Nichols Urges Industry-Wide Calling Campaign to Oppose Tax Reporting Provision

In remarks at ABA’s Annual Convention in Tampa today, ABA President and CEO Rob Nichols called on bankers to redouble their advocacy efforts to oppose a controversial proposal that would require financial institutions to report information on gross inflows and outflows for all customer accounts above a yet-to-be-determined de minimis threshold. The idea was originally floated by the Biden administration and is currently being considered for inclusion in the budget resolution.

House Speaker Nancy Pelosi signaled that House Democrats would move to include the provision in their reconciliation bill, and in a CEO update this morning, Nichols urged bankers and their customers to contact their lawmakers before Wednesday to express their opposition. Bankers can find advocacy resources online at SecureAmericanOpportunity.com.

“Surveys show that Americans think that this proposal casts too wide a net, and we agree,” Nichols told convention attendees. “Americans should pay their fair share of taxes but forcing financial institutions to impose a data dragnet on almost every bank customer goes too far. The IRS has other tools to target those suspected of cheating on their taxes before it considers using this kind of blunt instrument.” Call Congress now.

Nichols also reinforced the industry’s concerns about the policy views of OCC comptroller nominee Saule Omarova. “Dr. Omarova has an unquestionably impressive personal story and personal journey,” Nichols said. “Our issues with Dr. Omarova have nothing to do with her impressive personal background, but rather with her very public support for ‘end[ing]banking as we know it.’ . . . We respectfully—but strenuously—disagree with those positions and believe they are out of step with the role for which she is being considered.

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About Author

Monica C. Meinert

Monica C. Meinert is a senior editor at the ABA Banking Journal and VP for editorial strategy at the American Bankers Association, where she oversees ABA Daily Newsbytes.