$505 TO APPEAL U.S. DISTRICT COURT DECISION

Civil Action No. H-13-1226 will not be appealed.  Cost is a factor, however, after further research I have concluded that the federal district court may not be the best or proper court.

The best or proper court is most likely the U.S. Tax Court or U.S. Court of Federal Claims.  The U.S. District Court has refused to exercise it's subject matter jurisdictional powers in this tax matter.  The reasoning is Wisconsin Department of Revenue adjusted the taxpayers state and federal income tax returns and not the Internal Revenue Service, a federal agency.

The taxpayers were not charged with tax evasion by the federal government and the federal government has made no attempt to collect on the state's conviction of $650,000 dollars of unreported income.  Although federal law does require that a taxpayer be given notice and hearing before conviction the state has the right in it's legal system to ignore federal laws.