The proposal seems wrong, but the article is a bit off too. > As Mises noted, capitalism suffocates without loopholes. The definition of “loophole” here, thou

The proposal seems wrong, but the article is a bit off too. > As Mises noted, capitalism suffocates without loopholes. The definition of “loophole” here, though, is actual tax avoidance. Wrong tack to take. I’ve worked in small and marginal businesses, we paid the taxes. No sympathy here. The article refers twice to the idea that the reporting will be on movements of $600 or more- is that right? A plain reading of the text (below) suggests that the account balance is of $600, and the movements will be of any size. The text, which is short and could have been included, is: > This proposal would create a comprehensive financial account information reporting regime. Financial institutions would report data on financial accounts in an information return. The annual return will report gross inflows and outflows with a breakdown for physical cash, transactions with a foreign account, and transfers to and from another account with the same owner. This requirement would apply to all business and personal accounts from financial institutions, including bank, loan, and investment accounts,2 with the exception of accounts below a low de minimis gross flow threshold of $600 or fair market value of $600. Other accounts with characteristics similar to financial institution accounts will be covered under this information reporting regime. In particular, payment settlement entities would collect Taxpayer Identification Numbers (TINs) and file a revised Form 1099-K expanded to all payee accounts (subject to the same de minimis threshold), reporting not only gross receipts but also gross purchases, physical cash, as well as payments to and from foreign accounts, and transfer inflows and outflows. Similar reporting requirements would apply to crypto asset exchanges and custodians. > Separately, reporting requirements would apply in cases in which taxpayers buy crypto asset from one broker and then transfer the crypto assets to another broker, and businesses that receive crypto assets in transactions with a fair market value of more than $10,000 would have to report such transactions. > The Secretary would be given broad authority to issue regulations necessary to implement this proposal. The proposal would be effective for tax years beginning after December 31, 2022.