[BillNi]

I barely have any money in my bank account and want to deposit the cash I saved from working through odd jobs (on craigslist, kijiji) during the last several years. If I go deposit this cash into my bank account, will I be treated like a criminal? If they ask where the money came from, and I say odd jobs- will they treat me like a suspect of some criminal investigation?

[excon]

If they ask where the money came from,

Hello B:

They will NOT ask. They may NOTE your deposit for the IRS, but that's all.

excon

[BillNi]

IRS? So what about them? If I say money came from odd jobs, will they treat me like a suspect?

[JudyKayTee]

No one has ever asked me where the money I've deposted into my account came from. "Trust fund" babies make deposits all the time and don't get questioned.

It's when you plunk a large sum of cash down on a purchase that you have to fill out Affidavits and answer questions.

[JudyKayTee]

IRS? So what about them? If I say money came from odd jobs, will they treat me like a suspect?

As long as you paid taxes on the money you won't have a problem.

If you didn't pay taxes you could have a problem.

[BillNi]

OK, obviously from working through odd jobs I didn't pay taxes got got paid by cash. Will my money get taken away? Will I be looking at a criminal charge for not paying taxes?

[JudyKayTee]

If IRS presses the issue, yes, earning money and not claiming it on your tax return is fraud.

Will IRS care enough to check against your tax returns? Only IRS knows.

I don't know that it's "obvious" that people who do odd jobs and/or get paid in cash don't claim the income on their tax returns. No one on AMHD can advise you how to break the law.

Will your money be taken away? No. Will you be taxed on it, charged a penalty and interest and possibly charged with fraud? Yes, if IRS "catches" you.

When you buy a house you must show proof where the downpayment came from.

Buy a car for cash and you have to fill out an Affidavit concerning the source of the cash.

In both cases is the info turned over to IRS? Yes. If your proof is verifiable and correct that's the end of it.

[excon]

OK, obviously from working through odd jobs I didn't pay taxes got got paid by cash. Will my money get taken away? Will I be looking at a criminal charge for not paying taxes?

Hello B:

Relax! Yes, the world changed after 9/11, but if you DIDN'T steal the money, AIN'T nobody going to take it away, and AIN'T nobody going to charge you with anything.

You are NOT required to even FILE a tax return unless you made more than somewhere around $9,000. I don't know the exact number, but I doubt whether you've broken ANY laws.

Go to the bank. Deposit what you earned. Keep your head high and your mouth shut.

excon

[JudyKayTee]

I'm a former Fed (as you know). Anyway, anyone who is self-employed and earned more than $400.00 in a calendar year is required to file with IRS.

Does IRS investigate, care or even read mail from banks? I have no idea. I'm just telling you the law.

I didn't see the people who don't file, get paid in cash, go underground. I only saw the ones who got caught.

I have no idea what the odds are.

In NY I know that large bank deposits (I have no idea how the State defines "large") are checked against Public Assistance records. You're on Public Assistance and deposit a chunk of money, they're at your door.

Of course, that's not what we're talking about here.

[excon]

Hello Judy:

I'm a former tax payer (as you know). Here's the information I found. Go to Chart A on page 7:

You MUST file a return, IF:

You are single and under 65, and made AT LEAST $9,350. If you're older, you had to make AT LEAST $10,750. If you're married, the limits are even higher, of course.

There are OTHER categories of taxpayers listed, but ALL them require these kinds of incomes BEFORE you are required to file a tax return.

excon

PS> (edited) Then over there on Chart C, I found this little tidbit. You are required to file IF:

3. You had net earnings from self-employment of at least $400.

Whaddya know about that?

PPS> (edited) Given that the OP calls his income "odd jobs", I'd feel confident advising him that his income was wages rather than self employment income. Besides, once the OP completes a Schedule C, he won't have ANY self employment income. Nope, I don't think he broke any laws at all.

PPPS> (edited) Never mind... He's a Canuck..

[BillNi]

Sorry, I forgot to mention I live in Ontario, Canada. I don't know if these IRS laws work the same way over here. From what I researched, I shouldn't really be having any issues with IRS unless I deposit over 10K. But I don't want to be charged with fraud or anything like that for earning honest money through odd jobs on craigslist over the course of my teenage years. I'm only 20 years old now. I've saved all my money in a home safe but, now I'm debating whether it's just safer here or in the bank. I don't want to get into any hassle.

[NeedKarma]

I think you're ok: Large Cash Transaction and Electronic Funds Transfer Reporting Requirements: Two Or More Transactions In A 24-Hour Period
We are less 'watched' here in Canada so it's less of an issue.

[JudyKayTee]

11 posts later "we" find out "we're" talking about Canada. You would think I would eventually learn...

[Fr_Chuck]

Who cares how you are treated ? If some jerk clerk treats you badly, you will know to latter perhaps change banks.

They may of course check each bill ( larger) to be sure they are real not fake,

[khaning]

Okay I am curious why you are so paranoid? However in real life 4000 is not a lot of money, so you are good.

[NeedKarma]

Okay I am curious why you are so paranoid? However in real life 4000 is not a lot of money, so you are good.

To a 20 year old it would be, to most people it would b a nice chunk of money.

[tickle]

Okay I am curious why you are so paranoid? However in real life 4000 is not a lot of money, so you are good.

I am in 'real life' and could do a lot with $4000 right now. When is that 'not a lot of money'.

Tick

[JudyKayTee]

Okay I am curious why you are so paranoid? However in real life 4000 is not a lot of money, so you are good.

Sorry, but $4,000 is not pocket change where I live.