Thursday, December 8, 2011
Will tax apply to a bank account transfer, if the amount exceeds a limit (Even if it is not income) ?
I have a situation where my friend (he doesn't have a US bank account) wants to use my bank account to issue a check to an organization. He intends to have the cash deposit in my account, so I can give the check on his behalf. My question is -If the amount is %26gt;$10K, Will it not be considered income and affect my tax reporting? (Assuming the amount is also cleared in around a month)|||What you deposit into your bank account in no way affects your tax reporting unless the account is interest-bearing - the interest you earn has to be reported.|||no, the only problem is amounts of $10K have to be reported by the bank and this could lead to some problems for you as well as your friend(remember the Homeland Security issue?)
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