Wire Transfer Caution

[evanscotb]

I'm looking to make a wire transfer from epassporte to my bank. Is there a limit that I should avoid which would send a red flag to the IRS, or is that just urban legend? Thanks for the help.

[hoppscot22]

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I'm looking to make a wire transfer from epassporte to my bank. Is there a limit that I should avoid which would send a red flag to the IRS, or is that just urban legend? Thanks for the help.

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haha

[Coy_Roy]

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I'm looking to make a wire transfer from epassporte to my bank. Is there a limit that I should avoid which would send a red flag to the IRS, or is that just urban legend? Thanks for the help.

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I believe Epassport only allows $600 withdraw per day.....not enough to interest the IRS.

[TheJokerIsWild]

Change your subject line and you might actually get a decent response.

[evanscotb]

Thanks hoppscot, that was insightful.

[Kurn, son of Mogh]

The regs say the bank is supposed to report non-payroll deposits that add up to more than $5,000 in a calendar year.

How diligent your bank will be is tough to determine as it varies.

The key is.

IF you make a one-time transfer between $5,000 and some low 5-figure amount, don't report it on your taxes AND the IRS notices, they will most likely send you a bill for the back taxes + interest and penalties, which means you'll owe between 150% and 200% of your original tax liability. They'll even let you set up a payment plan.

On the other hand, if the amount you transfer in is on the high side of the above and you bring it in in a series of small transfers and they notice, that is called "structuring" and you will go to jail.

If the amount is over $50K. Bring it all in and bite the bullet and pay your taxes.

One question, though. Why not use the ePassporte VISA? You can use it to pay most bills online, take cash out at an ATM to pay other bills and use as spending money, and since you do not involve your bank, there really is no paper trail.

Now of course, if you do that and somehow Uncle gets wind of it, you're screwed. But the probability of that happening is much lower than if you involve your bank.

[PBJaxx]

Don't ATM withdrawls come with a paper trail?

[Kurn, son of Mogh]

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Don't ATM withdrawls come with a paper trail?

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Only between you and the source of the funds. The ePassporte VISA is not US issued.