U.S. Senator Bill Hagerty (R-TN) filed legislation on Thursday to reverse the decision to require third-party payment processors to report transfers more than $600 to the Internal Revenue Service (IRS). Hagerty called the three-year-old policy an “egregious and unwarranted overreach” into citizens’ privacy.
Hagerty introduced the Stop the Nosy Obsession with Online Payments (SNOOP) Act, which his office said would remove the provisions of the Internal Revenue Code created by former President Joe Biden’s American Rescue Plan (ARP), which required third-party payment processors like PayPal and CashApp to report the transaction histories of customers with volumes of more than $600, lowering the threshold from $20,000 or 200 total transfers.
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