United States v. Terrence Dean Oaks

Terrence Dean Oaks appeals from a conviction for willfully failing to file an income tax return for 1971 and willfully supplying a false withholding certificate in violation of 26 U.S.C. §§ 7203 , 7205. We remand for an evidentiary hearing.

Oaks failed to file an income tax return for 1971 despite earnings of $7,890.24. On July 13, 1971, Oaks filed a withholding exemption certificate with his employer claiming 15 dependents even though he had,' as he later admitted, no such number of dependents.

Oaks attempted to justify his failure to comply with the revenue laws on the basis of an elaborate monetary theory. He allegedly believed that he had not earned “dollars,” since “dollars,” under the Constitution and certain Supreme Court decisions, could only mean paper currency fully redeemable in gold or silver.

Oaks sought to publicize his theory in the political arena. From February until June of 1972, he ran, unsuccessfully, in the Republican primary for the Fourth District of the California State Assembly. His platform was based on the issue of legal tender. He received publicity in the Los Angeles Times by paying his filing fee with 384 silver half-dollars.

Oaks…