Speaking of government involvement, anyone else see the proposal hidden in the Build Back Better bill that mandates banks provide the total inflow and outflow data of all accounts with over $600 in transactions?
That’s probably one of the most blatant invasions of financial privacy the government has ever attempted. Even the awful “Patriot Act” caps mandated reporting at $5,000 for suspicious transactions. Nearly every American would be subject to this, yet the administration will still tell you with a straight face that it’s to catch rich people who are cheating on their taxes…
As an example, I could potentially draw the attention of the IRS simply because my fiancé and I do not have joint accounts, so she pays her portion of rent to me and then I pay the full amount to the landlord. As such, my bank account would show $18,000 in cash inflow that is not reflected on any W2. As far as I can tell under this proposed new system, that could get me noticed by the IRS even though I have done nothing wrong. Pretty sure that meets the definition of 1984 style Big Brother.
Edit: Perhaps a better example is selling a car. I sell my several year old used car as a private party to another private individual for $17,500 that is wired to my account. I am under no obligation to pay tax on this money. However, IRS AI algorithm flags me because my tax filing claims I made $100k in taxable income, yet my checking account shows $117,500 went into my account in one year. Mr IRS then wants me to prove I actually don’t owe taxes on that money. Provable? Yes, but it’s basically akin to “show me your papers”.
Here is an article discussing it, however plenty of others out there as well.
https://fee.org/articles/treasury-department-seeks-to-track-financial-transactions-of-personal-bank-accounts-over-600/