Requirement to report cash transactions over $10,000
January 19, 2022
The University is required to report certain transactions to the Internal Revenue Service and the Financial Crimes Enforcement Network, where it receives more than $10,000 in cash from a single payer. This rule applies to a single $10,000 transaction as well as two or more related transactions totaling $10,000 or more. Such reporting is required on Form 8300 within fifteen (15) days following the transaction. Failure to report such transactions may result in substantial fines/penalties.
Cash is generally coin and currency but may include financial instruments such as money orders and bank checks. Payments for tuition, room and board, medical services, rent and the repayment of debt are examples of potentially reportable payments. Charitable contributions are not reportable transactions.
To ensure that the University complies with the Form 8300 reporting requirements, departments collecting cash should review the cash transaction reporting rules and the University procedures for compliance with these rules which are available on the University Tax Department website. If you have any questions, please contact Michael Damone at 203-432-7515.