We've checked this out. The message below from Dick Simkanin, President of Arrow Plastics pretty much says it all. If you go to their website, hit OPPORTUNITIES to read the company policy on withholding tax from it's employees. We copied and pasted the section after Mr. Simkanin's message.
What miracles could happen if more and more private businesses took their lead from people like this?
May the Hosts of our Heavenly Father/Creator watch over, protect and enrich their lives.
From: "Buz W"
Subject: Fwd: Arrow Plastics stops withholding
FYI, Arrow Custom Plastics is located in Dallas Texas. Their web page is
From Eric and Elayne:
That is Arrow Custom Plastics
800-373-1892; 817-540-1892 METRO Dallas/FtWorth
Dick Simkanin - President; I spoke with him today. Nice fella.
From: "Dick Simkanin" <Dick@arrowplastics.com>
[Brackets mine - for clarification, Annette]
As planned, starting the first of the year, Arrow Plastics stopped all withholding from its' 45 employees. A few of the people are upset because they now have to take responsibility to pay a tax that they have determined they are responsible for.
Two employees actually quit because of the new tax posture Arrow has taken. The rest have taken a wait and see attitude. About half have said that they would not file this year based on the education they have been given by the company.
NOTICE I said EDUCATION not ADVICE. On January 31,
we filed corrected and amended W-2s, 941s 940s and 1099s for the past
three years. This involved $2,954,607.00 in remuneration.
We hired four new people in January. We told them we did not need
their SS# nor did we require a W4 from them. Needless to
say they were delighted, after I gave them an explanation as to why
we didn't need this information.
And that reason is basically this:
Arrow does not have the authority nor the police power to determine if they [the people who work for them] are or are not responsible for any tax what-so-ever.
Also Arrow has determined that it is not an agent for any
government agency, including the IRS. In the past, Arrow has acted
as an agent, FREE of CHARGE, for the IRS and mandatorily collected
money from every employee and passed it along to the IRS. Arrow
has determined that this could be construed a conspiracy with the IRS
to defraud the people that work for Arrow and Arrow no longer wished
to participate in such an activity. BTW 90% prayer and
10% consultation went into this decision.
Remember, "....for evil to prevail, all it takes is for good men to do nothing." - Edmund Burke.
Cut and pasted from Arrow Plastics web site. Check it out.
Arrow Custom Plastics is a unique company. It holds to the belief that in a free country, people should be free to pursue the opportunities of their choice. The company also believes that its employees should receive 100% of their compensation. Therefore, the company does not deduct anything from employee pay checks.
Since Arrow Custom Plastics is a private domestic company, it is not required to report any information to the federal government, including the IRS. For further information on this subject please refer to Otto Skinners books: The Best Kept Secret , The Biggest Tax Loophole of All, and The Defendant, www.OttoSkinner.com. Or visit the web site www.edrivera.com and www.taxgate.com. Other sites of interest that provide good information are www.givemeliberty.org and www.devvy.com.
Do not take the word of anyone concerning what you can or cannot do. Study the law for yourself and draw your own conclusions. In other words, understand yourself what the law says and what you are about to do before you do it. The internet is a great source for all that knowledge but, remember, there's a lot of miss-information out there as well.