Compare FATCA and FBAR
What are the differences between FBAR and FATCA reporting requirements
The United States Foreign Accounts Tax Compliance Act (FATCA) and Foreign Bank Account Report (FBAR) are two methods adopted by the US government in an effort to perhaps combat tax evasion by hiding assets/income abroad.Differences between FATCA & FBAR
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FBAR
FATCA
Who must file
US taxpayers such as for example US
citizens, green card holders etc. who have an
interest in foreign financial accounts and
meet the reporting threshold.
US taxpayers such as for example US
citizens, green card holders etc. who have an
interest in specific foreign financial assets
and meet the reporting threshold.
Reporting Thresholds
Value of your assets is $200,000 on the last
day of the tax year or more than $300,000 at
any time during the year if filing single. Or If
married and filing jointly then, Value of your
assets is more than $400,000 on the last day
of the tax year or more than $600,000 at any
time during the year.
Lower thresholds apply for US residents.
$50,000 on the last day of the tax year or
$75,000 at any time during the tax year.
$10,000 or more at any time during the
calendar year, you must file FBAR. The
amount of $10,000 is an aggregate balance
of adding all your accounts if you hold more
than one foreign account.
How Filed
FBARs are now filed electronically on the
BSA E-Filing System via FinCEN Form 114.
Form 8938, Statement of Specified Foreign
Financial Assets. Form 8938 is filed right
along with your US tax return.
Due date
Due by the date tax returns are due
Received by June 30, of the tax year
Penalties
If IRS determines the failure to file is non-
willful, up to $10,000 per violation. However,
if it is determined that your failure to file
was willful, the penalties are up to the
greater of $100,000 or 50 percent of account
balances.
Penalties for failing to file are up to $10,000
for each failure to disclose and an additional
$10,000 for each 30 days of non-filing after
receipt of an IRS notification to do so. The
maximum penalty is $60,000, however
criminal penalties are also possible
depending on how IRS views the case.
NRI - OCI - PIO Guide & Information
© Copyright 2006 Nriinformation.com
Compare FATCA and FBAR
What are the differences between
FBAR and FATCA reporting
requirements
The United States Foreign Accounts Tax Compliance Act (FATCA) and Foreign Bank Account Report (FBAR) are two methods adopted by the US government in an effort to perhaps combat tax evasion by hiding assets/income abroad.Differences between FATCA & FBAR
FBAR
FBAR
FATCA
Who must
file
US taxpayers such
as for example US
citizens, green card
holders etc. who
have an interest in
foreign financial
accounts and meet
the reporting
threshold.
US taxpayers such
as for example US
citizens, green card
holders etc. who
have an interest in
specific foreign
financial assets
and meet the
reporting
threshold.
$10,000 or more at
any time during
the calendar year,
you must file FBAR.
The amount of
$10,000 is an
aggregate balance
of adding all your
accounts if you
hold more than
one foreign
account.
Value of your
assets is $200,000
on the last day of
the tax year or
more than
$300,000 at any
time during the
year if filing single.
Or If married and
filing jointly then,
Value of your
assets is more than
$400,000 on the
last day of the tax
year or more than
$600,000 at any
time during the
year.
Lower thresholds
apply for US
residents. $50,000
on the last day of
the tax year or
$75,000 at any
time during the tax
year.
How Filed
Form 8938,
Statement of
Specified Foreign
Financial Assets.
Form 8938 is filed
right along with
your US tax return.
FBARs are filed
electronically on
the BSA E-Filing
System via FinCEN
Form 114.
Due Date
Received by June
30, of the tax year.
Due by the date
tax returns are due
Penalties
If IRS determines
the failure to file is
non-willful, up to
$10,000 per
violation. However,
if it is determined
that your failure to
file was willful, the
penalties are up to
the greater of
$100,000 or 50
percent of account
balances.
Penalties for failing
to file are up to
$10,000 for each
failure to disclose
and an additional
$10,000 for each
30 days of non-
filing after receipt
of an IRS
notification to do
so. The maximum
penalty is $60,000,
however criminal
penalties are also
possible
depending on how
IRS views the case.
Reporting
Threshold
