(UnitedReader.com) – Democrats recently suggested a plan that would require bank users with account balances of over $600 to report to the IRS. Republicans and several trade groups disagree with the idea, but it’s not the partisan backlash causing Democrats to rethink their suggestion.
Instead, it’s the American people. The public has expressed its outrage and dismay after the announcement of the potential requirement. The proposal may see major changes and revisions, or Democrats might drop it completely.
Public backlash could force Democrats to rethink a proposal that includes the monitoring of most financial accounts, the Washington Examiner reported.https://t.co/pQNg9WkDEw
— Newsmax (@newsmax) October 14, 2021
Political opposition cited concerns the proposal would violate privacy, add new costs for customers and develop liabilities for financial institutions. House Speaker Nancy Pelosi (D-CA) said she understood people’s concern over the Democratic suggestion but countered it was a good way to detect people breaking the law via tax evasion.
Pelosi didn’t stand completely against the opposition, admitting that the $600 threshold is still under negotiation and could end up being more. The IRS proposal could hurt the Democratic effort to pass a spending bill creating, which would rely on increased tax revenue to fund new government programs. The Biden Administration promised families making under $400,000 a year wouldn’t see a tax hike, noting the increases would only affect corporations and wealthier individuals.
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