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Matrix

Doctrine Unsupported

The movement claim that 'resident' in IRC § 7701(b) means a federal functionary rather than a person physically dwelling in the United States is unsupported

A recurring move in alternate-tax theory reads 'resident' in 26 U.S.C. § 7701(b) as a functionary term — by analogy to 'resident physician,' 'resident agent,' or 'resident commissioner' — and treats 'resident alien' as a foreign national in U.S. employment or office rather than someone physically present in the country. The reading has no support in IRC text (the substantial-presence test counts days, not duties), no support in cross-domain legal usage (federal civil procedure, state taxation, voter eligibility, family-law residency requirements all use the dwelling sense), and no support in the etymology the reading invokes (the functionary uses of 'resident' historically *preserve* the dwelling sense rather than departing from it — early-15c ecclesiastical 'resident' clergy were precisely those who actually lived at the benefice). The claim's premises do not survive contact with the textual sources it claims to draw from.

6 min read May 10, 2026
Doctrine Unsupported

The movement claim that ordinary Americans living in the fifty states are 'nonresident aliens' for IRC purposes is unsupported

A central conclusion of *The Federal Zone* and its derivative texts is that ordinary U.S. citizens living in the fifty states are 'nonresident aliens' for IRC purposes — taxable, on the argument's account, only on U.S.-source / effectively-connected income under § 871, rather than on worldwide income under § 1. The IRC's own definition of 'nonresident alien' at 26 U.S.C. § 7701(b)(1)(B) closes the cell against U.S. citizens by express conjunctive text: an individual is a nonresident alien only if 'such individual is neither a citizen of the United States nor a resident of the United States.' Both negatives are required. A U.S. citizen necessarily fails the first. The accompanying regulation — 26 CFR § 1.1-1(b), 'all citizens of the United States, wherever resident...are liable to the income taxes' — confirms the worldwide-tax rule. The claim has no support in the operative statutory text.

4 min read May 10, 2026

The Citizen/Alien × Resident/Nonresident Matrix

The IRC distinguishes individual taxpayers along two axes: U.S. citizenship (citizen vs. alien) and U.S. residence (resident vs. nonresident). The four resulting cells map onto real Code sections with distinct tax bases — citizens and resident aliens taxed worldwide under § 1, nonresident aliens taxed on U.S.-source / effectively-connected income under § 871. The Matrix is real; what the alternate-tax movement adds — moving U.S. citizens in the fifty states into the nonresident-alien cell — is not in the Matrix.

Jan 1, 0001