League Writes Lawmakers in Opposition to Expanded 1099s

Your League this week wrote members of the Virginia Congressional Delegation urging them to oppose the Senate’s Fiscal Year 2022 Budget Resolution that proposes financial institutions be required to report significant amounts of aggregate data to the IRS through an expanded Form 1099-INT. 

The proposal is so broad, with a de minimis exception so low ($600), that most accounts and accountholders will be subject to reporting, notes the League.

Credit unions and banks would be required under the proposal to annually report gross inflows and outflows of accounts (both businesses and individuals) with a breakdown for cash, transactions with a foreign account, and transfers to and from another account with the same owner. This is truly an all-encompassing proposal.

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Credit unions, banks and other entities would be required to annually report to the IRS the gross inflows and outflows of account holders (businesses and individuals) with a breakdown for cash, transactions with a foreign account, and transfers to and from another account with the same owner.

We are deeply concerned about the added regulatory burden and costs this proposal would place on credit unions.

You can take action now by writing lawmakers and asking them to oppose this proposal.