A 1970 anti-money-laundering law known as the Bank Secrecy Act spells out the rules for large cash withdrawals. The $10,000 Rule), and while that might seem like a big secret to you right now, it’s important to know about this law if you’re looking to make a large bank deposit over five figures. However, there are instances where banks are required to report transactions to the IRS. They are obliged to report cash deposits of £10,000 + , numerous deposits which can be under £10,000, numerous withdrawals , large cash deposits in Night Safes. Yes, your UK bank may ask where the money came from and they WILL notify HMRC (Inland Revenue is a 20th centry name). Deposits Of $10,000 Or More. Money Laundering Although these laws may seem strict, they exist for a reason. I am not required to do a self-assessment tax return. Gary Ashford, head of tax disputes at RSM Tenon, the accountants, says restaurants are a happy hunting ground because of the large number of small value cash transactions that are involved and regular changes of ownership. Here is an example: https://retiready.co.uk/ Under current laws Banks now have to disclose information on request to Police, the HMRC , the Department of Trade and Industry, and the Serious Fraud Office. Banks are also required to inform you of any forms the IRS needs when you are making any qualifying transactions. Large deposits of cash into a bank account can be a sign of criminal activity, according to the IRS. Banks will report deposits made in the form of cash, which can include bank drafts, traveler's checks, money orders and currency. In general, banks must report … The Law. Banks are legally obliged to notify HMRC of interest paid, but not amount of capital held. “Where they do these reviews they are looking at … I understood that the banks would report to HMRC the amount of interest paid and that HMRC would adjust my code for 2017/18 to recoup the tax due on the excess amount of interest. HMRC agreed to think about it and will report back this month. In the UK banks routinely demand from their customers detailed statements about "source of funds" if the customer makes a large deposit (over $100,000). HMRC are aware of interest rates, so can make an educated guess. Interesting warning: …if a customer reneges on their initial request to deposit or withdraw more than $10,000 in cash, and instead requests the same transaction for $9,999, the bank employee should deny such a request and continue the transaction as originally requested by filing a CTR. As much as you like: the only proviso is that is consistent. 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