Depositing cash in multiple accounts

[penghwi]

What is the name of your state? Maryland
Came to US form an Asian country to purse my academics and routinely receive cash from my parents in my country and relatives here. Based on a classmate’s (false) advice, I opened around 15 checking accounts with different banks and deposited around $1000-2000 cash (that is, dollar/currency bills) in each account. I did this deposit two times in each account over an interval of a year (that is, I deposited around $1000-2000 two times in each of these 15 accounts). Each of these accounts does not provide any interest. Recently another friend told me that this is called Structuring https://en.wikipedia.org/wiki/Structuring . Does IRS will be aware of this? What is the best thing for me to do?

 

[Just Blue]

What is the name of your state? Maryland
Came to US form an Asian country to purse my academics and routinely receive cash from my parents in my country and relatives here. Based on a classmate’s (false) advice, I opened around 15 checking accounts with different banks and deposited around $1000-2000 cash (that is, dollar/currency bills) in each account. I did this deposit two times in each account over an interval of a year (that is, I deposited around $1000-2000 two times in each of these 15 accounts). Each of these accounts does not provide any interest. Recently another friend told me that this is called Structuring https://en.wikipedia.org/wiki/Structuring . Does IRS will be aware of this? What is the best thing for me to do?

https://www.law.cornell.edu/uscode/text/31/5324

Wikipedia is not a very good source for legal information.

 

[LdiJ]

What is the name of your state? Maryland
Came to US form an Asian country to purse my academics and routinely receive cash from my parents in my country and relatives here. Based on a classmate’s (false) advice, I opened around 15 checking accounts with different banks and deposited around $1000-2000 cash (that is, dollar/currency bills) in each account. I did this deposit two times in each account over an interval of a year (that is, I deposited around $1000-2000 two times in each of these 15 accounts). Each of these accounts does not provide any interest. Recently another friend told me that this is called Structuring https://en.wikipedia.org/wiki/Structuring . Does IRS will be aware of this? What is the best thing for me to do?

The best thing for you to do would be to start closing the unnecessary accounts and move your money eventually into one or two accounts at the most. Let your parents wire transfer money to your primary account when needed, and if relatives here give you money simply deposit that money in your account. You are a foreign student and it will be expected for you to deposit money into your account from family to pay for your education and living expenses.

 

[Taxing Matters]

What is the name of your state? Maryland
Came to US form an Asian country to purse my academics and routinely receive cash from my parents in my country and relatives here. Based on a classmate’s (false) advice, I opened around 15 checking accounts with different banks and deposited around $1000-2000 cash (that is, dollar/currency bills) in each account. I did this deposit two times in each account over an interval of a year (that is, I deposited around $1000-2000 two times in each of these 15 accounts). Each of these accounts does not provide any interest. Recently another friend told me that this is called Structuring https://en.wikipedia.org/wiki/Structuring . Does IRS will be aware of this? What is the best thing for me to do?

It's structuring if you are splitting these deposits to avoid the banks having to report deposits in excess of $10,000 to the Treasury. The thing is that in your situtation, so long as you can prove the money deposited were gifts to you, you'd have no tax to pay on the money you are receiving. In short, the reporting wouldn't cost you anything, but it can cost you to try to engage in structuring. I agree with LdiJ that you likely should just consolidate the money all into one or two accounts, perhaps a checking account and a savings account, CD, etc.

 

[penghwi]

So many thanks and I will follow your advice.

By the way, for information purpose, does a bank report any thing about a customer account (unless the bank suspects a structuring or some other kind of possible violation happened in/with that account) to IRS or or any other government agency if the account is not paying any interest (to the account holder) on the money in that account?

 

[adjusterjack]

I don't know. Would they tell us if they did?