Posted: 12/23/2007 6:10:14 AM EDT
I have this friend of a friend , who was given two 5G checks, kinda as a gift. This friend of a friend is a bit worried about deposting it in his bank account. Isn't the bank obligated to the IRS to report large deposits made in one transaction?
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YES, if both checks came from the same payor and the checks are for $5k each, you can expect the bank to file an "SAR" (Suspicious Activity Report) and one copy will go to the FBI and another will be forwarded to the IRS. Remember, Big Brother is watching out for you! |
Yes! It doesn't have a thing to do with cash at all. Tell him to deposit the checks on different days, no problem. Tj |
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I have deposited more than $10K and not triggered it, but you can also deposit less than that and trigger it. What triggers it is "suspecious activity". I explained to the teller it was from a home sale, no problem.
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Run some searches for similar topics in the past. I hope all these folks giving advice work in the banking industry because it sure does differ from what I recall from past threads. I don't work in the banking industry and I don't care if extra paperwork needs to be done or not, I feel the same about buying a couple firearms at the same time and that causing extra paperwork to need to be done. Checks or electronic transfers are known money. They know where it came from and it is not a big deal. Cash is the biggy. I would not worry one bit about depositing a check for 20k, I think that is the gift limit for a year, in my bank account. It is money they know about already. If they want to spend time doing some extra paperwork or ask me questions then let them have at it. Now 20k from the mayonaise jar out in the garden, that might be a tad different. |
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I was just gving my experience with the cash aspect. I know the ladys at my bank will give up to 10,000.00 to me in cash and will not hesitate. Im not going to go into how many times a year I do this, just that I know first hand on what the limits are at the bank that I use. |
Old news and done in real time in some cases..... The only reason this does not effect more people (law abiding) is the sheer volume of data, they have to only focus on the 'big fish' or people that are allready being looked at for various reasons |
I am well aware that is has been going on for years. I still find it unreal that the good people of the US of A allow it to happen. Everyday we lose more and more freedoms... we will either become a real Police state OR SHTF. I hope I am long dead when either occur Edited for spelling infractions 
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So, it is $10000.01 and you get ratted out. |
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Currency (cash money) is all that matters. Checks are irrelevant because they have the source of the money on the face of the instrument. A large bank will see several checks for more than your house is worth every day. A CTR is required to be filed with a currency transaction greater than $10k. The customer will be told about the CTR. If they reduce the amount to avoid the CTR, it will be filed anyway. A SAR is required to be filed if the transaction is suspicious. The $10k threshold does not apply to the SAR. The customer will not be told about the SAR. Structuring your deposits/withdrawals to avoid a CTR is definitely suspicious. |
I thought it just had to do with cash, but me not trying to be the typical internet misinformation jackass I didnt want to give out bad info. So under 10,000.01 its a good day  |
While I disagree with this law.. this is a crime It is a crime to 'structure' transactions to evade SAR reporting doing so could very well bring you more attention than just walking up with 10000.01 cash... It's one of those things that while I don't agree with it, you just have to live with it, and like I said they are to busy looking at people that have allready popped up on the radar for other flags, they really don't care about your legal 10k yet... If the reason for this is that they are too busy or the goodness of their heart I don't know... |
I ask because my parents each gave me a large amount of money this year to put towards my home, and I am worried about paying taxes on those two gifts. |
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There are so many different types of reports and what not.. best advice (yes it pains me to say it, and it sucks)If your income is derived legaly and you have a decent paper trail no sense worrying about it, if your income is illegal you allready know how to get arround it or you deserve to get caught... Yes it sucks yes it is not what this country was founded on but your dealings with the bank are not private and have not been for a very very long time |
Absolutely true, as long as it is a legitimate gift (and not a "gift" to compensate you for something like work), it is tax free for income tax purposes. There is a federal estate and gift tax, but it is not paid by the recipient of the gift. It is paid by the giver of the gift, but the threshold where it kicks in is so high that very few people have to worry about it. |
Illegal income? Huh? All income in my 39 years has been EARNED and LEGALLY so  . I'm not a crook or a swindler. By me depositing the checks shows I'm not trying to hide anything, as I know my banking is NOT private.Even when your law abiding, people still fear the IRS. I've never been given a gift of this size before, so I was unaware that it was not taxable. Your post was not advice, more of a statement, an insinuating one at that. |
Get over yourself I dislike it just as much as you I am not saying that the way things work are right but thats just the way it is I was giving the best practical advice I could... If the income is not from illegal sources then just deposit the whole thing. trying to break it up will attract more attention |
Nice asswipe, get over myself? There is nothing to get over. What are you ten years old? Where did I say you condone anything? I got the information I needed from others, without accusation. Move on. |
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