New IRS Proposal could affect your account
City Credit Union takes pride in being your community credit union and we focus on local issues, but also feel it is important to keep our membership informed about national issues and policies that may affect all of you.
Recently, the current administration proposed a new feature of the 2022 budget that would require all banks and credit unions, including City Credit Union, to report accounts with at least $600 or at least $600 worth of transactions for all personal and business accounts to the IRS.
So what that means is, if you had at least $600 in your account, we would be required to report the amounts of any debits or credits to that account to the IRS. If the debits and credits that flow through the account add up to at least $600-including deposited paychecks or electronic payments through smartphone apps tied to the account-those totals would have to be reported too.
This requirement would include most banks, loan and investment accounts. The IRS Commissioner and President Biden have stated that the primary purpose of this requirement is to help the IRS improve tax collections and enforce tax compliance.
This proposed IRS reporting requirement would be intrusive and giving the IRS your banking information would represent a serious invasion of privacy for most of our members.
We think this is an overreach and keeping your personal and financial information private and secure is our top priority. We could use your help in telling Congress to oppose this provision.
Here’s how you can help in three easy steps:
- Visit the Credit Union National Association’s advocacy website at CUNA.org.
- Fill in your name, address, email, and enter City Credit Union as your credit union.
- Click “Send Message”
Thank you for making your voice heard, we appreciate your support.
Your friends at City Credit Union.