payment which is made by such institution to a foreign financial institution which has in effect an election under paragraph (3) with respect to such payment, so much of such payment as is allocable to accounts held by recalcitrant account holders or foreign financial institutions which do not meet the requirements of this subsection.

What happens if this brand new law impinges and/or is in blatant contradiction with existing foreign laws?

‘‘(F) in any case in which any foreign law would (but for a waiver described in clause (i)) prevent the reporting of any information referred to in this subsection or subsection (c) with respect to any United States account maintained by such institution—

‘‘(i) to attempt to obtain a valid and effective waiver of such law from each holder of such account, and‘‘(ii) if a waiver described in clause (i) is not obtained from each such holder within a reasonable period of time, to close such account.

Not only are capital flows now to be overseen and controlled by the government and the IRS, but holders of foreign accounts can kiss any semblance of privacy goodbye:

‘‘(c) INFORMATION REQUIRED TO BE REPORTED ON UNITED STATES ACCOUNTS.—
‘‘(1) IN GENERAL.—The agreement described in subsection (b) shall require the foreign financial institution to report the following with respect to each United States account maintained by such institution:‘‘(A) The name, address, and TIN of each account holder which is a specified United States person and, in the case of any account holder which is a United States owned foreign entity, the name, address, and TIN of each substantial United States owner of such entity.
‘‘(B) The account number.
‘‘(C) The account balance or value (determined at such time and in such manner as the Secretary may provide).
‘‘(D) Except to the extent provided by the Secretary, the gross receipts and gross withdrawals or payments from the account (determined for such period and in such manner as the Secretary may provide).

The only exemption to the rule? If you hold the meager sum of $50,000 or less in foreign accounts.

‘‘(B) EXCEPTION FOR CERTAIN ACCOUNTS HELD BY INDIVIDUALS.—Unless the foreign financial institution elects to not have this subparagraph apply, such term shall not include any depository account maintained by such financial institution if—
‘‘(i) each holder of such account is a natural person,and‘‘(ii) with respect to each holder of such account, the aggregate value of all depository accounts held (in whole or in part) by such holder and maintained by the same financial institution which maintains such account does not exceed $50,000.

And, while we are on the topic of definitions, here is how "financial account" is defined by the US:

‘‘(2) FINANCIAL ACCOUNT.—Except as otherwise provided by the Secretary, the term ‘financial account’ means, with respect to any financial institution—‘‘(A) any depository account maintained by such financial institution,
‘‘(B) any custodial account maintained by such financial institution, and
‘‘(C) any equity or debt interest in such financial institution (other than interests which are regularly traded on an established securities market). Any equity or debt interest which constitutes a financial account under subparagraph (C) with respect to any financial institution shall be treated for purposes of this section as maintained by such financial institution.

In case you find you do not like to be subject to capital controls, you are now deemed a "Recalcitrant Account Holder."

‘‘(6) RECALCITRANT ACCOUNT HOLDER.—The term ‘recalcitrant account holder’ means any account holder which—
‘‘(A) fails to comply with reasonable requests for the information referred to in subsection (b)(1)(A) or (c)(1)(A),
or ‘‘(B) fails to provide a waiver described in subsection (b)(1)(F) upon request.

But guess what - if you are a foreign Central Bank, or if the Secretary determined that you are "a low risk for tax evasion" (unlike the Secretary himself) you still can do whatever the hell you want:

‘‘(f) EXCEPTION FOR CERTAIN PAYMENTS.—Subsection (a) shall not apply to any payment to the extent that the beneficial owner
of such payment is—
‘‘(1) any foreign government, any political subdivision of a foreign government, or any wholly owned agency or instrumentality of any one or more of the foregoing,
‘‘(2) any international organization or any wholly owned agency or instrumentality thereof,‘‘(3) any foreign central bank of issue, or
‘‘(4) any other class of persons identified by the Secretary for purposes of this subsection as posing a low risk of tax evasion.

KGB Subversion Lecture

Greg sent this to lecture to me. I am offering this as a last chance to catch on.  You will understand why I am advising people to buy silver and move off shore in some way.

In the video, a former KGB agent whose front was that of a "journalist", explains the KGB techniques in subverting a nation. This is not me choking over what is going on, it is just another first-hand testimony as to what has gone on unseen by the dumbed and numbed population.

We are in the latter stages of this subversion and as proof of its success, you probably don't believe of word of this.

Mr. Bezmenov calls the U.S. a receptive target of subversion, mostly because we are open and stupid. Note we we elected president. A Marxist with no history who is propped up by the media and a long list of Marxist in government and in Chicago.  You think I am over dramatic?

Please watch the first segment.

As the lecturer says, you cannot be subverted it you refuse to be.


Here


There are several  videos following, but the first should stun you, unless you are already disheartened, which is the first goal of subversion.

Note, he says phase one of the subversion takes 15-20 years so you can teach one one generation enough to screw it up, to demoralize it.

I cannot doubt that Mr. Obama is an overt Marxist operative.  He is, likely, working with the big power brokers who want to create a fascist state, but, if history repeats itself, those are the first eliminated after the dictator takes over.

I censored the title.

 For all those who don't read or think, below is a video about what you have done.  So, sit around being smug about shoving a Marxist state, oh sorry magical heathcare, down the throat of a nation that doesn't want it.

You will especially enjoy the part about the federal government will have the right to access all your financial records and take money, or, maybe, the part about the ceiling on yearly health care or about the specially appointed doctors who can turn you off or the yearly appointment that seniors must attend so the government can assess whether to keep their care.  You will wake up in a few years, "Say, that's not right." Duh.  Maybe government end of life orders is a good idea.

The film doesn't mention illegal aliens will be covered while exempted from paying taxes or that Congress and federal employees will not be included in the plan. Or, that 16,000 new IRS agents are to be hired, but I could go on for a long time, so sit and enjoy your Marxist takeover from within.  By the way, the first people removed by tyrants are those who helped get them into power. This is the established pattern, if you had ever studied anything. I agree with Mao, they are "running dogs." Since they are activists and not acting out of any philosophy, they have to go.

If you are an employer, start planning to move your business to South America.  A good piece of advice for all is get that silver (they will confiscate the gold the way things are going) and bury it the yard.  I will be working on how to disappear either virtually or for real.

Oh, yeah.  I am just a conspiracy nut.



http://www.youtube.com/watch?v=HcBaSP31Be8

Happy Days Are Here Again.

Hi Boys and Girls.  I've been on the road for a day and had time to think how lucky we really are.  Here is a happy song for you.



I have no idea if this will appear on the blog, I know it won't appear in the email, so here is a link:

http://www.youtube.com/watch?v=LO2eh6f5Go0

A few highlights of the new "healthcare bill."

1.  16,000 new IRS agents will be hired (good for unemployment rate!) to track down those who don't have an "approved" plan.  [The CBO estimated the IRS would need $5 billion to $10 billion in the first decade to cover the costs of its expanded role. The IRS' annual budget is currently $11.5 billion.]

2.  Tax money will be used for killing a foetus, if you don't have insurance.  If you do have insurance, then the government it telling you that you have to pay for them out of your own money (I read this twice, I am not making this up. I figure it is a way to screw people with money while at the same time pretending to not fund abortion.) 

If you are upset by all this, your state can opt out, you know like NY, California, Illinois.  Oh yeah, or Obama can promise to make an Executive order that such money cannot be spent. It used to be Congress disbursed money, back in the days of the Constitution.

3.  The Executive branch will take control of lending money to students.  Students will also be required to do "community" service. (In brown shirts)

4.  Those who refuse to buy "affordable medical coverage" will be fined upward from $1,000.  This actually sounds attractive. Pay $1,000 and when you are sick, present yourself at the hospital.

5.  New taxes on insurance companies (they can't get away with that 3.3% profit margin).

6.  Even more taxes on better insurance plans. This will be repealed because the unions are upset by it, as they have better plans. It is already scheduled out in 2018 for implementation.

7.  Less Medicare:  $483 billion.  Not to worry, $436 will go to the new "health plan".  This way the government can claim they are saving money. (They actually do this).

8.  More Medicaid:  $395 billion.

Say, did you want to see something about health? Trial lawyer fees? Interstate coverage?  Don't be silly. There are people who still think Congress passed a bill about health care.


Remember:  Anybody but Murphy. No more dilettantes.

Remember 2:  Taxation without representation is tyranny.  See On Civil Disobedience.  It is time to consider the broad political theories involved now that our republic is coming to an end. Do you want to support a tyrant who takes your money and uses it to subjugate you, while he reprograms your children?  Think about it. The pusher needs the junkie.

If you pay your taxes because you are afraid, not because are happy to, it is time to resist. Otherwise, you are not free.  Of course, there are many who don't care as long as they get theirs.

 

Heap of observations

Observation on currency that is not from me so it is OK to read:

Fundamentals are all that matter!

I am always astounded when it comes to the price of Gold when people say it is going up in price! To some degree that is correct when considering supply demand of the asset for there are more buyers than there is supply. However the main reason for Gold's rise is because the currencies we measure the Gold price in are inflating or having there supply increased over the longer term.

Every currency on the planet today is fiat paper, it’s backed by nothing but faith in its issuing government. Central banks only job is to inflate these currencies, continue to print them until they collapse or fade into worthlessness, there simply is no other option for them. It is interesting that the average annual growth rate for major first-world currencies is on the order of 7% to 8% annually(according to grossly under reported government statistics). 

So for example let’s say every year, on average, there are 7% more US dollars inexistence than in the previous year. Meanwhile over history global gold supplies have only grown by a little more than 1% a year on average. At a 7% growth rate, it only takes 10 years for the US dollar supply to double. At a 1% growth rate, it takes a far-longer 70 years for global gold supplies to double. Over these same 70 years, at 7% compounded annually the US dollar supply will multiply by 114 times! 

And as you know, there is nothing more certain in financial markets than inflation of paper currencies, which I might add over the last few years is almost impossible to quantify now that certain government statistics have been removed. It is a sure bet. So history’s best and only surviving currency, gold, which cannot be inflated, has to grow in value relative to the US dollar or any other major fiat currency. There is just no doubt the relative scarcity of gold will force its price up in currency terms.

Until next time,

Simon Heapes

Lake Michigan in the Age of Global Warming

Things to come

From Irene.  The Globe and Mail:

Tavia Grant

Globe and Mail UpdatePublished on Monday, Mar. 15, 2010 12:33PM EDTLast updated on Monday, Mar. 15, 2010 7:17PM EDT

More global investors are jumping onto the Canadian bandwagon.

The Canadian dollar net long position – or bets the currency will increase further – jumped 60 per cent last week and is now the largest position held against the U.S. dollar, the Bank of Nova Scotia says, citing the most recent report from the Commodity Futures Trading Commission.

It's now the biggest net long Canadian dollar position since November, 2007, which is when the currency hit a modern-day high, says John Curran, senior vice-president of CanadianForex.

The loonie (CAD/USD-I0.98-0.003-0.26%) was little changed Monday, trading at 98.07 cents (U.S.). It passed 98 cents on Friday, hitting a 20-month high after stronger-than-expected jobs numbers, and some strategists say the currency will hit parity by summer. As investment newsletter writer Dennis Gartman wrote Monday, “let the ticking begin as parity and beyond looms.”

As of Friday, the currency had gained for 11 straight days, the longest streak in 23 years, according to Bloomberg, amid expectations of rising interest rates and commodity prices....

Get out of cash, now

from an article by Toby Connor, Run, Run Away, at Kitco.com



I think the dollar is probably about to get smacked in the face by reality again.

Notice that despite a very strong rally over the last 4 months, the dollar still has been unable to move above the prior intermediate cycle top and now appears to be failing at the downward sloping 200 week moving average.

If the dollar is now ready to move down into the next intermediate cycle bottom (and I think it probably is) it is going to put a strong tailwind behind all assets. Maybe tailwind is too mild of an adjective. It’s probably going to be a hurricane driving everything willy nilly before it.

{What that means, is commodities, etc., will go up - but its partly illusion as they go up because the dollar goes down. If you can't figure it out, get some silver.}

Feedback from Ray

Ray dropped in for a coffee at the Uncommon Grounds Saturday on his way to buy healthy produce.  

I have two items to publish here that came out of the discussion.

1.  The "Health Industry" that Mr. Obama is highlighting as a greedy bunch of profiteers is #86 in industry rank.  They make 3.3% profit. 

I recall reading, but this my memory talking, if you know what I mean, that 23% of the health industries' cost result from government regulation. You know, the government has to tell doctors what to do. For my part, I would never get involved in a business that has a history of a 3% profit (unless hired as a well paid suit.)

If we are going to destroy this business, we might as well go after the "Publishing Periodicals" business as they make 21.8%.  You know, Time, NYT, Washington Post.  Its about time the government took over the press and made sure we all get magazines every month.  The constitution is irrelevant, right?

Besides, its those publications that let Obama get away with lying.  Ray was actually miffed by the big profits being made on people's health. 

President Obama: There have been reports just over the last couple of days of insurance companies making record profits, right now," Obama said during a prime-time news conference. At a time wheneverybody's getting hammered, they're making record profits, and premiums are going up. What's the constraint on that? ... Well, part of the way is to make sure that there's some competition out there.

2.   Ray said he was annoyed that I hadn't mentioned that the drug companies were behind the Codex Alimentarius, the attempt of world government to control food.  I thought I did.  They are all for it. They get to sell you Vitamin C and stop you from buying things like nattokinase or L-Argenine to prevent strokes and improve your arteries. 

Monsanto wants the codex because they are upset that your garden may infect their genetically altered crops. Seriously. They will sue you if seeds wind up on your land and grow there.

Big Pharma, the UN, fascists, socialist, corporate farms, and morons (Senator McCain) all agree. So you know the Codex is a bad thing.  Buy seeds now and put them away.

I think most of what I say here falls upon deaf left ears, to use about the only descriptor that makes sense (I would say "yin"),  but everyone has to agree that we do not want Big Everyone telling us we can't grow our own corn or make dandelion tea. 

We are going that way, so you better vote everyone out. Perhaps, even our left-eared people can get a sense of what is bothering those on the right. Time to listen.

(Picture Hint:  Oliver Twist)

Gee, Maybe there is no plan

An item from a Canada Free Press article Greg sent me.  Just a little thing to keep in the back of your mind.  Also, keep it in your wallet, your car, and tapped to the refrigerator. Sooner or later, what is going on will become transparent.

Anatomy of Marx’s Creative Destruction

A. Socialist Revolution

At the very center of Marxism is the call for total “Revolution.” The book “Facts on Communism, Vol. I, The Communist Ideology” says, “the Marxist doctrine of the Socialist Revolution is the core of Communist ideology.” The main strategy for forcing Marxist revolution is fomenting crisis. While most Westerners recoil at the thought of a major economic collapse, knowing the resultant human pain and heartache, Marxists salivate at the possibility. Their theory teaches them capitalism must surely fail, and so they have plans ready for when this occurs, and they also design stratagems to make certain it does.

This little excerpt says it all. Westerners are oblivious and incredulous at Marxist theory. They were once oblivious to a band of Arab murderers with a history going back more than 1,000 years.

Bar Codes

Ray sent this along. I thought you may be interested.  When you go to buy something, the bar code tells you where it is from.

Don't see Mexico. Just a bit nervous about agricultural products.

As Irene says, this is the new me: short and punchy.


690-692 ... then it is MADE IN  CHINA
00 - 09 ...   USA   &  CANADA
30 - 37 ...   FRANCE
40 - 44 ...   GERMANY
47 ...  Taiwan
49 ... JAPAN50 ....   UK

Get that Canadian account

Time to be light on your feet.  

Things are going to get worse here and better in Canada.  Duh, aye?

Canadian dollar likely to trump US greenback: experts

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AFP/File – A Canadian dollar (loonie) and the US dollar. The Canadian dollar, or loonie as it is affectionately …

Wed Mar 10, 2:17 pm ET

OTTAWA (AFP) – The Canadian dollar, or loonie as it is affectionately called here, is likely to soar above parity with the US greenback this year, experts at a Canadian bank said Wednesday.

Canadian Imperial Bank of Canada (CIBC) chief economist Avery Shenfeld said the Canadian dollar had already gained several cents in recent weeks as the market firms up expectations of an interest rate hike in July.

If as expected, the central bank "is out in front of the US Federal Reserve by a couple of quarters" in raising interest rates, the Canadian dollar could reach 1.02 dollars versus the US dollar by September, before dipping back to 0.97 dollars by year end," Shenfeld said.

The Bank of Canada has maintained its key lending rate at a historic low of 0.25 percent since April 2009 to help bolster a fragile economic recovery, but is widely expected to review its position mid-year.

CIBC said other factors were also aligning to push up the value of Canada's currency such as increased demand for oil, minerals and fertilizers; resurgent capital markets; and global debt fears.

"If the capital markets finally get an appetite for M&A (mergers and acquisitions) then Canada could be one of the first places to see the benefit of foreign inflows," said CIBC analyst Zafar Bhatti.

Or "if the investing world starts looking for a place to park capital in the wake of deteriorating sovereign credits then Canada would look very attractive," Bhatti said in a report.

Since the beginning of the year, the Canadian dollar has appreciated 2.5 percent against the US dollar and more than seven percent against the euro.

The loonie last achieved parity with the US greenback in 2008, and previously hit a record 1.10 dollars in 2007.