Report of Foreign Bank and Financial Accounts (FBAR)

[cannonball83204 78]

I copied and pasted the following information from Thaivisa and thought everyone that is living or considering living in Thailand should know about this.

 

Thanks to Jingthing on Thaivisa for this link.

 

"Two months to go. If you are required to file this form, why wait until the last minute? The potential penalties for not filing are shockingly massive.

 

If you are not sure if you required to file, this link should inform you:"

 

 

http://www.irs.gov/businesses/small/articl...=148849,00.html

[Big_Brian 179]

This would apply to US citizens only I think.

[davebuczek 21]

This would apply to US citizens only I think.

 

 

CB...this is mainly for US citizens living in the US. You (like Me) are a US citizen, but your residence is overseas, so you are exempt for now. And there is probably no way for the IRS to find out, unless you wired money from your foreign account to your US account. Just like reporting world wide income, it is based on the honor system.

Edited May 2, 2010 by davebuczek

[tko 219]

CB...this is mainly for US citizens living in the US. You (like Me) are a US citizen, but your residence is overseas, so you are exempt for now. And there is probably no way for the IRS to find out, unless you wired money from your foreign account to your US account. Just like reporting world wide income, it is based on the honor system.

 

I don't see where US citizens not living in the US are exempt? The language is "citizen or resident" The only exemption is if the account never reaches $10,000.

[cannonball83204 78]

I don't see where US citizens not living in the US are exempt? The language is "citizen or resident" The only exemption is if the account never reaches $10,000.

 

ok, all good information, my next question however is about when you transfer money; i.e. $10,000 USD or more in one year from your bank to a Thai bank account. I do believe this would qualify for reporting.

 

What do you think?

Edited May 2, 2010 by cannonball83204

[davebuczek 21]

I don't see where US citizens not living in the US are exempt? The language is "citizen or resident" The only exemption is if the account never reaches $10,000.

 

 

Sorry, I read that as not a US citizen, not US residents or not domestic entities. This means that if you qualify for any of these you are exempt. This is the way I ready it. You didn't read the announcement that suspends the the requirement as below:

 

"This Announcement suspends, for persons who are not United States citizens,

United States residents, or domestic entities (corporations, partnerships, trusts, or

estates), the requirement to file Form TD F 90-22.1, Report of Foreign Bank and

Financial Accounts (FBAR), for the 2009 and earlier calendar years."

Edited May 2, 2010 by davebuczek

[davebuczek 21]

ok, all good information, my next question however is about when you transfer money; i.e. $10,000 USD or more in one year from your bank to a Thai bank account. I do believe this would qualify for reporting.

 

What do you think?

 

CB...the $10,000 for reporting is for cash transactions. The bank has requirements for information that is to be kept regarding the bank you are sending it to, but there is nothing for you to report. I used to do Bank Secrecy Act/Anti Money Laundering audits of financial institutions.

[midlifecrisis 4,048]

Over $10K or more must be reported to the Department of the Treasury yearly

 

If you use Turbo Tax or H&R Block tax software it will ask you about this.

[davebuczek 21]

Over $10K or more must be reported to the Department of the Treasury yearly

 

If you use Turbo Tax or H&R Block tax software it will ask you about this.

 

 

If you are referring to non-cash, please tell me the IRS publication that requires this.

[midlifecrisis 4,048]

If you are referring to non-cash, please tell me the IRS publication that requires this.

My understanding is it is not an IRS form but a Treasury Department form but my account is far below the need to file it:

 

"Reporting and Filing Information

 

A person who holds a foreign financial account may have a reporting obligation even though the account produces no taxable income. Checking the appropriate block on FBAR-related federal income tax return questions (found on Form 1040 of Schedule B, the "Other Information" section of Form 1041, Schedule B of Form 1065, and Schedule N of Form 1120) and filing Form TD F 90-22.1, Report of Foreign Bank and Financial Accounts, satisfies the account holder's reporting obligation.

 

The FBAR is not to be filed with the filer's Federal income tax return. The granting, by the IRS, of an extension to file Federal income tax returns does not extend the due date for filing an FBAR. You may not request an extension for filing the FBAR. The FBAR must be received by the IRS on or before June 30 of the following year. File by mailing the FBAR to:

 

U.S. Department of the Treasury

P.O. Box 32621

Detroit, MI 48232-0621.

 

If an express delivery service is used, file by mailing to:

 

IRS Enterprise Computing Center

ATTN: CTR Operations Mailroom, 4th Floor

985 Michigan Avenue

Detroit, MI 48226

 

Delivery messenger service contact telephone number: 313-234-1062

 

Account holders who do not comply with the FBAR reporting requirements may be subject to civil penalties, criminal penalties, or both."

 

There are many well versed on this issue at Thaivisa.com

 

edit: I googled the form. Here is a link to the PDF:

 

http://www.fincen.gov/forms/files/f9022-1_fbar.pdf

Edited May 2, 2010 by midlifecrisis

[davebuczek 21]

Ok, one last time. You posted only the beginning of the attached requirement:

 

http://www.irs.gov/businesses/small/articl...=148849,00.html

 

If you go down a few more paragraphs, you will see:

 

"Note: Announcement 2010-16 temporarily suspends, for persons who are not United States citizens, United States residents or domestic entities, the requirement to file Form TD F 90-22.1 for the 2009 and earlier calendar years. The Announcement supplements and supersedes Announcement 2009-51."T

 

The announcement is here:

 

http://www.irs.gov/pub/irs-drop/a-10-16.pdf

 

It clearly states that if you are NOT a US resident (i.e. expat living overseas) you are NOT required to file the form.

[midlifecrisis 4,048]

Dave, lighten up. I am a US citizen residing in the United States.

 

Again, to all interested, you best source of expat info is Thaivisa.com.

 

The amount of knowledge and experience there dwarfs this forum in comparison for expat issues.

 

No offense to those here.