§6050I Returns Relating to Cash Received in Trade or Business, Etc.

Summary

Businesses that get more than $10,000 in cash in a single sale or in related sales must file a report with the Treasury/IRS. The report must give the payer’s name, address, and tax ID number, the cash amount, the date and kind of transaction, and any other details the IRS asks for. "Cash" includes foreign money, certain monetary instruments up to $10,000, and digital assets (as defined in tax code section 6045(g)(3)(D)). That monetary-instrument rule does not cover checks written on the payer’s account at qualifying banks. The rule does not apply when the payment is already reported under certain federal rules or when a covered financial institution handles the cash, and it generally does not apply to transactions that happen entirely outside the United States as set by IRS rules. Businesses must also give each payer a written statement with the business contact info and the total cash received, and they must send that statement by January 31 of the year after the cash was received. People may not split or change transactions to avoid these reporting rules, and doing so can bring the same civil and criminal penalties as failing to file or filing false reports. Clerks of federal or state criminal courts who receive over $10,000 in cash as bail for someone charged with certain serious crimes (drug offenses, racketeering, money laundering, or similar state crimes) must make a similar report with the IRS listing the defendant and bail payers, amounts, dates, and other required details. Those clerks must also give the U.S. Attorney offices in the defendant’s residence and offense locations the defendant’s information and must tell each bail payer the clerk’s office contact and the total cash amount received, all at times the Treasury/IRS requires.