Lummis slams Yellen over IRS proposal requiring every transaction over $ 600 to be reported

By Jimmy Orr, Cowboy State Daily
(this story originally appeared on Cowboy State Daily)

US Senator Cynthia Lummis’ grill against Treasury Secretary Janet Yellen over a controversial Internal Revenue Service measure on Tuesday is the subject of significant exposure.

The Daily Mail of Great Britain runs its newspaper with the exchange with the headline “Biden’s Bank Stasi”.

Aside from references to the secret police, this is a controversial move that would significantly expand the powers of the IRS to require that every financial transaction – personal and business – be reported to the tax agency.

A fierce critic of the proposal, Lummis pounced on Yellen, telling her she was “horrified” that the secretary had backed her.

“I am amazed by what you are supporting and proposing. I think it’s intrusive. I think the privacy of individuals is ignored. And I think treating the American people as if they were subjects of the government is wrong, ”Lummis said.

— Advertising – The story continues below –

Privacy concerns, costs to the private sector, and new regulatory burdens that financial institutions would have to bear were Lummis’ main points of contention, with privacy issues paramount.

The Wyoming Bankers Association agrees. This is just one of many state and country organizations opposing the proposal.

“This proposal would turn every bank, credit union, and local payment provider into an IRS agent, monitoring and reporting deposits and withdrawals made to private accounts – at a threshold as low as $ 600.” the organization told the Cowboy State Daily Last week.

Lummis went further, stating that financial institutions should “hire contractors to assess their clients.”

Lummis referred to her farming roots during questioning when asking Yellen if she “was so suspicious of the American people that you must know when you bought a cow?”

Yellen ignored Lummis’ question about the cow – and most of the rest of her testimony – suggesting she disagreed with how the senator interpreted the proposal.

Yellen said the aim was to catch individuals who do not pay their taxes, pointing to an expected loss of $ 7 trillion in tax revenue “that does not go to the government.”

— Advertising – The story continues below –

Interrupting the secretary, Lummis said, “Well, the $ 600 threshold is usually not where you’re going to find the huge amount of tax revenue that you think Americans are cheating on you.”

Yellen agreed but said the disposition was needed anyway just to be sure.

If it passes, don’t expect the people of Wyoming to participate, Lummis said. They will withdraw their money from traditional financial institutions.

“The people of Wyoming, literally, we’ll find alternatives to traditional banks, just to thwart the IRS’s access to their personal information, not because they’re trying to hide anything, but because they are not willing to share everything, ”she said.

For all things Wyoming, visit Cowboy State Daily online at and sign up for the Cowboy State Coffee Break. Reprinted with permission from the Cowboy State Daily. Copyright 2021.

About Meredith Campagna

Check Also

SLR INVESTMENT CORP. Management’s Discussion and Analysis of Financial Condition and Results of Operations (Form 10-Q)

The information contained in this section should be read in conjunction with our consolidated financial …