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Thread: Proposed legislation banks must report $600.00 transactions to fed?

  1. #1

    Proposed legislation banks must report $600.00 transactions to fed?

    I was listening to Timcast IRL last night and he mentioned this in passing.

    Has anybody heard of this?

    Here's a link to the show, it was mentioned in the first half.

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  3. #2
    It's meant to milk every dime from the self-employed...

    Simply put, the American Families Plan calls for banks and other financial institutions to report more than just a taxpayer’s interest earned, capital gains and losses. Banks and other financial institutions would also be required to report “aggregate account outflows and inflows.” In other words, the IRS will know about all of your bank accounts, whether you earned income on that account or not, how much is in the account in a given year, and how much was transferred in and out of the account. It is unclear how this would work, but what is clear is that this new reporting obligation will create a massive compliance effort on the part of financial institutions, and eliminate a massive blindspot that the IRS is currently enduring.

    As things stand today, most taxpayers don’t have an obligation to report how much money they have in their bank accounts, how much they deposited, or how much they withdrew. Self-employed taxpayers who - like all Americans - self-report their income and deductions to the IRS are on the honor system. W-2 Wage earners, on the other hand, have their amount of wages reported to the IRS on their behalf. The IRS’s lack of information about the balance of the business bank account, how much was deposited, and how much was withdrawn allows the self-employed taxpayer to lie (or make an honest mistake) about gross receipts or gross revenue. For some self-employed taxpayers, this temptation is hard to resist. Cheating on taxes by taking outlandish deductions is likely to end up in an IRS audit, but under-reporting revenue is harder to track or identify. By requiring banks to report highest balances and aggregate deposits and withdrawals, the American Families Plan will effectively close off the option of underreporting gross receipts or revenues for businesses and self-employed taxpayers.

  4. #3
    Biden proposal would give the IRS access to your bank account

    Tax law and federal budgets are inherently boring things, so it comes as no surprise that language is often slipped into those bills that would otherwise cause outrage if proposed individually. Like giving the IRS access to your personal and business bank account.

    The Biden Administration’s 2022 budget proposal — which claims to advance “equity across government” — included a provision that generally slipped under the radar, but would impose onerous new reporting requirements on community banks and raises privacy questions.

    The Independent Community Bankers Association reports that the proposal would require financial institutions to report information on customer bank accounts to the IRS.

    Currently, banks are only required to report deposits of $10,000 or more, however, the proposal would require banks and other financial institutions to report to the IRS on the deposits and withdrawals of all business and personal accounts with a balance of more than $600.

    The Kansas Bankers Association objected strongly to the proposed requirement and said flatly that they stand in opposition.

    “The new reporting requirements would raise questions about customers’ right to privacy, create unnecessary and expensive burdens for banks and raise the cost of tax preparation for small businesses,” President & CEO Doug Wareham said in a statement. “While all banks would be affected, small community banks with limited internal resources will be especially burdened by this new requirement. The new requirements will require a massive and expensive compliance effort to track and report inflows and outflows on all bank products.”

    ICBA — and 44 other community bank associations — have more or less gone to war over this issue sending out a fact sheet and hearing statement, a Minority Bank Advisory Council letter to congressional leaders, a joint letter with 44 state community banking associations, and thousands of grassroots messages from community banks.

    Among the issues raised, ICBA says mandating new, broad bank account reporting to the IRS would infringe on the privacy of bank customers, push more people away from a banking relationship and overload the IRS with more personal information about American citizens than it can possibly process or keep safe from a data hack.

    ICBA also noted the requirements would likely push minority communities and poorer customers away from the banking system.

    “The unbanked often fall prey to non-bank lenders and check cashers, incurring exorbitant interest rates and fees,” their fact sheet reads. “They jeopardize their personal security by carrying cash. In many American communities, there is a high level of distrust of government in general and the IRS in particular.

    “These include certain marginalized communities as well as those recently arrived from authoritarian regimes that spy on their citizens.

    “This distrust is a primary reason why too many Americans opt-out of the banking system. Indiscriminate sharing of financial account data with the IRS will only increase the challenge of reducing the unbanked population and will likely drive many of those currently in the banking system to leave.”

    Moreover, the proposal would force banks to issue 1099 forms for every bank account a customer has, which would have to be filed with taxes, regardless of whether or not it has any bearing on actual income.

    The ostensible reason for the proposal is to close the so-called “tax gap” wherein the government claims it is collecting around $500 to $600 billion less in taxes than is actually owed.

    However, ICBA notes that adding more data to the equation won’t actually fix anything.

    “The IRS already collects more data than it can process, including data reported under the Foreign Accounts Tax Compliance Act (FATCA),” their datasheet reads. “The IRS should begin by making better use of this data.

    The Tax Policy Center of the left-leaning Brookings Institution agrees.

    “Biden’s plan requires too many reports yet reveals too little useful information.” Steven M. Rosenthal wrote in May. “… The IRS, in theory, could use this information to help construct a financial profile for the account holder, which the IRS would compare to the tax returns filed by the holder.

    “In practice, the IRS’ task would be daunting and, in fact, bury the agency in a sea of unproductive information.”

  5. #4
    And the Federal Reserve Bank and the IRS are PRIVATE COMPANIES.

    The definition of Fascism is a merger between Corporations and Government.

    If a Private Company now tells a government "Of the People, by the People, and for the People" what to do and who to punish for not giving them what ever they want, then it really is not a government "Of the People" now is it?

    Whats going to happen here is their surveillance will continue to be screwed down until no one is able to move without the permission of a Private Company. Do you think the IRS wants you to be able to buy any means of either defending or providing for yourself WITHOUT THEIR EXPLICIT PERMISSION? NO. After they come for your guns (which they are about to do), then they come for how you provide for yourself.

    You will not be allowed to have a JOB without permission. But theres another very important side to this. Small businesses that manage to not be Nationalized (Communism) will be DENIED the PRIVILEGE of selling to who ever the Private Companies deem "unfit". It will START with the Unvaccinated, and END with YOU.

    In the type of Tyranny we are speeding towards, EVERYTHING WILL BE DENIED BY DEFAULT. You will have to ask permission to wipe your ass, if you are deemed worthy of toilet paper. Extend that to eating, having a car, travel, speaking to ANYONE, leaving your house, what you watch on tv / internet, having children, or even the PERMISSION to BE ALIVE. And for those of us who commit to "Thought Crimes", the PERMISSION TO BE ALIVE WILL BE DENIED. There will be NO TRIAL. There will be NO JURY.


    You can not VOTE this kind of control out of power. Expect your government to actively conduct kinetic warfare on those who refuse to embrace Tyranny.
    1776 > 1984

    The FAILURE of the United States Government to operate and maintain an
    Honest Money System , which frees the ordinary man from the clutches of the money manipulators, is the single largest contributing factor to the World's current Economic Crisis.

    The Elimination of Privacy is the Architecture of Genocide

    Belief, Money, and Violence are the three ways all people are controlled

    Quote Originally Posted by Zippyjuan View Post
    Our central bank is not privately owned.

  6. #5
    500 is the new 9k
    Do something Danke

  7. #6
    Quote Originally Posted by oyarde View Post
    500 is the new 9k
    On the way down the slippery slope, sometimes your nose gets bonked on the side of it ...

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  8. #7
    It is contained in the The American Families Plan
    “The right to life is the source of all rights—and the right to property is their only implementation. Without property rights, no other rights are possible. Since man has to sustain his life by his own effort, the man who has no right to the product of his effort has no means to sustain his life. The man who produces while others dispose of his product, is a slave.”

    An Agorist Primer

  9. #8
    Quote Originally Posted by lethouel View Post
    You are too radical. That is just one method of tracking the country's financial turnover. And yes, it makes it much easier for the government to fight the crooks.
    What? No spam?

    Or are you going to add that part in a couple of days?
    "Stupidity got us into this mess. Why can't it get us out?"--Will Rogers

    "All I know is what I read in the newspapers, and that's an alibi for my ignorance."--Will Rogers

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  11. #9
    What this did identify are that the national pundits and news sites on the right are part of the scam. Since if they were genuine they would not leave this story alone.

    Maybe some are worried about being targeted or they are waiting for the approved think tanks on the right to say it is a problem before discussing it. If they are waiting for some elitist think tank which is likely bogus controlled opposition then you know they are one in the same.
    Last edited by kahless; 09-23-2021 at 08:17 PM.
    * See my visitor message area for caveats related to my posting history here.
    * Also, I have effectively retired from all social media including posting here and are basically opting out of anything to do with national politics or this country on federal or state level and rather focusing locally. I may stop by from time to time to discuss philosophy on a general level related to Libertarian schools of thought and application in the real world.

  12. #10
    Girlfriend got a letter from her bank explaining that all transactions $600 or more are to be reported to the IRS. So yes, if we are getting paper mail from her bank then yes its real.

    There is a point where the Observation transitions to Intervention, finally they will have authority to grant Permission to buy and sell. Sir you cant buy that, it will exceed your allotted food ration for the year. DENIED. Republican? Trump supporter? Ron Paul guy liker dude man person? NO SOUP FOR YOU.

    1776 > 1984

    The FAILURE of the United States Government to operate and maintain an
    Honest Money System , which frees the ordinary man from the clutches of the money manipulators, is the single largest contributing factor to the World's current Economic Crisis.

    The Elimination of Privacy is the Architecture of Genocide

    Belief, Money, and Violence are the three ways all people are controlled

    Quote Originally Posted by Zippyjuan View Post
    Our central bank is not privately owned.

  13. #11
    Have I been called a crook by a $#@!ing cartoon ?
    Do something Danke

  14. #12
    Sen. Lummis slams Yellen over $600 IRS reporting requirement
    Breck Dumas (28 September 2021)

    Sen. Cynthia Lummis, R-Wyo., on Tuesday let loose on Treasury Secretary Janet Yellen over the Biden administration's proposal to force banks to report to the Internal Revenue Service on every transaction Americans make that is $600 or more.

    "There are obvious privacy concerns for all Americans here and this represents a dramatic new regulatory burden for community banks and credit unions in Wyoming and elsewhere," Lummis told Yellen of the proposal, which is one of several aimed at helping to pay for President Biden's multitrillion-dollar plans for expanding social programs and fighting climate change.

    Lummis said, "Banks will have to hire contractors to rat on their customers," and scolded, "Bank customers are not subjects to the federal government. Banks do not work for the IRS."

    The senator suggested Americans would "find alternatives to traditional banks just to thwart IRS access to their personal information, not because they're trying to hide anything but because they're not willing to share everything."

    "My question is: Are you aware of how unnecessary this regulatory burden is?" Lummis asked Yellen. "Do you distrust the American people so much that you need to know when they bought a couch? Or a cow?"

    Yellen told Lummis she disagreed with the senator's assessment, suggesting that Lummis might misunderstand the proposal.

    "Banks already report directly to the IRS the interest that they pay on accounts when it exceeds $10, and this is not a proposal to provide detailed transaction level data by banks to the IRS," Yellen argued. "It is a proposal to add two additional pieces of easily ascertained information onto the 1099-INT form the banks already file."

    The treasury secretary then went on to defend the new proposal, praising it as a way to bring in more money for the feds.

    "I think it's important to recognize that we have a tax gap that's estimated at $7 trillion over the next decade," Yellen said. "That is taxes that are due and are not being paid to the government that deprive us of the resources that we need to do critical investments to make America more productive and competitive."

    Yellen pointed out that the IRS already has "a wealth of information about individuals," citing examples such as the W-2 form filed for a person's job, but said the IRS needs more information on "higher-income individuals who have opaque sources of income … not low-income people."

    "Well, $600 threshold is not usually where you're going to find the massive amount of tax revenue you think Americans are cheating you out of," Lummis replied.

    Yellen conceded, "That's correct, but it's important to have comprehensive information so that individuals can't game the system and have multiple accounts."

    The White House estimates that the proposal to monitor all transactions of $600 or more could bring in roughly $463 billion in additional revenue over the next decade through IRS enforcement actions.

  15. #13
    Nebraska leads states on Biden’s IRS snoop: ‘Not going to comply’
    Suzanne O'Halloran (30 September 2021)

    The state of Nebraska is saying a big "no" to the Biden administration's plan that would give the Internal Revenue Service big government surveillance power over every day American’s bank accounts.

    "My message is really simple. The people of Nebraska entrusted me to protect the privacy of these accounts and I am not going to comply with this. If the Biden administration sues me, we will take it all the way to the Supreme Court. We are going to fight every step of the way," State Treasurer John Murante told FOX Business in an exclusive interview.

    The proposal, which is roughly $79 billion of the $3.5 trillion spending bill, would give the IRS more muscle to force banks to report customers' account inflows and outflows of $600 or more to the IRS. The White House has estimated the policy, which would apply to bank, loan and investment accounts, could generate about $463 billion in additional revenue over the next decade.

    Murante believes other state treasurers will follow his opposition lead. "We have members across the country who are committed to limited government and free market approaches, and we are unanimously against this proposal. It is an invasion of privacy and lacks any due process," he stated.

    Opposition is mounting for the provision with groups including the American Bankers Association publicly opposing the move. Additionally, Consumers Bankers President Richard Hunt believes the data could be used against personal and business customers.

    "Now that they have the data, they are going to slice and dice and look into every single transaction of nearly every American," said Hunt during an interview on FOX Business' "Mornings With Maria," adding, "I’m afraid if it does pass it may force some people not to get into the banking system, and we need people in the banking system."

    Despite the pushback, Treasury Secretary Janet Yellen continues to advocate for the additional IRS powers. Earlier this week, during her testimony on Capitol Hill, she defended the purpose of the bill when pressed by Sen. Cynthia Lummis, R-Wyo.

    "I think it's important to recognize that we have a tax gap that's estimated at $7 trillion over the next decade," Yellen said. "That is taxes that are due and are not being paid to the government that deprive us of the resources that we need to do critical investments to make America more productive and competitive."

    A Senate vote on the $3.5 trillion broad bill, which consists largely of social programs and climate-friendly economic initiatives, will take place Thursday.

  16. #14
    anti-vaxxers pay in cash
    A savage barbaric tribal society where thugs parade the streets and illegally assault and murder innocent civilians, yeah that is the alternative to having police. Oh wait, that is the police

    We cannot defend freedom abroad by deserting it at home.
    - Edward R. Murrow

    ...I think we have moral obligations to disobey unjust laws, because non-cooperation with evil is as much as a moral obligation as cooperation with good. - MLK Jr.

    How to trigger a liberal: "I didn't get vaccinated."

  17. #15
    The next layer on this cake will be a digital dollar "to fight the crooks" so that they can know exactly what we buy, and sell and to enforce tax compliance (only on the rich of course). Game over.

  18. #16

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