Looking for information on FBARs?
An FBAR (Form FinCEN 114) is a commonly misunderstood, and commonly missed form, which needs to be filed by US citizens with non-US bank/financial accounts annually.
This form is part of anti-money laundering efforts by the Department of the Treasury, and requires each US citizen who holds greater than $10,000 in all non-US banks combined at any one time during the year to file an FBAR.
But don’t worry, this is not a taxable form, no tax liability can come from it. It purely is just a form of information reporting, with no tax consequences.
FBAR – WHAT IS IT?
So, the FBAR… what exactly is it? With a formal name of FinCEN 114, it’s complicated instructions have resulted in it being one of the most widely searched US taxation terms, and also one of the most frequently understood.
WHAT IS A FINANCIAL ACCOUNT?
So, as we all know by now, the FBAR (Report of Foreign Bank Accounts) requires US citizens to report their interest in any non-US financial account, if the combined maximum value of their non-US financial accounts exceeds $10,000 per year.
WHO NEEDS TO FILE AN FBAR?
Firstly, when determining who needs to file an FBAR, we must begin by looking at the individual’s citizenship or Green Card status.
US Global Tax Ltd is an expatriate tax practice, specialising in US tax compliance. Assisting thousands of US citizens over the years, our firm has become known for its expertise in the field of both Australian – US and NZ – US taxation.
Read through our information and ready to get started? Fortunately, at US Global Tax, we’ve got a straight forward process to get the ball rolling.