Rep. Mike Garcia, R-Santa Clarita, has co-sponsored the Prohibiting Internal Revenue Service Financial Surveillance Act to protect Americans’ private financial information, his office announced Thursday.
The bill would prohibit the IRS from implementing any new reporting requirements for banks or other financial institutions.
Garcia co-sponsored the bill because Democrats are considering a reconciliation package, a $3.5 trillion 10-year spending plan to expand education, health care and child care. In the proposed package, Democrats included a provision allowing the IRS to monitor all bank transactions over $600.
“The Biden administration’s proposal to have the IRS monitor all bank transactions over $600 is a threat to Americans’ privacy,” Garcia said in a prepared statement. “This action would allow the IRS to snoop on our small businesses, families and hard-working taxpayers.”
The bill would prevent the secretary of the Department of Treasury from enacting new rules that would require financial institutions to report inflow and outflows of citizens’ accounts while keeping existing legislation in place.