CHARLESTON, W.Va. (WDVM) — A proposal to give the Internal Revenue Service access to your bank account has caused an uproar on Capitol Hill. This proposal was created as a way to crack down on tax cheats.
West Virginia State Treasurer Riley Moore has joined with Republicans in Congress and a coalition of state treasurers who say the proposal is “big brother,” an intrusion into our personal lives. The plan would also be costly, making community banks vulnerable to takeover by larger banks. Moore said that what Washington is doing is “Dodd-Frank on steroids,” referring to the Obama-era landmark bank regulatory law
“The IRS purview basically into all Americans’ financial information, which I believe is unconstitutional – I believe it’s a violation of the 4th Amendment, unreasonable search and seizure, and it’s something that we are standing against,” Moore said.
The original IRS plan would give access to bank accounts with deposits as small as $600. In the face of opposition, though, Democrats have raised the threshold to $10,000. Treasurer Moore says the earned interest reported on tax returns is enough for the IRS to determine if a filer is cheating.