October 6, 2022

Yellen responds to $600 IRS proposal with accusations of tax fraud

Biden administration Treasury Secretary Janet Yellen responded to concerns over a new IRS proposal that would report any banking transaction of $600 or more with concerns over tax fraud and cheating.

CBS News’ Norah O’Donnell asked Yellen on Tuesday, “Does this mean that the government is trying to peek into our pocketbooks if you want to look at $600 transactions?”

“Absolutely not,” Yellen answered. “I think this proposal has been seriously mischaracterized. The proposal involves no reporting of individual transactions of any individual.”

Yellen added, “There’s a lot of tax fraud and cheating that’s going on, and all that’s involved in this proposal is a few aggregate numbers about bank accounts.”

The explanation appears to be at odds with the reality of many Americans who do not fit the “billionaires” category who conduct transactions of $600 or more. Many Americans rightly see the proposal as an invasion of privacy.

The act appears to specifically violate the Fourth Amendment that says, “The right of the people to be secure in their persons, houses, papers, and effects, against unreasonable searches and seizures, shall not be violated, and no Warrants shall issue, but upon probable cause.”




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