2006-09-01 06:34:13 · 7 answers · asked by Richard M 1 in Business & Finance ➔ Taxes ➔ United States
Banks NEVER report individual transactions to the IRS. Anything $10,000 or up must be reported to the Treasury Department. This is to detect money laundering and fraud. It has nothing to do with taxes. Any transactions that appear to be structured to avoid the $10,000 limit are also reported as 'Suspicious Activity'
2006-09-01 15:05:15 · answer #1 · answered by STEVEN F 7 · 0⤊ 0⤋
The bank reports any interest over $10 to the IRA - this is per account, not cumulative, so if you have 10 accounts and they all pay you $9 in interest, the bank will not report it to the IRS. You will also probably not get a 1099 int either.
2006-09-01 15:09:33 · answer #2 · answered by Anonymous · 0⤊ 1⤋
They have to file a report if you deposit or withdraw over $10,000. However, deposits and withdrawals are not added together. For example -- if you deposit $7,000 and then withdraw $4,000 in the same day, they do not have to file a report.
If you make a series of suspicious deposits or withdrawals just under the limit -- like $8,000 every monday -- then they are required to report that activity.
Even though this is reported to the IRS, it does not mean that they assume that this is income. The reports are used to monitor possible illegal activity like money laundering.
2006-09-01 13:52:55 · answer #3 · answered by Ranto 7 · 0⤊ 1⤋
I believe that any interest earned is reported to the IRS, but I think if it is under $10, you don't have to list it as income on your tax return. But check with the IRS, their rules are always changing and always confusing.
2006-09-01 13:37:00 · answer #4 · answered by Anonymous · 0⤊ 1⤋
Under $10 of interest.
2006-09-04 02:32:51 · answer #5 · answered by Steve R 6 · 0⤊ 0⤋
anything cash transaction over $10.000 is reported to the IRS it doesn't mean it's not legal or they are going to audit it is routine,
2006-09-01 13:45:42 · answer #6 · answered by moonwalker 3 · 0⤊ 0⤋
$9,999.00 ...anything over 10 grand has to be reported
2006-09-01 13:40:06 · answer #7 · answered by CJM 3 · 0⤊ 1⤋