Work Session Season 9 The Lawman-Master Merchant Tax Series Parts 1 & 2: Volume 2 Volume 2 Income Characterization and Non Taxable Events Replays 2/2/26 & 2/4/26 (Materials will be emailed within 72 hours)

The Lawman – Master Merchant Tax Series

Volume II — Income Characterization & Non-Taxable Events

What Is Income — And What Never Was

Most people do not pay taxes because they owe them.
They pay because they misclassified money that was never income to begin with.

Volume II dismantles one of the most dangerous errors in the tax system: treating every receipt as taxable income. This volume teaches you how the law actually defines income, how character controls taxability, and why many common transactions are excluded from income entirely — not deferred, not postponed, not reduced, but never taxable at all.

This is not tax avoidance theory.
This is statutory income law.

Inside this volume, you will learn how to properly distinguish between:

• Income vs. non-income

• Exclusions vs. non-recognition vs. deferral

• Ownership vs. possession

• Gain vs. movement of funds

• Taxable events vs. neutral transactions

You will see why:

• Loans are not income

• Gifts and inheritances are excluded

• Trust receipts are often misclassified

• Reimbursements do not create gain

• Fiduciary handling is not personal enrichment

And most importantly, you will learn how misusing deferral when exclusion applies creates future tax exposure where none should exist.

Core Focus Areas:

• The legal definition of income under constitutional and statutory law

• The “accession to wealth” test and why all three elements must exist

• Characterization of receipts before any reporting decision is made

• Common IRS and preparer misclassifications that create false liability

• How exclusions permanently remove transactions from taxation

• Why timing rules only apply after income exists

• How incorrect characterization becomes an admission against interest

Who This Volume Is For:

• Individuals questioning whether money they received was ever taxable

• Trustees, fiduciaries, and administrators handling funds for others

• Business owners and self-directed earners

• Anyone operating through trusts, estates, or structured entities

• Those who already understand filing ≠ liability and are ready to go deeper

What This Volume Gives You:

• The ability to analyze income before reporting

• The clarity to deny income where the law never created it

• The framework to avoid conceding taxable status through error

• The knowledge to stop creating future exposure through misclassification

Volume I determines whether the law reaches you.
Volume II determines whether what you received was ever taxable.

If income does not legally exist, taxation fails with it.

Instructor: Eric Ingram Bey
Presented by: In God We Trust Academy