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Businesses Must Electronically Report Cash Payments Over $10,000

Beginning January 1, 2024

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MORRIS COUNTY — The IRS disclosed that effective from January 1, 2024, businesses should transition from paper to e-filing for Form 8300, which details cash payments exceeding $10,000. This change is in alignment with the latest regulations modifying the e-filing rules.

Cash transactions over $10,000 are reported by businesses to the U.S. government. While most of these transactions are lawful, Form 8300 assists in identifying tax evasion, illicit drug dealings, terror funding, and other crimes. Timely and accurate submissions can enable the tracking of illegal funds.

Businesses already required to e-file particular returns, like Forms 1099 series and W-2, must now e-file Form 8300 from 2024. This transition simplifies IRS interactions. If businesses need to file a minimum of 10 such forms, excluding Form 8300, they must e-file them all. For instance, if a business files five Forms W-2 and five 1099-INT, all their returns, including Forms 8300, must be e-filed. But, if there are fewer than 10 returns excluding Form 8300, they can opt to e-file or not.

Waivers Should electronic filing pose undue hardships, businesses can request a waiver using Form 8508. If granted, it covers all Forms 8300 for the year. Specific waivers for only Form 8300 aren’t available. Businesses should label paper returns with “Waiver” on the top center of the first page. Those with fewer than 10 forms can file Form 8300 on paper without a waiver or can e-file voluntarily.

Exemptions Should e-filing clash with religious beliefs, the filer is automatically exempted and should label paper returns with “RELIGIOUS EXEMPTION” on the top center.

Late Returns Late submissions should be self-labeled. If e-filed, mention “LATE” in the comments. If on paper, write “LATE” on the top center of the first page.

Recordkeeping Businesses should retain all filed Form 8300s and associated records for five years. E-filing confirms receipt but isn’t enough for recordkeeping. A saved or printed copy before final submission is necessary.

Benefits of E-filing Numerous businesses favor the e-filing system for its convenience, cost-effectiveness, and the 15-day reporting deadline post-transaction. E-filing provides a confirmation email and allows batch filings, suitable for those with multiple forms.

To e-file Form 8300, businesses should register on the BSA E-Filing System. The IRS guarantees data security.

For further details, contact the BSA E-Filing Help Desk at 866-346-9478 or bsaefilinghelp@fincen.gov from 8:00 a.m. to 6:00 p.m. EST on weekdays. Additionally, visit IRS.gov for insights on e-filing Form 8300.

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Frank L. Cahill
Frank L. Cahill
Publisher of Parsippany Focus since 1989 and Morris Focus since January 1, 2019, both covering a wide range of events. Mr. Cahill serves as the Executive Board Member of the Parsippany Area Chamber of Commerce, Lt. Governor Division 9 Kiwanis Club of NJ, and Chairman of Parsippany-Troy Hills Economic Development Advisory Board.
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