Do banks in the US report deposits to IRS?

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Ben89

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Mar 30, 2007
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Just wondering if a bank like Bank of America will report deposits I make for money earned from Canadian affiliate networks (who don't send 1099s and therefore don't report income to IRS) to the IRS.

I mean, what if I just cash a few of the checks throughout the year instead of depositing them?
 


Federal law requires that all banks report any cash deposits made in excess of $10,000 in the hopes of discouraging money laundering, rather than tax evasion. I'd worry more about the FBI/FDIC instead of the IRS.
 
xdope said:
Federal law requires that all banks report any cash deposits made in excess of $10,000 in the hopes of discouraging money laundering, rather than tax evasion. I'd worry more about the FBI/FDIC instead of the IRS.
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cash deposits, but not check deposits?
 
Cut said:
I do believe it would be the same thing.
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How is it the same thing? A check says the money exists somewhere else and is being verified by said other bank. Cash is just cash, you could have printed it in your basement.

Does anyone know for sure what the limit is on cashing/depositing checks of high sums, in excess of 10k?
 
Isostar13 said:
How is it the same thing? A check says the money exists somewhere else and is being verified by said other bank. Cash is just cash, you could have printed it in your basement.

Does anyone know for sure what the limit is on cashing/depositing checks of high sums, in excess of 10k?
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The money is still going to be transferred to the bank where the cheque is being cashed. I'm quite certain that the bank has a legal obligation to report all transactions in excess of $10k, be it a cheque, bank wire, or brown paper sack... and has every right to question and or report any transaction it wants.

But yes, call up a bank and ask them if you want to hear it from someone officially.
 
If you do cash >= 10k you have to answer some questions. If it is a check, no questions. In my experience anyway.
 
I've been asked questions about $3k cash... Once again, every bank in the United States is ABSOLUTELY required to report the transaction to the IRS if its over $10k. They will even report some transactions less than $10k to the IRS if they look suspicious. This doesn't mean they will ask you questions, they just have to fill out a Currency Transaction Report (CTR) and submit it to the IRS.

Bank Secrecy Act - Wikipedia, the free encyclopedia - everything you need to know.
 
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