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The IRS Monitoring Your $600 Dollars For Dummies
A summary of what the alphabet boys eyeing your cash means
President Joe Biden’s proposal to go after big business and rich people who aren’t paying as much taxes as they should. People say this plan would affect small businesses and people who don’t fit the targeted demographic.
If Congress were to approve this plan, banks would have to watch business and personal accounts with more than $600 of active transactions. Banks would follow by reporting this data to the IRS. The reports supposedly will allow auditors to further identify differences between declared income and actual income.
What It Means For You
Tracking these transactions allows the IRS to monitor transactions from restaurants, supermarkets, and department stores. Who could it affect? Under-the-table workers, waiters, waitresses, crypto investors, those receiving gifts, and employees who receive cash or crypto payments.
The program is designed to go after high net-worth earners and businesses who may be committing tax evasion. Anyone under $400k would not be reprimanded in the same light.
