Missouri joins Nebraska in IRS snoop pushback
IRS could monitor transactions as low as $600
Former Kansas City Fed President Thomas Hoenig argues the middle class will be 'caught up' in Biden's IRS proposal.
State Treasurers are flexing their muscles against the proposal that would give the Internal Revenue Service expanded powers to monitor the bank accounts of all Americans.
Missouri is joining Nebraska in taking a hard line against the proposal with a "won't comply" message.
"Turning over their transaction data to the federal government is illegal under Missouri law and a gross violation of Missourians’ expectation of privacy when it comes to their personal financial records. I will not turn this information over to the IRS voluntarily and will fight in court to block any attempt by the federal government to compel my office to comply with this mandate," Missouri State Treasurer Scott Fitzpatrick said in a statement provided to FOX Business.
Last week, State Treasurer John Murante laid the groundwork for the opposition in an exclusive interview with FOX Business.
"If the Biden administration sues me, we will take it all the way to the Supreme Court. We are going to fight every step of the way," he said while noting more states are likely to join the fight.
The proposal, which is roughly $79 billion of the $3.5 trillion spending bill, would give the IRS more muscle to force banks to report customers' account inflows and outflows of $600 or more to the IRS. The White House has estimated the policy, which would apply to bank, loan and investment accounts, could generate about $463 billion in additional revenue over the next decade.
| Ticker | Security | Last | Change | Change % |
|---|---|---|---|---|
| KBWB | INVESCO EXCHANGE TRADED FD TR II KBW BANK ETF USD | 55.20 | +0.22 | +0.40% |
Community banks are also getting aggressive with a grassroots movement on social media to educate customers on the impact the provision will have on their personal privacy.
"As your community bank, we want our customers to know the facts, especially when it relates to concerning developments around public policy that exposes your financial privacy," FNB Community Bank, in Midwest City, Oklahoma, posted on its Facebook page.