My credit union had a daily withdrawal limit because they don't keep a lot of cash on premises. It would have had to have a 3-day advance notice, and withdraw over two days. It was very inconvenient for buying a used car. This rule makes it much worse.
Here's the skinny...
For decades, banks were required to report cash withdrawals exceeding $10,000 to the federal government. However, new guidelines from the Department of the Treasury, the Financial Crimes Enforcement Network (FinCEN), and the IRS are poised to alter this structure significantly.
Financial authorities have observed a pattern where individuals engage in “structuring” withdrawals to avoid the $10,000 threshold. By withdrawing amounts like $2,000, $3,000, or $4,500 in multiple transactions, they evade triggering mandatory reports. This practice has created gaps that facilitate tax evasion, unreported business activities, and financial movements that are challenging to trace, often linked to financial crimes.
Reducing the reporting threshold to $1,000 is expected to enable the IRS and the Treasury to detect suspicious patterns more swiftly. This adjustment aims to identify financial movements that previously went unnoticed, thereby tightening the net around potential illicit activities.
The primary change is that banks will now be required to report these transactions, similar to how they currently handle withdrawals exceeding $10,000. Not all reports will lead to investigations; many will simply be stored for record-keeping purposes. The IRS will focus on identifying patterns of financial behavior rather than scrutinizing each individual withdrawal.
Experts recommend that individuals who regularly deal with cash take proactive steps to adapt to these changes. Keeping detailed records of income and expenses can be beneficial if a bank requests information. It is also advisable to avoid structuring withdrawals, as this behavior can raise suspicions.
I think this law is targeting immigrants who send money home, and small gig workers. It is massive interference in the business of people like me simply trying to buy a car, or repay a debt to a family member.
https://www.msn.com/en-us/money/financial-regulation/upcoming-irs-cash-reporting-changes-what-you-need-to-know-by-2026/ar-AA1SpQdi
It does nothing to stop the rich criminals who are robbing this country blind. Fuckers...
= new reply since forum marked as read