USA Cash deposits

[oldchemist]

My in-laws are old-fashioned type of depression era folks who have never trusted banks due to their memories of bank failures and as such their life savings is all in cash bills. They are nearing time to go into assisted living and can no longer handle their finances and it's essential (I believe) to get this cash either invested or deposited in a bank or banks. I want to make sure I don't do anything that brings the IRS down on them. There is nothing that I know of (receipts, cash tickets) that shows where their savings came from although I know it's from selling car parts, used tires, etc as my father-in-law was in the service station business. Can I deposit this in accounts under his name and her name of less than $10k and avoid IRS reporting? These folks are elderly and an IRS attorney would eat them alive and I fear they'd clean them out with penalties, interest, etc.

 

[kirby]

Since you are concerned about irs i assume that your inlaws never reported a significant part of their income on their tax returns. (But correct me if i am wrong on this) So then the problem is unreported taxable income. That is different than income from illegal activity , which is a bigger problem. Anyway if you deposit money in such a way as to avoid the ctr reporting requirement then that in itself is a crime called money laundering.

 

[kirby]

But anyway if the cash they have Is from income that they HAD reported on their tax returns then there is no problem. Just deposit the cash and fill out the ctr form. Just don't create a worse problem by evading the ctr form. The penalties are huge.