Is a bank required to report deposits of $10,000 or more into personal accounts to the IRS even if the deposits are split up into several smaller deposits?
First, a statement about reporting to the IRS. Banks are generally required to report to the IRS any transaction in currency that exceeds $10,000.
Individuals and businesses who have legitimate cash transactions that are occasionally over that threshold amount need not be concerned about routine reports to the IRS. The reports are used to allow law enforcement to track cash movements that might involve money laundering or the financing of terrorism. If you aren't involved in either of those illicit pursuits, you should have nothing to worry about.
Splitting deposits up into smaller deposits, in attempts to disguise reportable transactions or to otherwise prevent a financial institution from filing a report is called "structuring," and it is a federal offense. It can get you into a lot more trouble than the filing of a currency transaction report on a legitimate cash transaction.
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