The IRS claimed that I owed $1, 343.707.29 for the year 2004. I could hardly believe what was I was reading when I first got the notice in 2005 mailed from Austin, Texas. I decided to play with their stupidity and use the high figure in the press to draw attention to the inequities of DOMA and a proposed Constitutional Amendment.
About the high figure. They added up my gross sales from stocks and deducted no losses. That was the basis of their claim. I realized the IRS were being inept in their figures but decided to play along and protest paying taxes due to President Bush being homophobic President Bush. I told the IRS I would pay my taxes once the government repealed DOMA. The high figure owed drew attention of the media, “Oh Money” and I was written up in the NY Post, Tax Notes, and multiple LGBT media throughout the USA including conservative World Net Daily (they were interested) and FOX News.
I continued the protest until this day, having my day in court, the case going before a panel of judges at the U.S. Tax Court in D.C. claiming I did indeed owe the $1,343,707.29. I kept hammering away that I had losses that would offset these gains but still refused to file (a misdemeanor).
Finally I sent a 1099 financial statement for 2004 to the IRS of losses put out by my brokerage company. They had the 1099 but didn't look at it when they computed what I owed for 2004. They corrected the million dollar figure and now they claim what I owe is less than $28,000. I want not to pay that but as I am old with only a limited more time to live, I don't want them to attach my estate when I die. Not fair to my heirs so I will write the IRS a check..
The salaries they paid the judges and the IRS lawyers to pursue me must have cost the government millions of dollars at the least.
Why didn't they deduct the losses from my gross sales? They had the 1099 form from the brokerage account back in 2005. Bureaucracy at it's best.