FAQs Regarding Reporting Cash Payments of Over $10,000 (Form 8300)

 

Filing Requirements:
  1. Who must file Form 8300?
    Any persons who receive more than $10,000 while conducting their trade or business must file a Form 8300. The $10,000 may occur in a single transaction, or a series of related transactions.
  2. What payments must be reported?
    A business must file Form 8300 to report cash paid to it if the cash payment is:
    • Over $10,000,
    • Received as:
      1. One lump sum of over $10,000,
      2. Two or more related payments that total in excess of $10,000, or
      3. Payments received as part of a single transaction (or two or more related transactions) that cause the total cash received within a 12-month period to total more than $10,000.
    • Received in the course of trade or business,
    • Received from the same buyer (or agent), and
    • Received in a single transaction or in two or more related transactions.
  3. What is the definition of a transaction?
    A transaction is the underlying event resulting in the transfer of cash. Examples include:
    • Sale of goods, services or real or intangible property
    • Rental of goods or real or personal property
    • Cash exchanged for other cash
    • Establishment, maintenance of or contribution to a trust or escrow account
    • A loan repayment
    • Conversion of cash to a negotiable instrument such as a check or a bond
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