FBAR & FATCA Reporting
Foreign Bank Accounts
Americans living abroad often maintain bank accounts, investment accounts, pensions, and other financial assets outside the United States. These accounts may trigger U.S. reporting requirements even when the income they generate is not taxable in the United States.
Two important reporting obligations are the Foreign Bank Account Report (FBAR) and the Foreign Account Tax Compliance Act (FATCA).
FBAR — FinCEN Form 114
U.S. persons generally must file an FBAR when the combined maximum value of their foreign financial accounts exceeds $10,000 at any time during the calendar year.
The FBAR is filed electronically with the Financial Crimes Enforcement Network (FinCEN), separately from the federal income tax return.
FATCA — IRS Form 8938
Form 8938 requires certain U.S. taxpayers to disclose specified foreign financial assets when applicable reporting thresholds are exceeded.
For taxpayers residing abroad, these thresholds are generally higher than those applicable to taxpayers living in the United States.
How We Can Help
Barron's International Tax Service assists Americans abroad with:
- Preparing and electronically filing FBARs (FinCEN Form 114).
- Determining whether Form 8938 is required and preparing the form.
- Reviewing foreign bank, investment, and other reportable financial accounts.
- Addressing delinquent FBARs and prior-year reporting omissions.
- Assisting eligible taxpayers with any Streamlined Foreign Offshore Procedures.
Delinquent FBAR or FATCA?
Failure to comply with foreign account reporting requirements can result in substantial IRS or FinCEN penalties, even when no additional U.S. income tax is owed.
Many Americans abroad are unaware that their foreign bank accounts, investment accounts, and certain other financial assets may be subject to U.S. reporting requirements.
How We Can Help
- Review prior-year FBAR and FATCA filing obligations.
- Prepare delinquent or amended FBARs.
- Assist with delinquent Forms 8938 and related tax return amendments.
- Evaluate eligibility for the Streamlined Foreign Offshore Procedures.
- Help clients resolve reporting omissions and return to compliance.
Behind on Your Reporting?
We provide experienced, confidential assistance to Americans abroad seeking to bring their U.S. reporting obligations up to date.