Disclosure and worldwide tax reporting is growing more complex. Under the Foreign Account Tax Compliance Act (FATCA), in addition to filing a Report of Foreign Bank and Financial Accounts (FBAR), you must file a Form 8938—your Statement of Specified Foreign Financial Assets—if your off-shore assets meet certain criteria. Penalties may be involved if these are not reported properly. According to expert FATCA consultants serving Chevy Chase, MD, the Greater Metro DC area, nationally and worldwide, among the required assets you need to properly report are:
1. Foreign assets for which you have signature authority – These include financial accounts under foreign financial institutions (such as foreign banks) as well as other foreign non-account investment assets.
2. Foreign stock or securities held in a financial account at a foreign financial institution – Accounts need to be reported, however, the contents do not have to be filed separately.
3. Foreign real estate held through a foreign entity – The maximum value to be reported must include the real estate value but you do not need to report the real estate separately.
4. Foreign stock or securities not held in a financial account – These include stocks issued by non-US persons (such as foreign entities or corporations).
You need to attach your Form 8938 to your income tax return if your total asset value surpasses $50, 000 on the last day of the tax year, or $75, 000 at any time during the tax year. If you are looking for a foreign bank account consultant serving taxpayers in Chevy Chase, MD, the Greater Metro DC area, nationally or worldwide, that can help you properly complete and submit your reports, you have come to the right place.
US International Tax Advisors has years of experience as well as strong relationships with the IRS and other financial authorities that allow us to effectively navigate and manage difficult taxation issues. Complying with the FATCA has never been easier. Give us a call at (844) 796-8565 and we will assist you in all facets of foreign account tax compliance.
