UPDATE: OCT. 4, 2021
IRS Reporting Mandate
Your Security Matters Most.
As your trusted financial partner, we strive to ensure our customers are aware of issues regarding their finances. Our promise to keep you informed extends to matters of public policy.
As stated by the American Bankers Association, The Biden Administration is proposing a sweeping expansion of tax information reporting aimed at raising revenue to help offset the cost of additional spending programs in the American Families Plan. The proposal, if enacted, would require banks to report to the IRS detailed information on the inflows and outflows of every customer account above $600.
So, how could you be affected? If Congress passes this policy, all banks and financial institutions would be required to share their customers’ financial information with the IRS, regardless of consent from the individual. In addition to possible increased costs imposed on small business and financial institutions, this reporting requirement raises significant customer data, privacy and security concerns.
We believe it’s important for our customers to understand the implications of this sweeping proposal, which could be voted on in the coming days. If you oppose such a proposal, we encourage you to contact your lawmakers at this link provided by the American Bankers Association: aba.social/ContactCongress.