FBAR - FOREIGN BANK AND FINANCIAL ACCOUNTS REPORTING

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Asset Identification & Classification Determination: We can assist taxpayers with identifying which assets need to be reported.

Statute of Limitation & Audit Support: We can assist with representing taxpayers before the IRS.

Delinquent Filings: We can assist with voluntary disclosures with the IRS to mitigate penalties.

Ongoing Compliance & Monitoring:  We can provide ongoing support to ensure compliance. 

The FBAR (FinCEN Form 114) is not filed with the IRS rather with Financial Crimes Enforcement Network (FinCEN), a bureau of the Department of the Treasury. It is generally due April 15th with automatic extension until October 15th. For example, similar to your income tax return due dates, the calendar year 2023 Form 114 return is due April 15, 2024, with automatic extension until October 15, 2024.

A U.S. person that has a financial interest in or signature authority over foreign financial accounts must file an FBAR if the aggregate value of the foreign financial accounts exceeds $10,000 at any time during the calendar year. 

Penalty for non-compliance or incorrect reporting is steep. Generally, penalty is up to $10,000 per violation, however, if it is a willful violation, penalty is draconian at greater $100,000 or 50% of account balance.  

If you have delinquent reporting to catch up with, there are options like delinquent FBAR submission procedures.  

We can assist with compliance, review, or catching you up with delinquent filings if you meet certain requirements. 

If you're thinking to evaluate your options, Attorney Legal can help. Our attorney can assist with evaluating and optimizing your options.