office (909)
983-3716
Foreign Bank and Financial Accounts
U.S. taxpayers are required to report their worldwide
income; that is, income from both U.S. and foreign
sources. In addition, taxpayers who have an interest in
or signature or other authority over a financial account
in a foreign country, such as a bank account, securities
account, or other financial account are required to file
a Form TD F 90-22.1, Report of Foreign Bank and
Financial Accounts (FBAR), if the aggregate value of all
such financial accounts exceeds $10,000 at any time
during the calendar year. The FBAR is not filed with
your tax return. Instead, it is filed with the
Department of the Treasury in Detroit, Michigan, no
later than June 30 of the year following the calendar
year reported.
Failure to report income in foreign bank accounts, or to
file the FBAR, carries serious consequences including
large monetary penalties and, in some case, criminal
penalties.
If you have foreign accounts and are unsure whether you
are required to file the FBAR, we would be happy to
review your portfolio and advise you.
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