By Joseph R. Carducci, October 29, 2014.
This is a follow up to the story I reported on the other day, regarding how the IRS has become exceptionally abusive and unfair in their use of power. There are strong reasons why even some of the most powerful politicians in Washington these are days are finally starting to talk about eliminating this agency altogether.
IRS Now Targeting Deposits Under $10,000
Part of the problem is that they have a really nasty law on the books giving them the power to investigate and seize the assets of small businesses who make regular bank deposits (especially in cash) of UNDER $10,000. We are probably already aware of the fact that anyone who deposits $10,000 and over will be legally required to complete an IRS form declaring the money and its source, etc.. This is part of their efforts to fight against drug traffickers and money laundering and so forth.
But it would seem that now, you are caught in a ‘damned if you do, damned if you don’t’ situation. As a small business, you are not likely to have cash deposits above $10k on a regular basis. Sadly, the act of simply making regular deposits (of almost any amount now), will trigger the IRS to look into things. So even if you would have gladly complied with any paperwork law (there are reasonable arguments that even extra paperwork is a privacy intrusion, but one case at a time) you are still potentially branded a criminal.
No Presumption of Innocence, More Seizures Than Ever
Worst of all, should the IRS target your small business, there is no presumption of innocence for any citizen. Nope. The IRS has different rules. This is why you often hear them say stupid things like ‘the IRS doesn’t make mistakes,’ even when every sane person knows they do…every day. You need to PROVE that you are not guilty, after they have already taken your money. Sadly, many folks end up giving up due to the sheer time and resources that are required to fight the most powerful government agency.
This crazy law has already affected more businesses than you might think, since the agency doesn’t even need any proof or even evidence. They can simply go in and seize your accounts. Instances of this type of seizure are more than five times the level they were just 10 years ago. Dairy farmers in Maryland, an army sergeant in Virginia, and a New York restaurant are just some of those who had their money stolen by the IRS.
NY Times Blames Tea Party Budget Cuts
The New York Times would love to give the IRS even more power to conduct additional asset searches and seizures. Big advocates for never holding anyone at the agency accountable for anything, either. Plus, they think the IRS should also have an inexorably increasing budget with which to conduct audits of non-criminals:
“There is a scandal going on at the Internal Revenue Service, but it has nothing to do with Lois Lerner or her missing emails…No, the real scandal is what the Republicans did to cripple the agency when virtually no one was looking. Since the broad Tea Party-driven spending cuts of 2010, the agency’s budget has been cut by 14 percent after inflation is considered, leading to sharply reduced staff, less enforcement of the new tax laws and poor taxpayer service…”
Yes, that poor, weakened agency. They should have all the power imaginable. Simply ridiculous. What do YOU think? Time to get rid of the IRS? Is this truly abuse of power, or the agency only doing their job? Should people be held accountable for this sort of thing?