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Related: Editorials & Other Articles, Issue Forums, Alliance Forums, Region ForumsWhat's inside the Treasury's proposal to track nearly all bank accounts
As part of President Joe Biden's plan to crack down on tax evasion by the wealthy, one proposal has proved incendiary: A plan to require banks to report to the Internal Revenue Service several new pieces of information from U.S. bank accounts. It has drawn condemnation from the finance industry and some lawmakers, while stoking fears among ordinary Americans that the government plans to monitor their day-to-day spending.
Under a Treasury proposal issued in May as part of the agency's budget request, banks would be required to note how much money went into and out of an account, excluding any account with less than $600 in flows annually or whose balance is under $600. Individual transactions won't be listed, and officials have said it will not lead to more audits of middle-income Americans.
Despite this, the proposal is still the subject of heated negotiation in Congress. Here's what's included in the plan and what's not.
Totals, not transactions
The Treasury proposal would have banks report "gross inflows and outflows with a breakdown for physical cash, transactions with a foreign account, and transfers to and from another account with the same owner." Banks already report interest income over $10 on Form 1099-INT; this proposal would add a few lines to that tax document.
https://www.msn.com/en-us/money/companies/whats-inside-the-treasurys-proposal-to-track-nearly-all-bank-accounts/ar-AAPu3FY
hlthe2b
(102,269 posts)I don't. Not for small dollar non-commercial accounts. More ability for IRS to go after the poor, who can't afford the accountants or others to defend them against errors or garnished accounts.
Sneederbunk
(14,290 posts)SWBTATTReg
(22,124 posts)language such as
"It prohibits unreasonable searches and seizures. In addition, it sets requirements for issuing warrants: warrants must be issued by a judge or magistrate, justified by probable cause, supported by oath or affirmation, and must particularly describe the place to be searched and the persons or things to be seized."
And with the times being that they are, this data could be seized by hackers in some manner (depending on how it is protected, etc.) and perhaps manipulated...is this part of a slippery slope process here that we are embarking on, w/ this Treasury Dept. proposal?
Sur Zobra
(3,428 posts)The IRS needs to audit the top 10% of rich people, and leave the rest of us alone. Sheesh
WHITT
(2,868 posts)commercial transactions on Square, Venmo, PayPal, and Zelle, and total amount of deposits and withdrawals from most BUSINESS bank accounts.
Treasury says they would not be tracking individual withdrawals, deposits or transactions in bank accounts, or individual transactions or payments made on cash apps.
Hekate
(90,683 posts)with transfers and withdrawals. Part of Homeland Security to this day
tritsofme
(17,377 posts)I know we are desperate for pay-fors, but they should find a less politically toxic offset than this.
Celerity
(43,356 posts)dalton99a
(81,486 posts)Kill it dead. ASAP.
Tribetime
(4,696 posts)lagomorph777
(30,613 posts)EndlessWire
(6,526 posts)They're gonna be tracking Social Security deposits. This is a bad idea. Let this go, and go after the filthy rich 1%rs. I mean, this is stupid. They wanna track the money I use to go after Tortuga Rum Cakes? Pet food? Mac n Cheese? Yeah, I know it's the total, but my totals don't mean squat to them. Why bother? Don't kid yourself, this is bad news.
I'm an American. I don't need to have my money TRACED. Privacy is inherent in my pursuit of happiness. Holding me up by my shorty shorts isn't becoming of our government.
roamer65
(36,745 posts)Maybe even $5M.
Then they will have the majority of Americans with them.
The problem is the threshold is WAY TOO LOW.