Deposits into my checking and Saving accounts?

Question

I have many saving accounts and One checkinga ccounts. I move around money between my accounts. For example: One account is for my annual vacations. Another is for my saving and when it accumelates I use it to buy stock, etc. This way, I can keep track of my saving/accounts much easier. So the question is: Will IRS audit me because I move around deposits between my accounts?

Answer 1

Unless your movements are like $10,000+ in one bank day (which require banks to complete a Currency Transaction Report on you which is forwarded to IRS for follow-up action), then I would say a staunch NO!

Answer 2

IRS does not even know you have several accounts. They are only interested in you filing your taxes every year and claiming your interest, which is filed by your bank on a 1099 yearly. It's not like Big Brother is sitting up there watching everyone's account. Don't worry unless you get a letter saying you have been audited and owe them money. That will probably never happen.

Answer 3

A. Matt starts out with $200. Then he provides $3 hundred/month for x months. so which you have chose an equation with 300x + 200, which regulations out the 1st and 0.33 equations. He needs to finally end up with extra beneficial than $4200, so it is 300x + 200 > 4200 B. subtract 200 from the two edge of the equation 300x > 4000 divide the two aspects by 3 hundred x > 4000/3 hundred x > 13 a million/3 C. considering the fact that he's in simple terms making deposits on a month-to-month foundation, you will desire to around as much as the subsequent entire selection. Matt needs to make 14 deposits.

Answer 4

In a word - no. The IRS could care less how you choose to handle your own finances as long as it is legal. What you may be thinking of that is illegal is Kiting. This is when you have checking accounts at multiple institutions and use a bogus checks from one account to cover the funds that are going to be withdrawn from another account and then use a bogus check to cover those funds, etc. The cycle is neverending and your financial institution is usually the one to catch it. They are the ones who report it to the IRS. But if you only have one checking account you have nothing to worry about.

Answer 5

No, probably not a problem, as long as we're not talking about transferring thousands of dollars a dozen times a month. The IRS is more concerned about concealing income. Your banking transactions have a nice, clean electronic trail, so you don't have to worry about the IRS.

Answer 6

Not likely. You should probably have fewer accounts and not necessarily savings or checking accounts. You should probably have a checking account, a savings account, maybe a CD (or several to ladder maturities), an IRA (Traditional and/or Roth), and an individual mutual fund account for longer term (5+ year) expenses.

Answer 7

There isn't anything dishonest, or illegal in what you are doing, Why should the IRS care?

Answer 8

No , I wouldn't think so.