reporting deposits to the irs?

How much money can you deposit before it is reported to the irs

2 Answers

  • 8 years ago
    Favorite Answer

    Depends upon where the money comes from and what form it is comprised of.

    Checks made out in your name and drawn on the account of the payer are not reported if the payer is a US person, trust, estate corporation, partnership, etc. regardless of the amount. Direct wire transfers or ACH transfers are not reported regardless of their size.

    Cash deposits, which includes money orders, cashier's checks, two party checks, checks made out to "cash" or "bearer" and other cash-like instruments are reported if they exceed $10,000 either at once or a series of smaller transactions over a "short" period of time.

    It's a widely held misconception that "all" deposits or transactions of $10,000 or more are reported. That is FALSE. Generally, transactions with a clear audit trail are not reported regardless of amount. Transactions with any anonymity or doubt as to source are reportable.

    Deposits from foreign sources may be reportable by the recipient on Form 3520 depending upon the amount and source without regard to the form of the deposit. That's in addition to any other reporting requirements noted above.

    Source(s): Used to work in the banking industry.
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  • tro
    Lv 7
    8 years ago

    banks are r'qrd to report transactions of $10000 and more to IRS

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