Selling a Car, $600 transaction limit?

[ArizonaKevin]

Selling a car right now and trying to figure out what/if I need to be concerned about this new $600 transaction limit and, if so, how do I avoid it?

(Please keep the politics out of it, we all agree that the $600 limit is stupid and I don't want this to be put in the dungeon)

 

[Ziggy]

Make multiple smaller deposits over time??

 

[Bpracing1127]

Not in place yet so what is the worry

 

[EmpirE231]

Not in place yet so what is the worry

This...

pretty sure it is not in place yet.

 

[Ace in the Hole]

Make multiple smaller deposits over time??

Thats called structuring and if caught and intentional can be a big deal even for a normal situation such as this...the irs wants its money grubbing hands on everything.

@ArizonaKevin the $600 deal isn't in effect yet. There is a reporting requirement on a certain amount (10k I think) but if you have a legit paper trial it isn't a big deal. I sold a boat a few years ago for $35k in cash and did a doc at the bank and had no issues.

 

[Taboma]

Selling a car right now and trying to figure out what/if I need to be concerned about this new $600 transaction limit and, if so, how do I avoid it?

(Please keep the politics out of it, we all agree that the $600 limit is stupid and I don't want this to be put in the dungeon)

So you're selling it for a profit over what you paid and invested in it for improvements ? I'm assuming this is what we're discussing here and your concerns.
I don't have any answers other than a lot of small deposits or using the cash over time for idle purchases. But I'll be following along, not that I've ever made money selling a vehicle -- yet

 

[Ziggy]

Thats called structuring and if caught and intentional can be a big deal even for a normal situation such as this...the irs wants its money grubbing hands on everything.

@ArizonaKevin the $600 deal isn't in effect yet. There is a reporting requirement on a certain amount (10k I think) but if you have a legit paper trial it isn't a big deal. I sold a boat a few years ago for $35k in cash and did a doc at the bank and had no issues.

Lol, it was kind of a tongue in cheek comment. As a car dealer I was asked daily how to circumvent the $10k reporting dealio. My usual answer was: "I'm not a financial advisor".

 

[Ace in the Hole]

Lol, it was kind of a tongue in cheek comment. As a car dealer I was asked daily how to circumvent the $10k reporting dealio. My usual answer was: "I'm not a financial advisor".

Oh I know it was lol, I was just making it clear not to do that lol. Honestly If he didn't need the cash at the time for something I'd stick it in the damn safe.

 

[EmpirE231]

Now it is pretty easy to burn through all that excess cash within one month of fueling up cars and taking the family to chilli's

 

[Taboma]

Considering the responses I'm shocked so many are profiting from 2nd hand auto sales. That is what we're discussing here aren't we ? Maybe I shouldn't be considering the current COVID pricing.
I've honestly never made a dime in profit selling a car, mostly because I sold all my cars before they "Aged" enough to be worth more than I paid.
But I am possibly looking at a future sale that couldn't present a challenge, so I'm paying attention.

 

[PaPaG]

It is NOT IN PLACE and even the banking industry is fighting it but for now your limit is anything 10k plus that paperwork has to be filled out, they can even do much less of a dollar amount if the banker feels it may be fishy. If you were to deposit any amount of cash and have legit proof like a gambling winning WG2 or a bill of sale there is nothing to worry about BUT if you feel uncomfortable just deposit partial amount under an eye catching 5k and wait a few weeks, doing it daily or weekly can also trigger a bank from reporting it...

 

[Jay Dub]

Selling a car right now and trying to figure out what/if I need to be concerned about this new $600 transaction limit and, if so, how do I avoid it?

(Please keep the politics out of it, we all agree that the $600 limit is stupid and I don't want this to be put in the dungeon)

not a worry right now. just sell the car and deposit the cash

 

[Mr. C]

Biden administration scales back IRS bank-monitoring plan amid growing pushback

The Biden administration on Tuesday endorsed a scaled-back version of a proposal that could force banks to turn over customers' account information to the IRS.

www.foxbusiness.com

 

[Singleton]

Selling a car right now and trying to figure out what/if I need to be concerned about this new $600 transaction limit and, if so, how do I avoid it?

(Please keep the politics out of it, we all agree that the $600 limit is stupid and I don't want this to be put in the dungeon)

no concern. Cash deposits of 10k or more is the reporting limit today. As long as you have justification you are good to go, without worries.

 

[traquer]

No factor currently. Also that $600 thing I doubt will be anything meaningful for most people, but like always it will be an excuse for them to look at you closer and make you pay up.

I was talking with some family in Europe, it's how it's always been over there. I.e., bank accounts are monitored by the government and if something seems out of line you get audited and taxed. Their solution of course it to not put questionable cash in the bank, and/or buy something else with it like bullion and throw that in the safe or safety deposit box. Then flip it for cash and pay seller in cash when needed. Cash economy baby, keep the govt in the dark just like they keep us in the dark..

 

[HST4ME]

Selling a car right now and trying to figure out what/if I need to be concerned about this new $600 transaction limit and, if so, how do I avoid it?

(Please keep the politics out of it, we all agree that the $600 limit is stupid and I don't want this to be put in the dungeon)

Tell "them" to fuck off.

 

[OCMerrill]

If one cant see the communism in plain sight....don't stand next to me.

As far as I know the verbiage is currently buried inside that infrastructure bill. I'm sure there is allot of socialistic bullshit in that 2700 pages that is fully read by no one.

This Essex I bought a couple years ago, the seller wanted cash only. Getting $20k out is a little bit of a process so I used my business teller window, Told her I was going to an equipment auction. They don't take checks sweetheart. No forms. Maybe they did it behind my back but nothin so far.

Best way is to bang it out over time I suppose.

 

[gqchris]

It always surprises me how many folks have never even held 5/10k in cash?

You haven't lived yet until you have 100K in cash, (which is smaller than you think) in a duffel bag going to buy a new toy.

Cash is not kryponite. Its a good thing!

 

[Universal Elements]

It always surprises me how many folks have never even held 5/10k in cash?

You haven't lived yet until you have 100K in cash, (which is smaller than you think) in a duffel bag going to buy a new toy.

Cash is not kryponite. Its a good thing!

 

[Taboma]

What is this the f*cking fight club ?
I'm desperately attempting to get somebody to explain why the concern in the first place if it's over the sale of a car, or rv or boat ?
If by some miracle you're selling it at a profit, then seems you could easily deposit the amount you originally paid for it, plus any improvements, then it's only the profit balance to consider.
Now, I agree, if we're talking the sale of an original Shelby Cobra you've owned since the 60's or 70's, OK, this could get tricky. Or that Ferrari 250 GT --- you're going to need a boat to the Caymans.

What am I missing here ?? Oh please, Oh please, will you share.

 

[RCDave]

ELECTIONS HAVE CONSEQUENCES....................................................................................................................................................................................................................................................................................................................................................................................................................

Quit voting for leftist candidates

 

[nameisbond]

I bought a VW Corrado as a winter beater. Car was $12k at the time and I got cash at the bank. It was over the $10k limit and the teller asked what for. I told her and she got my money. No big deal. Canada still had the $1k bill, so got 12 of them. Fit in my wallet. Canada stopped producing that bill in 2000 and this year they made it not legal tender. If it still could be used, Id pay for toys in cash.

 

[Joe mama]

Now it is pretty easy to burn through all that excess cash within one month of fueling up cars and taking the family to chilli's

A weekend in Havasu

 

[Melloyellovector]

Who deposits cash, put that shit in the trash, dirty COVID paper

 

[bonesfab]

I sold two cars to one guy. He shows up with a 100k cash in 5's,10's, 20's, and some 100's. luckily he brought a bill counter. It was literally a paper grocery bag half full neatly stacked. A farmer with a vegetable stand.

 

[spectras only]

We sold our travel trailer earlier this year for cash. Native guy [ they tax exempt in Canada ] bought it He went to his bank to withdraw 10K in envelops multiple times to come up the full amount for the purchase. We kept 10K cash at home and had to go to our bank [ long time customer there, they known us] and counted the cash with their machine and deposited it, no problem. Natives are the smartest people around here now, They know how to use the system with their status, telling the government to eff off. Have native friends offering to come along to Home depot if want to purchase building materials.

 

[Racey]

Make multiple smaller deposits over time??

This is referred to as "structuring" and is even bigger of a crime than whatever the initial transactions or tax liabilities you have avoided were in most cases.

 

[LargeOrangeFont]

It always surprises me how many folks have never even held 5/10k in cash?

You haven't lived yet until you have 100K in cash, (which is smaller than you think) in a duffel bag going to buy a new toy.

Cash is not kryponite. Its a good thing!

I asked my friends wife what $1M in $100 bills looked like. She thought it was a room full of money like in Duck Tales.

 

[EmpirE231]

I sold two cars to one guy. He shows up with a 100k cash in 5's,10's, 20's, and some 100's. luckily he brought a bill counter. It was literally a paper grocery bag half full neatly stacked. A farmer with a vegetable stand.

at least have the decency to bring hundo's when buying something at that price tag. I'd be kinds pissed lol

 

[DLC]

I’d keep some of the cash on hand at home for just in case….

what’s the next crisis going to be? You know there is another one around the corner.

 

[Ziggy]

This is referred to as "structuring" and is even bigger of a crime than whatever the initial transactions or tax liabilities you have avoided were in most cases.

I'm fully aware. I take it you didn't read the entire thread.

 

[TimeBandit]

The new proposed law has already been tweaked up to $10,000 in net inflows or outflows in any bank account not per transaction but per year so if you deposit $1,000 a month in cash or check at the end of the year you have $12,000 in income the IRS will want to talk about.

They call this going after the rich but basically it will catch anybody with a side business or rental income IF you make deposits.

Keep the cash and start dealing in cash it's always good for a discount anyway!

 

[traquer]

The new law has already been tweaked to $10,000 in net inflows or outflows in any bank account not per transaction but per year so if you deposit $1,000 a month in cash or check at the end of the year you have $12,000 in income the IRS will want to talk about....

They call this going after the rich but basically it will catch anybody with a side business or rental.

Keep the cash and start dealing in cash it's always good for a discount anyway!

I'm assuming that's cash inflows/outflows? The articles I read weren't clear. Either way it's a bullshit big brother thing.

Pro tip from a Mexican buddy if you're dealing in cash: buy two safes. The small one has some cash and interesting looking but not really valuable things in it. If someone robs you or holds you at gunpoint, that's where you go.. The other bigger safe is the more hidden one you don't tell anyone about ever.

 

[Taboma]

I'm assuming that's cash inflows/outflows? The articles I read weren't clear. Either way it's a bullshit big brother thing.

Pro tip from a Mexican buddy if you're dealing in cash: buy two safes. The small one has some cash and interesting looking but not really valuable things in it. If someone robs you or holds you at gunpoint, that's where you go.. The other bigger safe is the more hidden one you don't tell anyone about ever.

Here's a tip from somebody who's home burned in a wildfire, along with his neighbor's & imagine our surprise when we cracked open the charred safes ---- Cash burns inside of safes, guns turn to rusted junk.
I'm not saying ALL safes, but the vast majority most of us purchased thinking they were going to keep our shit safe in a fire. Small fire, sure, but a full house burn, real iffy. Most of us who learned the hard way, installed floor safes in the concrete slabs when we rebuilt. Obviously not good for storing most guns or rifles, but best for important docs or cash. Also pretty hard to drive off with.

 

[just_floatin]

I sold two cars to one guy. He shows up with a 100k cash in 5's,10's, 20's, and some 100's. luckily he brought a bill counter. It was literally a paper grocery bag half full neatly stacked. A farmer with a vegetable stand.

Yes I’m a ganja farmer

 

[C_J_J_C]

It always surprises me how many folks have never even held 5/10k in cash?

You haven't lived yet until you have 100K in cash, (which is smaller than you think) in a duffel bag going to buy a new toy.

Cash is not kryponite. Its a good thing!

Cash? What cash?

 

[RitcheyRch]

 

[BingerFang]

Anyone have a link to this limit so I can read more about it?

 

[RCDave]

Just more government intrusion into our lives. Big government is evil

 

[TimeBandit]

Anyone have a link to this limit so I can read more about it?

Here is one:

Biden revises proposal to have IRS monitor bank accounts more closely. Here's how it would work

Some critics say the changes are not good enough.

www.marketwatch.com

 

[hman442]

Here's a tip from somebody who's home burned in a wildfire, along with his neighbor's & imagine our surprise when we cracked open the charred safes ---- Cash burns inside of safes, guns turn to rusted junk.
I'm not saying ALL safes, but the vast majority most of us purchased thinking they were going to keep our shit safe in a fire. Small fire, sure, but a full house burn, real iffy. Most of us who learned the hard way, installed floor safes in the concrete slabs when we rebuilt. Obviously not good for storing most guns or rifles, but best for important docs or cash. Also pretty hard to drive off with.

I bought these from Amazon to keep cash in, they make a bigger one that you can put this size in. I hoped that double bagging inside a "fireproof" safe might actually work. Not sure how to test that theory though

 

[mjc]

I’d keep some of the cash on hand at home for just in case….

what’s the next crisis going to be? You know there is another one around the corner.

I have bundles of new bills in my safe, they stack much nicer.

 

[bowtiejunkie]

I’d keep some of the cash on hand at home for just in case….

what’s the next crisis going to be? You know there is another one around the corner.

I picked your post, but this a general warning to everyone here. Years ago a fellow car enthusiast was telling some friends and I about his friend who regularly kept $50k in his home safe along with a stash of guns. The guy with $50k apparently ran his mouth around the wrong people. He want on vacation for a few weeks and people broke into his house, which was out in the boonies. With lots of time for the task at hand, they cut the side of the safe off and stole the cash. Never got it back.

It’s amazing to me people talk/post about cash/precious metal hoarding at home, guns, and especially the existence and location of a safe. What’s the purpose of having a safe if you tell everyone about it and what’s in it? Just seems weird.

 

[Taboma]

I bought these from Amazon to keep cash in, they make a bigger one that you can put this size in. I hoped that double bagging inside a "fireproof" safe might actually work. Not sure how to test that theory though

I don't know how to test them either, or the ratings on the safes for that matter. I've read that the melting temp of aluminum is 1,221 degrees F. Everything outside of the safe that was aluminum was reduced to puddles. Like a couple of jet ski engines.
Money burns between 425 and 475 F, so temps inside the safe certainly reached " Oven" hot.
In real world scenarios, it's not just the extreme temperatures, it's the length of time all this material that collapsed and is now piled around the safe, continues to burn unattended for a long time.
In the case of a single residence fire, it may be extinguished more rapidly ?? Or perhaps the entire structure won't be engulfed, there's just so many variables.

 

[DLC]

If your storing cash and paperwork - pink slips - paperwork I would go for one of these inside a bigger fire resistant gun safe.

 

[Taboma]

If your storing cash and paperwork - pink slips - paperwork I would go for one of these inside a bigger fire resistant gun safe.

View attachment 1060038

Now that right there might just work when placed inside the safe as mentioned.

 

[Orange Juice]

Selling a car right now and trying to figure out what/if I need to be concerned about this new $600 transaction limit and, if so, how do I avoid it?

(Please keep the politics out of it, we all agree that the $600 limit is stupid and I don't want this to be put in the dungeon

Just don’t sell 20 cars a month, and you’ll be ok.

 

[EBT531]

The new rules will send the government the total of ALL transactions in and out of an account so all of the cheats are out the window unless you just avoid banks.

 

[hman442]

The article I read said that they, "under pressure" raised the limit from the 600 dollars to 10,000 dollars, so they'd "only be tracking the rich". But this is total deposits for the year ?? They'll be tracking pretty much everyone that has a bank account ! The article also said they'd "give exclusions for wage earners like teachers and firemen". What does that even mean ? Frikkin idiots..

 

[DWC]

It always surprises me how many folks have never even held 5/10k in cash?

You haven't lived yet until you have 100K in cash, (which is smaller than you think) in a duffel bag going to buy a new toy.

Cash is not kryponite. Its a good thing!

Paid for the Magic with half cash/half cashiers check. F’g nerve wracking driving out to Havasu with that much on me. No guns, no nothing. The next time we wired it over. Wasn’t playing that game again. The maxed out team had a few good stories with duffel bags full of cash to buy boats. Pretty big chunks of change.
When we sold the ski boat it was a sketchy story. Was being bought by a 3rd party and shipped to “New Zealand”. Guy showed up with cash. Sent the wife to the bank to deposit it. They took it and i turned over the boat.