Large deposits to my account

wiredlynx28 said:Arthur Long5, I see you're from somewhere out West.
I can't speak to how things work in other parts of the country, but here in the States, the IRS keeps a very close eye on every single citizen's checking account. They have the authority to flag any transaction and demand you justify the source of those funds—even if it's just a single dollar. It sounds absurd, but legally, they can do it.
And making multiple smaller deposits won't help your case because they look at the total volume of incoming funds per account.
As long as you can prove where the money came from, you shouldn't run into trouble, though whether it gets taxed depends entirely on its origin.

Hold on. A couple of years ago, I had about 70 $0.00 sitting in my account. I let the bank know I was pulling it out, which I did the next day once they cleared it. Just some old savings from my paycheck. I moved it to a different bank, put it in a CD, and made some smaller transfers into it along the way. When the term ends, it goes right back into my checking. Honestly, I don't see why anyone would worry about where their own money comes from.

The IRS isn't going to stop people from saving money anyway. They'll just take their cut of the interest regardless.

Arthur Long5 said:My location is irrelevant; I am speaking strictly from my experience dealing with American banking institutions.
Were you aware that non-residents are also permitted to maintain bank accounts in the US without holding citizenship?

And I actually happen to hold citizenship myself...🙂

Of course it's possible, but the IRS isn't going to call you over $10,000 to ask for an explanation; that's pocket change.

If you have family members available, utilize them, but if you have no one else to turn to, then deposit it under your own name up to $35

If you have relatives, use them to split the funds, but if you don't, do not attempt to move everything at once... instead, spread the transfers out over several months.

Everything is interconnected, but if you deposit something like $70,000 to $80,000 over a six-month period, it shouldn't trigger anything too significant...

What if I have more than 105 $0.00?

James Rogers53 said:If this were actually an honest country, buying a house, a car, a boat, or even just dropping a significant chunk of change into your savings account would require some kind of justification.
I mean, where is someone making, say, $400 a month supposed to get $5,000, $10,000, or $200,000?
If you're playing by the rules, proving where the money came from shouldn't be much of an issue—but if you aren't, and that cash came from the underground economy, then you ought to be hit hard and thrown in prison.

not really. some people are just living off their parents or an inheritance, so they're just tucking away that $1,000 they saved. 😁

redseal3 said:Hold on. A couple of years ago, I had about 70 $0.00 sitting in my account. I let the bank know I was pulling it out, which I did the next day once they cleared it. Just some old savings from my paycheck. I moved it to a different bank, put it in a CD, and made some smaller transfers into it along the way. When the term ends, it goes right back into my checking. Honestly, I don't see why anyone would worry about where their own money comes from.

The IRS isn't going to stop people from saving money anyway. They'll just take their cut of the interest regardless.

redseal3 said:not really. some people are just living off their parents or an inheritance, so they're just tucking away that $1,000 they saved. 😁

Fair enough, but even then, you can prove where it came from just by looking at the transaction history. There shouldn't be any issues there. The real headache starts if that money was earned under the table.

redseal3 said:Hold on. A couple of years ago, I had about 70 $0.00 sitting in my account. I let the bank know I was pulling it out, which I did the next day once they cleared it. Just some old savings from my paycheck. I moved it to a different bank, put it in a CD, and made some smaller transfers into it along the way. When the term ends, it goes right back into my checking. Honestly, I don't see why anyone would worry about where their own money comes from.

The IRS isn't going to stop people from saving money anyway. They'll just take their cut of the interest regardless.

But if you've been working off the books? Then they're coming for 40%...

ironcyclist58 said:Fair enough, but even then, you can prove where it came from just by looking at the transaction history. There shouldn't be any issues there. The real headache starts if that money was earned under the table.

But if you've been working off the books? Then they're coming for 40%...

How would they even know how much I was putting away from my paycheck each month? For all they know, I was saving the whole thing.

Just show them the transaction history proving the paycheck actually hit the account and wasn't withdrawn...

ironcyclist58 said:Just show them the transaction history proving the paycheck actually hit the account and wasn't withdrawn...

The bank could probably pull that up for them. I definitely didn't save every single statement.

And why the hell wouldn't they raise the limit??

Like, picture this: every single month I take some cash and turn it into crypto—let’s say $500. I just stash it under my mattress. Fast forward 10 years, and I’ve got $60,000 sitting there. Now, for whatever reason, I decide I want to deposit that money into MY own bank account...

Am I really supposed to sit there and prove to a bunch of bureaucratic idiots where my hard-earned money came from?

Timothy Davis3 said:And why the hell wouldn't they raise the limit??

Like, picture this: every single month I take some cash and turn it into crypto—let’s say $500. I just stash it under my mattress. Fast forward 10 years, and I’ve got $60,000 sitting there. Now, for whatever reason, I decide I want to deposit that money into MY own bank account...

Am I really supposed to sit there and prove to a bunch of bureaucratic idiots where my hard-earned money came from?

You're spot on. I'm with you on this one.

I believe there is an unnecessary amount of panic being stirred up here, given that nobody is going to be scrutinized over a mere $20,000, though a single deposit of $200,000 from someone currently unemployed would likely trigger some attention...

Just consider how much capital Americans hold in their bank accounts—well over $24 billion—and it stands to reason that the IRS should be looking at existing account balances rather than focusing solely on incoming transfers.
If they did, imagine how many suspicious individuals they might actually uncover...

Furthermore, if the IRS were truly cracking down on people and seizing funds in such a manner, it would be headline news across every major media outlet, but since nothing of the sort is happening, you can rest easy...

Arthur Long5 said:I believe there is an unnecessary amount of panic being stirred up here, given that nobody is going to be scrutinized over a mere $20,000, though a single deposit of $200,000 from someone currently unemployed would likely trigger some attention...

Just consider how much capital Americans hold in their bank accounts—well over $24 billion—and it stands to reason that the IRS should be looking at existing account balances rather than focusing solely on incoming transfers.
If they did, imagine how many suspicious individuals they might actually uncover...

Furthermore, if the IRS were truly cracking down on people and seizing funds in such a manner, it would be headline news across every major media outlet, but since nothing of the sort is happening, you can rest easy...

No, nobody said they were seizing assets. But they are hassling people over $20,000. And that hassle is way worse if you're working overseas and can't easily jump on a call when someone starts breathing down your neck.

Arthur Long5 said:I believe there is an unnecessary amount of panic being stirred up here, given that nobody is going to be scrutinized over a mere $20,000, though a single deposit of $200,000 from someone currently unemployed would likely trigger some attention...

Just consider how much capital Americans hold in their bank accounts—well over $24 billion—and it stands to reason that the IRS should be looking at existing account balances rather than focusing solely on incoming transfers.
If they did, imagine how many suspicious individuals they might actually uncover...

Furthermore, if the IRS were truly cracking down on people and seizing funds in such a manner, it would be headline news across every major media outlet, but since nothing of the sort is happening, you can rest easy...

Where are you getting your info that Americans hold over $22 billion in banks? 🤣
What you see in the news is nothing but speculation because that data is classified.
Half the population is struggling financially, so those numbers are nowhere near reality. As for the wealthy—and I don't mean someone with $100k or $300k, which is peanuts in banking terms—they don't keep their cash in standard banks because the taxation isn't worth it. That’s why offshore accounts are so popular for them, rather than domestic US banks.
One more thing, you didn't answer my previous question: do you work for the IRS or know someone on the inside? That's the only way you could say this with such certainty.
I don't know how things work in Canada, but the situation in America is different, which is why I'm asking. 👍
And like I said before, and like Timothy Davis3 mentioned, it's true that they don't care about amounts of $20k or less. It all comes down to the ratio of income to deposits and spending. Everything leaves a paper trail, so if the money was earned legally, everything is fine.

wiredlynx28 said:Where are you getting your info that Americans hold over $22 billion in banks? 🤣
What you see in the news is nothing but speculation because that data is classified.
Half the population is struggling financially, so those numbers are nowhere near reality. As for the wealthy—and I don't mean someone with $100k or $300k, which is peanuts in banking terms—they don't keep their cash in standard banks because the taxation isn't worth it. That’s why offshore accounts are so popular for them, rather than domestic US banks.
One more thing, you didn't answer my previous question: do you work for the IRS or know someone on the inside? That's the only way you could say this with such certainty.
I don't know how things work in Canada, but the situation in America is different, which is why I'm asking. 👍
And like I said before, and like Timothy Davis3 mentioned, it's true that they don't care about amounts of $20k or less. It all comes down to the ratio of income to deposits and spending. Everything leaves a paper trail, so if the money was earned legally, everything is fine.

Well, if by "wild guesswork" you actually mean "Federal Reserve data," then yeah, I guess you're right! 😁

wiredlynx28 said:It’s not 105k dollars, it's 105k pesos 👍
Basically, any amount that doesn't line up with your paycheck gets flagged.
If someone is pulling in, say, 4 or 5k a month—which is pretty standard for an average American worker—but they're suddenly dropping huge sums on purchases that don't match that income, they're absolutely going to trigger an IRS audit or a probe into where that cash actually came from.
At the end of the day, if the money was earned legally, you won't have any problems.

I mean, unfortunately, it doesn't really work like that, you know? I guess the whole issue is that the lack of precision here is what's actually creating the gap. It's just... yeah, that's where things get messy.
It’s not even about whether the money was earned legally—it’s more about whether you actually have the paper trail to prove it! I mean, if you can't show the receipts, what's the point? It's all about that evidence, right?

Timothy Davis3 said:And why the hell wouldn't they raise the limit??

Like, picture this: every single month I take some cash and turn it into crypto—let’s say $500. I just stash it under my mattress. Fast forward 10 years, and I’ve got $60,000 sitting there. Now, for whatever reason, I decide I want to deposit that money into MY own bank account...

Am I really supposed to sit there and prove to a bunch of bureaucratic idiots where my hard-earned money came from?

Well, looking at how things stand right now, I guess the law basically makes that an option, yeah!

Hey! Just wanted to jump in here... I guess I have some thoughts on this. Maybe? Anyway, I've been thinking about everything we discussed earlier. It’s kind of wild when you really sit down and look at how things are moving lately, right? I mean, honestly, it feels like everything is shifting so fast! I was just chatting with Steve the other day—you know how he gets—and even he was saying how much things have changed. It’s just... wow. Anyway, I don't want to ramble too much, but I really think there's something interesting happening here. Just my two cents, though! Hope everyone is having a great day!

Steve, because of the volatility, those numbers aren't exactly accurate 👍
The state wants its slice of the pie too.

wiredlynx28
I didn't just pull these deposit figures out of thin air; the Federal Reserve publishes this data...

I don't have any connections within the IRS, nor do I have any desire to know anyone there, but I am speaking from my own personal experience...

I have deposited funds into my accounts, as have my relatives and friends, and not once has the IRS contacted anyone...

Could you please tell me who exactly the IRS has been harassing over a mere $20,000?

If they actually did that, there would be endless stories about it, and as I mentioned before, they would likely start auditing existing accounts...

Since you are bringing up the situation in Canada, I should note that things work quite differently there...

In Canada, you cannot deposit more than $10,000 without providing proof of origin. They will quite literally turn you away; they simply won't accept the money (based on my own attempt)...

Even if you provide documentation regarding the source of the funds, any amount exceeding $15,000 undergoes scrutiny—at least according to the law—though I have never heard of the IRS bothering anyone...

Let me share another experience from Central Park...
Yesterday, an acquaintance purchased an apartment near Central Park for $88,000; she arrived with cash and paid in full with cash...
The title will be registered in her name without issue, and the IRS will never ask where she obtained that $88,000...

And even if they were to ask, she could always claim it was savings, or perhaps a gift from her parents, or an aunt, or a loan...

Yeah, the IRS is going to ask—if not anywhere else, then definitely when you file your property tax returns.

Timothy Davis3 said:And why the hell wouldn't they raise the limit??

Like, picture this: every single month I take some cash and turn it into crypto—let’s say $500. I just stash it under my mattress. Fast forward 10 years, and I’ve got $60,000 sitting there. Now, for whatever reason, I decide I want to deposit that money into MY own bank account...

Am I really supposed to sit there and prove to a bunch of bureaucratic idiots where my hard-earned money came from?

Well, that's what an audit is for, rather than an automatic shutdown.
That kind of behavior—keeping cash under a mattress—isn't exactly common for anyone under 60 or 70, unless they're total paranoiacs. You can probably justify it to the IRS fairly easily.
But for every one of those eccentrics, there are at least ten people who made their money under the table. It might be "benign" off-the-books work, but it could just as easily be a drug dealer.

Naturally, people working under the table won't like that, so they'll trash the government, the tax collectors, the banks, or anyone who disagrees with them—invoking privacy rights and all that...
Because, honestly, if you earned the money legitimately, there shouldn't be any reason to care if the IRS asks where it came from. It's the same as not being bothered by a border check because you know you aren't a thief, a criminal, a smuggler, or on the FBI's most wanted list.

I am uncertain regarding the specific requirements of the real estate transfer tax application form, but if there is a section for additional details, I suppose noting "family savings" would suffice...

To be honest, I wouldn't mind if the IRS started asking questions about where my money comes from... in fact, I'd almost welcome it, because it would mean I’ve managed to pull in significantly more than the average person...

@ James Rogers53

I'm with you on this.

@ Arthur Long5

Maybe you were running transactions in the States back before the IRS had full visibility into transaction accounts. Most likely, your income matches up, whether it’s from a sale or something similar.

As for the rest—if I ever get flagged, I’m not just going to wing it and say it came from "this guy" or "that guy." You sign a formal declaration with all the specifics (full name, amount, etc.), and they vet everything thoroughly; it isn't just some casual verbal excuse. If any discrepancies are found, you face criminal charges depending on the nature of the violation.
In fact, I hear from clients almost every single day asking about verification, even for amounts as small as a few thousand dollars.

wiredlynx28 said:@ James Rogers53

I'm with you on this.

@ Arthur Long5

Maybe you were running transactions in the States back before the IRS had full visibility into transaction accounts. Most likely, your income matches up, whether it’s from a sale or something similar.

As for the rest—if I ever get flagged, I’m not just going to wing it and say it came from "this guy" or "that guy." You sign a formal declaration with all the specifics (full name, amount, etc.), and they vet everything thoroughly; it isn't just some casual verbal excuse. If any discrepancies are found, you face criminal charges depending on the nature of the violation.
In fact, I hear from clients almost every single day asking about verification, even for amounts as small as a few thousand dollars.

So, how exactly are they checking? And how does that process even start? Like, what's the actual workflow once they reach out? Most importantly—why bother? Is a couple thousand dollars really worth all this hassle?