Banks warn that ‘Americans from all income levels’ will still be snooped on by IRS if Biden raises annual threshold from $600 to $10,000
Francesco Abbruzzino, The Uncensored Report, LLC
A group of 99 banks and industry groups wrote a letter to President Biden on Monday urging him to drop his proposal to hand over transaction data to the IRS, noting that they were not satisfied with simply raising the threshold from $600 to $10,000.
The organizations that claimed to represent business and financial interests urged the White House to withdraw support for the measure and find ‘more targeted measures’ to reduce the tax gap.
The proposal to hand over data on all aggregate inflows and outflows of accounts with more than $600 in total transactions drew sharp outcry from Republicans and banks alike, prompting Democrats to raise the amount to $10,000. But, the letter said that raising that cap amounted only to ‘cosmetic’ changes.
he banking groups lauded the administration’s ‘good-faith attempt’ to make sure all Americans pay the taxes they owe, but wrote: ‘our members, and the American people, believe that they have a reasonable right to privacy and this overly broad proposal to report gross annual inflows and outflows from nearly every account is disconnected from its purported narrow purpose of focusing government scrutiny on Americans with actual income above $400,000.’