Arizona Committee Passes Bill To Support Sound Money
February 2, 2017
By Mike Maharrey
An Arizona bill that would eliminate state capital gains taxes on gold and silver specie, and encourage its use as currency, passed an important House committee today. Final approval of the legislation would help undermine the Federal Reserve’s monopoly on money.
Rep. Mark Finchem (R-Tucson) introduced House Bill 2014 (HB2014) on Jan. 9. The legislation would eliminate state capital gains taxes on income “derived from the exchange of one kind of legal tender for another kind of legal tender.” The bill defines legal tender as “a medium of exchange, including specie, that is authorized by the United States Constitution or Congress for the payment of debts, public charges, taxes and dues.” “Specie” means coins having precious metal content.
In effect, passage of the bill would “legalize the Constitution” by treating gold and silver specie as money.
HB2014 passed the House Ways and Means Committee by a 5-0 vote, with four members abstaining.
Under current Arizona law, gold and silver are subject to capital gains tax when exchanged for Federal Reserve notes, or when used in barter transactions. If the purchasing power of the Federal Reserve note has decreased due to inflation, the metals’ nominal dollar value generally rises and that triggers a “gain.” In most cases, of course, the capital gain is purely fictional. But these “gains” are still taxed — thus unfairly punishing people using precious metals as money.
Passage into law would mark an important step towards currency competition. If sound money gains a foothold in the marketplace against Federal Reserve notes, the people would be able to choose the time-tested stability of gold and silver over the central bank’s rapidly-depreciating paper currency. The freedom of choice expanded by HB2014 would allow Arizona residents to secure the purchasing power of their money.
“This isn’t going to end the fed’s monetary monopoly overnight, but it sets the foundation and opens the door for more market activity by the people,” Tenth Amendment Center executive director Michael Boldin said. “This is an important part of the overall strategy, and activists in Arizona should continue working to get both bills passed.”
But the United States Constitution states in Article I, Section 10, “No State shall…make any Thing but gold and silver Coin a Tender in Payment of Debts.”
The Arizona bills take a step towards that constitutional requirement, ignored for decades in every state. Such a tactic would undermine the monopoly or the Federal Reserve by introducing competition into the monetary system.
Professor William Greene is an expert on constitutional tender and said when people in multiple states actually start using gold and silver instead of Federal Reserve Notes, it would effectively nullify the Federal Reserve and end the federal government’s monopoly on money.
http://www.activistpost.com/2017/02/arizona-committee-passes-bill-support-sound-money.html
February 2, 2017
By Mike Maharrey
An Arizona bill that would eliminate state capital gains taxes on gold and silver specie, and encourage its use as currency, passed an important House committee today. Final approval of the legislation would help undermine the Federal Reserve’s monopoly on money.
Rep. Mark Finchem (R-Tucson) introduced House Bill 2014 (HB2014) on Jan. 9. The legislation would eliminate state capital gains taxes on income “derived from the exchange of one kind of legal tender for another kind of legal tender.” The bill defines legal tender as “a medium of exchange, including specie, that is authorized by the United States Constitution or Congress for the payment of debts, public charges, taxes and dues.” “Specie” means coins having precious metal content.
In effect, passage of the bill would “legalize the Constitution” by treating gold and silver specie as money.
HB2014 passed the House Ways and Means Committee by a 5-0 vote, with four members abstaining.
Under current Arizona law, gold and silver are subject to capital gains tax when exchanged for Federal Reserve notes, or when used in barter transactions. If the purchasing power of the Federal Reserve note has decreased due to inflation, the metals’ nominal dollar value generally rises and that triggers a “gain.” In most cases, of course, the capital gain is purely fictional. But these “gains” are still taxed — thus unfairly punishing people using precious metals as money.
A STEP FORWARD
Passage of HB2014 would allow Arizonans to deduct the amount of any net capital gain derived from the exchange of one kind of legal tender for another kind of legal tender or specie (gold and silver coins) from their gross income on their state income tax. In other words, individuals buying gold or silver bullion, or utilizing gold and silver in a transaction, would no longer be subject to state taxes on the exchange.Passage into law would mark an important step towards currency competition. If sound money gains a foothold in the marketplace against Federal Reserve notes, the people would be able to choose the time-tested stability of gold and silver over the central bank’s rapidly-depreciating paper currency. The freedom of choice expanded by HB2014 would allow Arizona residents to secure the purchasing power of their money.
“This isn’t going to end the fed’s monetary monopoly overnight, but it sets the foundation and opens the door for more market activity by the people,” Tenth Amendment Center executive director Michael Boldin said. “This is an important part of the overall strategy, and activists in Arizona should continue working to get both bills passed.”
BACKGROUND INFORMATION
Currently, all debts and taxes in Arizona must be paid with either Federal Reserve Notes (dollars), authorized as legal tender by Congress, or with coins issued by the U.S. Treasury — very few of which have gold or silver in them.But the United States Constitution states in Article I, Section 10, “No State shall…make any Thing but gold and silver Coin a Tender in Payment of Debts.”
The Arizona bills take a step towards that constitutional requirement, ignored for decades in every state. Such a tactic would undermine the monopoly or the Federal Reserve by introducing competition into the monetary system.
Professor William Greene is an expert on constitutional tender and said when people in multiple states actually start using gold and silver instead of Federal Reserve Notes, it would effectively nullify the Federal Reserve and end the federal government’s monopoly on money.
Once things get to that point, Federal Reserve notes would become largely unwanted and irrelevant for ordinary people. Nullifying the Fed on a state by state level is what will get us there.Over time, as residents of the state use both Federal Reserve notes and silver and gold coins, the fact that the coins hold their value more than Federal Reserve notes do will lead to a “reverse Gresham’s Law” effect, where good money (gold and silver coins) will drive out bad money (Federal Reserve notes). As this happens, a cascade of events can begin to occur, including the flow of real wealth toward the state’s treasury, an influx of banking business from outside of the state – as people in other states carry out their desire to bank with sound money – and an eventual outcry against the use of Federal Reserve notes for any transactions.
UP NEXT
HB2014 now moves to the House Rules Committee where it must pass by a majority vote before moving forward in the legislative process.http://www.activistpost.com/2017/02/arizona-committee-passes-bill-support-sound-money.html
Today at 7:59 am by Rocky
» utube 5/18/24 MM&C Iraq Dinar - Iraq Central Bank - IMF - UNAMI - World Bank - Key Votes Tabled -
Today at 7:58 am by Rocky
» Calls to include local oil and electricity sales in the general budget
Today at 7:50 am by Rocky
» Al Rasheed Bank issues instructions to facilitate the issuance of replacement cards for bank card ho
Today at 7:47 am by Rocky
» Internal debt rises to 79 trillion in 2024.. What is the relationship between spending and loans?
Today at 7:44 am by Rocky
» More than one billion dollars in sales from the Central Bank of Iraq within a week
Today at 7:42 am by Rocky
» Members of Parliament head to the Great Hall to initiate procedures for electing the president
Today at 7:38 am by Rocky
» The House of Representatives concludes the report and discussion of the draft law on public holidays
Today at 7:37 am by Rocky
» The House of Representatives votes to extend its legislative term for 30 days
Today at 7:36 am by Rocky
» A Canadian company is “unable” to dismiss its director authorized to protect Baghdad Airport: Iraq i
Today at 7:34 am by Rocky
» Economic Institution: The value of China's exports to Iraq increased by 93% in 10 years
Today at 7:31 am by Rocky
» The Presidency of Parliament decided to devote today’s session to electing the president only
Today at 7:29 am by Rocky
» In the presence of 183 deputies...the House of Representatives holds its session
Today at 7:28 am by Rocky
» Al-Kadhimi hints at the possibility of postponing the session to elect the Speaker of Parliament
Today at 5:09 am by Rocky
» The regional government announces the payment of employees' salaries via “My Account”
Today at 5:07 am by Rocky
» The Minister of Transport reviews the details of the development road and Al-Faw Grand Port projects
Today at 5:05 am by Rocky
» Istanbul will host expanded Turkish/Arab economic meetings at the beginning of next month
Today at 5:03 am by Rocky
» Customs sets the date for collecting tax amounts electronically and sets a condition
Today at 5:02 am by Rocky
» Sudanese agrees to support pilgrims with an amount of 39 billion dinars to reduce the cost of Hajj
Today at 5:00 am by Rocky
» The Sudanese advisor clarifies the discussion of budget schedules in the extraordinary session of th
Today at 4:59 am by Rocky
» Most of the framework and the Kurdistan Democratic Party will vote for Al-Mashhadani as Speaker of P
Today at 4:55 am by Rocky
» A deputy considers the movement of Turkish forces inside Iraqi territory an occupation
Today at 4:53 am by Rocky
» Directing the Ministry of Finance to spend drug law implementation budgets
Today at 4:52 am by Rocky
» A parliamentary movement to resolve the fate of holding private wards
Today at 4:51 am by Rocky
» A member of a legal movement calling for accelerating the amendment of Article 57
Today at 4:49 am by Rocky
» A parliamentary effort to gain ownership of the trespassers and slum owners
Today at 4:48 am by Rocky
» There is a consensus on deciding the presidency of Parliament today, and the balance is tilted towar
Today at 4:47 am by Rocky
» The price of the dollar is witnessing a slight increase in Baghdad, Basra and Erbil
Today at 4:46 am by Rocky
» Behind the scenes of electronic blackmail in Iraq... “A good hacker,” “blackmailing spouses,” and se
Today at 4:44 am by Rocky
» The coordination framework supports Al-Sadr: We will pass the “Eid Al-Ghadir” holiday today
Today at 4:42 am by Rocky
» The session to elect the Speaker of Parliament... intense meetings and fears of its failure due to “
Today at 4:41 am by Rocky
» People with chronic diseases...a government statistic regarding the number of applicants for social
Today at 4:39 am by Rocky
» The Sudanese advisor issues a clarification regarding the discussion of budget schedules in an extra
Today at 4:38 am by Rocky
» Russia is at the top, and this is Iraq's rank... a list of countries that buy most real estate in Tü
Today at 4:37 am by Rocky
» The opening of the first aviation, space and artificial intelligence institution in Baghdad
Today at 4:33 am by Rocky
» Iraq digs 30 meters under the sea and completes the Al-Faw docks in 5 months...a fixed date with the
Today at 4:32 am by Rocky
» Al-Allaq announces the success of the electronic transfer platform in combating money laundering
Today at 4:31 am by Rocky
» Al-Saadawi directs the disbursement of 1.5 million dinars to each private transport employee who con
Today at 4:29 am by Rocky
» Minister of Commerce from Silo Makhmour: The quantities of wheat marketed have reached two million t
Today at 4:28 am by Rocky
» Hours after choosing Al-Halbousi's successor... Al-Mashhadani sends a message to the Iraqis
Today at 4:27 am by Rocky
» How do we wash the “dirty Baghdad dollar”? A clearer picture of 1,000 Iraqi methods for money launde
Today at 4:25 am by Rocky
» Transport is launching a new mechanism to pay bus tickets via phone soon
Today at 4:24 am by Rocky
» Baghdad Summit 2025.. Iraq reunites its brothers around the table of dialogue and common interests
Today at 4:23 am by Rocky
» Bangladesh is ahead of it... Iraq’s classification in the Arab world and internationally by the qual
Today at 4:19 am by Rocky
» Today...the House of Representatives is scheduled for a “fateful” session
Today at 4:17 am by Rocky
» The General Secretariat denies that the Fine platform was exposed to electronic hacking
Today at 4:15 am by Rocky
» Transport reveals the completion rates in the Al-Faw Port and Development Road projects
Today at 4:12 am by Rocky
» Mayor of the Capital: The Baghdad Metro project will be implemented this year by a solid investment
Yesterday at 2:28 pm by Rocky
» A reading of the financial and monetary policies of the International Monetary Fund report - May 202
Yesterday at 2:27 pm by Rocky
» Floating the Iraqi dinar A solution to fill the "gap" of its turbulent price against the dollar
Yesterday at 9:22 am by wciappetta
» utube MM&C 5/14/24 Iraq Dinar - IQD Update - UN Chapter VII - $3 Billion Revenue - Trade Minister -
Yesterday at 7:39 am by Rocky
» Iraq announces the payment of the last installment of the International Monetary Fund loan
Yesterday at 6:48 am by Rocky
» The International Monetary Fund calls on Iraq to cancel the appointments and correct the course of n
Yesterday at 6:46 am by Rocky
» For the first time after Iraq joined the Bank’s membership: The Minister of Finance participates in
Yesterday at 6:43 am by Rocky
» A delegation from the Retirement Authority discusses with the World Bank reform of the retirement sy
Yesterday at 6:41 am by Rocky
» Istanbul.. Iraq is discussing with the World Bank reform of the country’s retirement system
Yesterday at 6:40 am by Rocky
» The President of the Republic stresses the importance of coordination between Iraq and Kuwait on reg
Yesterday at 6:37 am by Rocky
» Among them are Russia and China... Members of the Security Council support ending the mission of the
Yesterday at 6:36 am by Rocky
» The full statement of Iraq’s welcome of the Arab League’s decision to hold the Baghdad Summit in 202
Yesterday at 6:35 am by Rocky
» Parliamentary expectations of electing a new Speaker of Parliament and extending the work of the Ele
Yesterday at 6:32 am by Rocky
» Transparency website: Sulaymaniyah and Halabja imports amounted to about 11 billion dinars last week
Yesterday at 6:31 am by Rocky
» The Hajj Authority begins disbursing dollars to pilgrims via the electronic platform
Yesterday at 5:27 am by Rocky
» Oil announces the expansion of installing gas networks and proceeding with the import of plastic gas
Yesterday at 5:24 am by Rocky
» Politician: Al-Mashhadani is closest to the presidency of the House of Representatives
Yesterday at 5:23 am by Rocky
» Al-Ittihad: The delay in the localization of salaries has had a negative impact on the citizens of K
Yesterday at 5:21 am by Rocky
» A new maneuver for the region regarding the salaries of its employees...these are its details
Yesterday at 5:20 am by Rocky
» The Parliamentary Energy Committee determines its position on the new oil coupons
Yesterday at 5:19 am by Rocky
» Washington: We are communicating with officials in Baghdad, Ankara, and Erbil to resume Kurdistan oi
Yesterday at 5:16 am by Rocky
» In agreement with international companies, the first tourist flight was launched from Kirkuk Airport
Yesterday at 5:15 am by Rocky
» Al-Allaq announces the success of the electronic transfer platform in combating money laundering
Yesterday at 5:13 am by Rocky
» The Chinese dragon applies to Iraqi oil... Where is Iran in this equation?
Yesterday at 5:12 am by Rocky
» Sudanese advisor announces full repayment of IMF loans
Yesterday at 5:11 am by Rocky
» Al-Sudani reiterates: Iraq is heading towards expanding petrochemical projects
Yesterday at 5:10 am by Rocky
» The Monetary Fund: “Internal stability has improved since the new government took office in October
Yesterday at 5:09 am by Rocky
» Washington clarifies its position on stopping Kurdistan oil exports through Türkiye
Yesterday at 5:08 am by Rocky
» The Minister of Labor directs to increase electronic payment (POS) devices
Yesterday at 5:05 am by Rocky
» After the worsening crisis of “carrying vehicles” at the entrances to the governorates, the Minister
Yesterday at 5:03 am by Rocky
» The Hajj Authority begins disbursing dollars to pilgrims via the electronic platform
Yesterday at 5:02 am by Rocky
» Iraq reaches its “peak”... Parliamentary legal opinion opens the file of job laxity and confirms: it
Yesterday at 5:01 am by Rocky
» The framework is awkward between Al-Mashhadani and Al-Issawi... and he sees his salvation in the “th
Yesterday at 5:00 am by Rocky
» Al-Sudani directs the formation of a technical team to follow up on the procedures for implementing
Yesterday at 4:58 am by Rocky
» Kurdistan outlets confirm their commitment to Baghdad’s controls, but: 70% of the outlets are “outsi
Yesterday at 4:57 am by Rocky
» In numbers... budget tables paralyze investment allocations to governorates
Yesterday at 4:55 am by Rocky
» The Minister of Transport reveals the completion rates of rail and land connectivity plans for the d
Yesterday at 4:53 am by Rocky
» He confirmed that the memorandums of understanding signed with Washington are being implemented on t
Yesterday at 4:52 am by Rocky
» The Minister of Planning and the World Bank discuss supporting Iraq's policies to reduce dependence
Yesterday at 4:50 am by Rocky
» Bahaa Al-Araji: They killed Umm Fahd with foreign will, and Al-Mashhadani’s nomination targets Al-Su
Yesterday at 4:49 am by Rocky
» American official: When I see the oil industry in Kurdistan, I think of Oklahoma
Yesterday at 4:48 am by Rocky
» Mishaan Al-Jubouri’s leaks to the session: Al-Maliki needs Al-Mashhadani to restrain Al-Sudani and h
Yesterday at 4:47 am by Rocky
» Safia Al-Suhail supervises the integrity judge’s signing of a memorandum of understanding with the S
Yesterday at 4:46 am by Rocky
» Deputy: The budget is political, not technical, and we do not rule out obstructing it to resolve the
Yesterday at 4:45 am by Rocky
» New American positions towards resuming the export of Kurdistan oil... and foreign companies set a c
Yesterday at 4:42 am by Rocky
» With the ongoing controversy... Is Iraq responsible for smuggling weapons into Jordan?
Yesterday at 4:40 am by Rocky
» Not only to elect the president.. Why is tomorrow’s parliament session exceptional?
Yesterday at 4:38 am by Rocky
» Large spread of foreigners in optical markets
Yesterday at 4:37 am by Rocky
» Labor takes measures to address the foreign worker file
Yesterday at 4:35 am by Rocky
» Communications is looking with Amazon to create a data center to provide Internet content to Iraq
Yesterday at 4:34 am by Rocky
» Al-Sudani reiterates Iraq's move towards expanding petrochemical projects
Yesterday at 4:32 am by Rocky
» Plasschaert: We are witnessing a rising Iraq in the fields of service provision and reconstruction
Yesterday at 4:31 am by Rocky