Sen. Marshall Supports Legislation to Protect Kansas Small Businesses from IRS Snooping

(Washington, D.C., February 11, 2022) – U.S. Senator Roger Marshall, M.D. announced his support of the Stop the Nosy Obsession with Online Payments (SNOOP) Act, a bill to strike the tax code provision inserted by the Biden Administration in the American Rescue Plan (ARP) that requires third-party payment platforms to report businesses’ gross transaction volumes totaling more than $600 to the Internal Revenue Service (IRS).

Prior to the ARP, payment providers were only required to report information when a payee had over 200 commercial transactions per year that exceeded $20,000. As a result of the new provision, thousands of small businesses will have to fill out 1099-Ks to provide their personal information to the IRS, despite the IRS’ poor history of safeguarding Americans’ personal data.

“The Democrats’ attempt to force small businesses to report personal information to the IRS is incredibly intrusive, and violates the rights and privacy of hardworking Americans,” said Senator Marshall. “This is just another example of the Biden Administration’s mission to expand the federal government’s control over every aspect of Americans’ lives. I’m proud to support legislation that will stop the IRS from harassing U.S. taxpayers and safeguard the American people’s financial privacy.”

Last year, Senator Marshall joined his colleagues in introducing the “Prohibiting IRS Financial Surveillance Act,” a bill to prevent the IRS from implementing Democrats’ plan to give the agency access to transaction information of virtually every American.

Background:

• Earlier this month, the Washington Examiner reported that third-party payment processors, like Venmo and PayPal, will be required to report these business transactions. 
• Over the past year, Democrats have used the IRS to target conservative political organizations and wealthy Americans to further their political agenda. 
• Although the effort ultimately failed, the Biden Administration attempted to force banks to report data on all bank accounts with more than $600 in annual transactions, which would have allowed them to pry even further into Americans’ lives.

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