What is an FBAR?

What is an FBAR?
An FBAR is the “Report of Foreign Bank and Financial Accounts” that must be filed with the US Department of Treasury.
The FBAR is now filed on FinCen Report 114 (formerly form TD F 90-22.1)
 
Who Must File an FBAR?
United States persons are required to file an FBAR if:
 

  1. The United States person had a financial interest in or signature authority over at least one financial account located outside of the United States; and
 
  1. The aggregate value of all foreign financial accounts exceeded $10,000 at any time during the calendar year to be reported.
 
United States person means U.S. citizens; U.S. residents; Green Card Holders, entities, including but not limited to, corporations, partnerships, or limited liability companies, created or organized in the United States or under the laws of the United States; and trusts or estates formed under the laws of the United States.
 
 
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. The reporting obligation is met by answering questions on a tax return about foreign accounts (for example, the questions about foreign accounts on Form 1040 Schedule B) and by filing an FBAR.
 
The FBAR is a calendar year report, which must be filed with the Department of Treasury on or before June 30 of the year following the calendar year reported. Generally, extensions of time to file an FBAR are not granted.
 
The FBAR is not filed with a federal tax return. Any filing extensions of time granted by the IRS to file a tax return does not extend the time to file an FBAR.
 
 
Effective July 1, 2013 – Electronic filing of FBARs is mandatory
 
UHY Victor LLP is authorized to file FBAR’s electronically on behalf of the person who has the obligation to file an FBAR.
 
 
US taxpayers holding foreign financial assets may also need to file Form 8938 (Statement of Specified Foreign Financial Assets) with their 1040 US tax return.
 
 
See:
 
http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/Report-of-Foreign-Bank-and-Financial-Accounts-(FBAR)
 
http://taxes.about.com/od/preparingyourtaxes/a/TDF90221.htm
 
 


Back to all posts

News RSS

UHY Global Real Estate Guide 2017- Property Investors: How to Navigate Effectively Rules and Regulations?

(Oct 23rd, 2017) International accountancy network UHY releases its 2017 “Global real estate...

» more

Transfer Pricing - CRA states that the cost of capital property does not become statute barred

(June 14, 2017) Generally transactions becomes “statute barred” in Canada after three years and...

» more

UHY Global Study: Capital Investments

(April 10, 2017) Canadian capital investment lags the world average, putting future Canadian...

» more



FAQ

What is the Children's Fitness Tax Credit?

» more


Why use a holding company?

» more


What are the advantages of the Canada Revenue Agency (CRA) and Quebec Minister of Revenue Voluntary Disclosure Programs?

» more


UHY VICTOR SENCRL • LLP
Société de comptables
professionnels agréés •
Partnership of Chartered
Professional Accountants

759, rue du Square-Victoria, #400
Montréal, Québec, H2Y 2J7
Canada

+1 514 282 1836

UHY VICTOR UHY VICTOR LLP (the “Firm”) is a member of Urbach Hacker Young International Limited, a UK company, and forms part of the international UHY network of legally independent accounting and consulting firms. UHY is the brand name for the UHY international network. The services described herein are provided by the Firm and not by UHY or any other member firm of UHY. Neither UHY nor any member of UHY has any liability for services provided by other members.