Every retail trader who withdraws money from their account to live will be caught up in this now?

Discussion in 'Wall St. News' started by David Donner, Oct 19, 2021.

  1. RachEB and murray t turtle like this.
  2. Overnight

    Overnight

    "Initially, the Department of Treasury and Senate Democrats had proposed requiring financial institutions to provide the Internal Revenue Service with additional information on bank accounts with more than $600 in annual deposits or withdrawals...

    After a backlash, the new proposal will instead require the provision of additional information for accounts with more than $10,000 in annual deposits or withdrawals, a measure Democrats have been considering for weeks but have not formally endorsed, the people said."


    The idea that +600 bux in annual deposits or withdrawals from a bank account is "targeting the rich" is so ludicrous, it makes me think we are being run by aliens. (Which we are.)

    The idea that +10000 bux in annual deposits or withdrawals from a bank account is "targeting the rich" is so ludicrous, it makes me think we are being run by aliens. (Which we are.)

    The bottom line? The government is being run by aliens who have zero connection to the working class in this country, and how people pay their bills, or even the fact that they have bills to pay.
     
  3. ajacobson

    ajacobson

    Last edited: Oct 19, 2021
  4. Getting caught up in what? Banks have been reporting $10k+ (or any they deem "suspicious") transactions to the IRS for a long time now.

    Yes, it's moronic and outrageous. No, it's not going to have black helicopters landing on your lawn or result in you being smacked around under bright lights in a basement.
     
    wasabi-jones, CALLumbus and wrbtrader like this.
  5. VicBee

    VicBee

    I fail to even understand the question. Your profits from trading are reported to the IRS and taxed as ordinary income. What's your point?
     
  6. Most rich people keep very little in cash, relative to their wealth/income. It all goes to investments/shell corporations.

    Now, if the government said they would police corporate bank accounts only, I'd be on board with that. This is going to mostly be used to target the waitress who didn't report $500 in tips over 10 years, which with interest and penalties, will work out to 10K.

    They'll know about it in year 1, but they'll keep it on file till it gets big enough to be worth it to pursue, because there is no way the waitress who owes the IRS 10K will be able to afford a lawyer for $20K to avoid paying the $10K. She'll cut a deal with the IRS for monthly payments stretching out over 5 years which will have her pay $12K in total.

    I feel like somewhere along the line, we really fucked up making income tax OK. It should always have only been land taxes. I'd be fine with a 20% land tax every year. It would keep prices in check and let the poor save more money which can only be good for society. For example, in Quebec, every home needs to have some sort of sales tax added to it (not transfer tax). That is something like 10%. This keeps prices there depressed relative to the rest of Canada.

    To summarize:

    - Housing should not be an investment
    - Government is (edit: still) fat and gay
     
  7. Overnight

    Overnight

    No, that was 10K+ in a single transaction. The new rule proposes 10K+ over the course of an entire year.
     
    KCalhoun likes this.
  8. taojaxx

    taojaxx

    Never transfer profits but borrow on margin. Borrowed money is not taxable. Smart rich folks never take their profits, they keep the profitable positions open. There's a bunch of AAPL/AMZN millionaires who will never sell their stocks: they just borrow on margin to pay the bills.
    See Ma, no tax!
    And they get to deduct interest on margin lol.
     
    terzioglu likes this.
  9. Yeah, I got that. So what? It makes zero difference. They have the power to do it and the popular mandate; in short, there's not a damn thing you can do about it, and it doesn't affect anything materially.

    Some people get nervous when a cop car rolls down the block, and those are the ones that the cops zero in on. This question seems like an instance of the same thing, and I just have to wonder what the point of asking it is.
     
  10. deaddog

    deaddog

    Up here in the Frozen North the brokers report all income to the taxman.

    You can't tax the "Rich"; they own the government. After all they paid to get them elected.
     
    #10     Oct 19, 2021