Cash deposit or withdrawl & reporting to IRS

Discussion in 'Accounting' started by sale-365187030@craigslist.org, Jul 5, 2007.

  1. Guest

    I know that Bank of America or Washington Mutual automatically report to
    IRS if cash deposit is at least $10,000. How about withdrawl?
    If u withdrawl more than $10,000 at one time, will it get reported to
    IRS? Does it matter what city or state you're in? I want to buy a used
    car & this guy wants all cash in amount of $14,000. How about if I were
    to write a personal check in that amount? Coincedentally that's exactly
    what I have in my check account, $14,000.
    Is there a limit on how much I can withdrawl at one time either by cash
    or personal check from my personal checking account if I had for example
    $100,000 without being reported to IRS?

    Thanks in advance.
     
    , Jul 5, 2007
    #1
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  2. <> wrote
    >I know that Bank of America or Washington Mutual automatically report to
    > IRS if cash deposit is at least $10,000. How about withdrawl?



    Yes. Any cash transaction, or series of cash transactions, gets reported.



    > If u withdrawl more than $10,000 at one time, will it get reported to
    > IRS?



    Yes.




    > Does it matter what city or state you're in?



    Since it's one of the items requested on the form, then it matters.




    > I want to buy a used car & this guy wants all cash in amount
    > of $14,000. How about if I were to write a personal check
    > in that amount?




    Checks aren't cash.




    > Coincedentally that's exactly what I have in my check account, $14,000.
    > Is there a limit on how much I can withdrawl at one time either by cash
    > or personal check from my personal checking account if I had for example
    > $100,000 without being reported to IRS?





    $10,000 in cash, either deposited or withdrawn, gets reported. You can't
    break the amount into smaller amounts and slip under the radar, as the
    teller would pick up on the total of two $7000 cash withdrawals and the
    report would be prepared and filed.




    --
    Paul A. Thomas, CPA
    Athens, Georgia
     
    Paul Thomas, CPA, Jul 5, 2007
    #2
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  3. Guest

    Thanks Paul. Just to confirm, if I write a personal check from my personal
    checking account(Bofa or Wamu) in the amount of $14,000 to the seller, IRS
    won't know about it or bank won't report to IRS? Just for curiosity, what if
    the personal check amount is much more than $14,000? Does it make any
    difference in the amount?

    Thanks again


    "Paul Thomas, CPA" wrote:

    > <> wrote
    > >I know that Bank of America or Washington Mutual automatically report to
    > > IRS if cash deposit is at least $10,000. How about withdrawl?

    >
    > Yes. Any cash transaction, or series of cash transactions, gets reported.
    >
    > > If u withdrawl more than $10,000 at one time, will it get reported to
    > > IRS?

    >
    > Yes.
    >
    > > Does it matter what city or state you're in?

    >
    > Since it's one of the items requested on the form, then it matters.
    >
    > > I want to buy a used car & this guy wants all cash in amount
    > > of $14,000. How about if I were to write a personal check
    > > in that amount?

    >
    > Checks aren't cash.
    >
    > > Coincedentally that's exactly what I have in my check account, $14,000.
    > > Is there a limit on how much I can withdrawl at one time either by cash
    > > or personal check from my personal checking account if I had for example
    > > $100,000 without being reported to IRS?

    >
    > $10,000 in cash, either deposited or withdrawn, gets reported. You can't
    > break the amount into smaller amounts and slip under the radar, as the
    > teller would pick up on the total of two $7000 cash withdrawals and the
    > report would be prepared and filed.
    >
    > --
    > Paul A. Thomas, CPA
    > Athens, Georgia
     
    , Jul 5, 2007
    #3
  4. <> wrote
    > Thanks Paul. Just to confirm, if I write a personal check from my
    > personal
    > checking account(Bofa or Wamu) in the amount of $14,000 to the seller, IRS
    > won't know about it or bank won't report to IRS?




    Checks are not cash......only cash gets reported.



    > Just for curiosity, what if the personal check amount is
    > much more than $14,000? Does it make any
    > difference in the amount?





    The amount of the check doesn't matter.




    --
    Paul A. Thomas, CPA
    Athens, Georgia
     
    Paul Thomas, CPA, Jul 5, 2007
    #4
  5. al660105

    Joined:
    Jan 8, 2009
    Messages:
    1
    deposits

    what if the cash deposits were done in smaller amounts, over a longer time period. are they reported?

    I sell antiques and other items items from home, and routinely make cash deposits of under 3k to my checking account; never more than once a week, and usually every couple weeks. Coincidentally, I also write checks out routinely to purchase other items, so theres never a balance in the account of more than 1-2k....never even close to a balance of 10k. would this trigger a flag for reporting to the IRS?

    I just want to make sure that I'm not reporting inaccurate on my taxes.
     
    Last edited: Jan 8, 2009
    al660105, Jan 8, 2009
    #5
  6. MrGooncertified

    Joined:
    Jul 25, 2011
    Messages:
    1
    If any bank such as fifth third bank place holds on 10,000 dollar check deposited in your account will it still be available within a few days in your account?
     
    MrGooncertified, Jul 25, 2011
    #6
  7. kirby VIP Member

    Joined:
    May 12, 2011
    Messages:
    897
    A little more on this: if you break up the transaction to avoid the bank reporting it, that is a crime under the anti-money laudering laws. So don't do that!
     
    kirby, Jul 25, 2011
    #7
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