Six hundred dollars is not a lot of money in today’s economy. However, that figure, $600, is a major shift in the Biden administration’s desire to poke into the lives of everyday Americans.
Years ago, the federal government made the rule that transactions of $10,000 had to be reported to the federal government. Ten thousand dollars was and is a significant amount of money. Many dealing with those amounts of funds on multiple occasions may have some criminal intent.
No one got excited about the banks or businesses having to make such reports to the government. The figure was high enough that few average people would make such transactions on a regular basis, and the government’s interest in seeking to monitor criminal activities was accepted by the people.
Now the Biden administration has thrown out the proposal of reporting all financial transactions of $600 and above to the IRS. The clear purpose is to ensure that the government gets all of the taxes owed it. My car payments and house payments both exceed the $600 reporting line. Family health insurance premiums exceed the number. Buy some furniture—report it to the government. Go on vacation—report your hotel bill to the government. This is pure overreaching by the government. This proposal is pure Big Brother government. Individual privacy goes out the door if this proposal is enacted.
Now consider the pragmatic costs of the proposal. Banks will have to report every transaction over $600 to the federal government. The time and cost of the reporting will be exorbitant. That means we will all pay higher costs to pay for reporting our car payments. There appears to be some significant blow back to the administration on this proposal. If you do not want Big Brother in your checking account, you might want to give a note to your Congressman or Senator and voice your objection.
• See Richard Koritz' complete column in the Friday, Oct. 8, print edition of the Clinton Journal or now in the Journal E-Edition for subscribers.