<prompt> Human: In mid 2016 I purchased my first home. Part of the agreement included the previous owners paying for repairs that totaled 12,000. Instead of reducing the sale price, or the owners fixing it themselves, they cut a check for the assessed value of the repairs. After the closing, I started a new account at a new bank, deposited the check in full, and over the course of the next 6 months I used that money to pay for the repairs. Once the work was complete I closed the account.It recently came to my attention, as I undersatnd it, that all deposits over 10,000 are reported to the Feds IRS?. Well, I never claimed that money as additional income. Ive also yet to receive any formal notices from the Feds or the State regarding this money.What does rpersonalfinance recomend I do? Amend my 2016 return to reflect this money? Let it ride as I have yet to receive anything from the Feds State?Assistant: Only cash deposits are reported in this manner, so the reporting wouldnt have occured on your deposit. Even if it was applicable the report is for anti-money laundering purposes and has nothing to do with your taxes. You do not have to amend your taxes or do anything.Human: Potentially stupid question but why are checks and cash not viewed in the same light?  <response>: Checks have a built in paper trail. Cash does not.Edit: to expand on this, the biggest questions in a money laundering investigation are where did this money come from, or where is this money going. The paper trail makes things more transparentmitigates alot of the risk and that is why they arent as worried about checks. 