Do you have a foreign deposit or custodial account to report on form 8938?

If you are required to file Form 8938, you must report your financial accounts maintained by a foreign financial institution. Examples of financial accounts include: Savings, deposit, checking, and brokerage accounts held with a bank or broker-dealer.

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Do I need to file form 114 and form 8938?

The Form 8938 filing requirement does not replace or otherwise affect a taxpayer’s obligation to file FinCEN Form 114 (Report of Foreign Bank and Financial Accounts). Unlike Form 8938, the FBAR (FinCEN Form 114) is not filed with the IRS.

Is FATCA form 8938?

Under FATCA, certain U.S. taxpayers holding financial assets outside the United States must report those assets to the IRS generally using Form 8938, Statement of Specified Foreign Financial Assets.

Who has to fill out form 8938?

To get into the nitty gritty of it, if you’re a U.S. taxpayer who lives outside of the U.S. and holds a total combined value of foreign assets worth more than $300,000 at any time during the year (or $200,000 on the last day of the year) you need to report it on Form 8938.

How do I know if I have to file form 8938?

You must file Form 8938 if:

You are a specified person (either a specified individual or a specified domestic entity).
You have an interest in specified foreign financial assets required to be reported.

How do I report foreign mutual funds?

In general, if you have shares in a foreign mutual fund, you’ll have to report it to the IRS. There are a few reporting requirements you may have: Form 8621, Return by a Shareholder of a Passive Foreign Investment Company or a Qualified Electing Fund. FBAR – Your Foreign Bank Account Report.

Can I file Form 8938 electronically?

You can e-file Form 8938 with the rest of your annual tax return using your tax filing software of choice. Just be sure to do it by the tax deadline, usually April 15, unless you file for an extension.

What is the difference between FBAR and 8938?

The FBAR must be filed when a U.S. person has foreign bank accounts with an aggregate high balance of $10,000 at any point during the tax year. Form 8938, by contrast, has different monetary thresholds depending upon the tax filing status and location of the taxpayer.

Can Form 8938 be filed electronically?

Tax Form 8938 Filing Requirements for Foreign Assets The Form 8938 is similar to the FBAR (FinCEN Form 114), but more encompassing. And, unlike the FinCEN Form 114 which is filed electronically on the FinCEN website — the Form 8938 is filed directly with the IRS.

What is the difference between FBAR and Form 8938?

What are foreign assets form 8938?

Use Form 8938 to report your specified foreign financial assets if the total value of all the specified foreign financial assets in which you have an interest is more than the appropriate reporting threshold.

Can form 8938 be filed electronically?

You can e-file Form 8938 with the rest of your annual tax return using your tax filing software of choice.

Do I need to file 8938 Statement of Specified Foreign financial assets?

Certain U.S. taxpayers holding specified foreign financial assets with an aggregate value exceeding $50,000 will report information about those assets on new Form 8938, which must be attached to the taxpayer’s annual income tax return.

Are foreign mutual funds reported on FBAR?

FBAR and Mutual Fund Filing: When a U.S. Person has foreign mutual funds or other investment funds, the person has an FBAR reporting and IRS disclosure requirement.

How are foreign mutual funds taxed in US?

The U.S. tax code categorizes non-U.S. registered mutual funds as Passive Foreign Investment Companies (PFICs). PFICs are taxed very punitively by the U.S. Furthermore, each PFIC must be reported annually on U.S. tax form 8621, which requires complex accounting and is very time consuming to complete.

How do I file 8938?

How to File Form 8938. You can fill out a physical copy of Form 8938 and mail it with the rest of your tax return and tax payment by the annual federal tax filing deadline. You can also e-file it with the rest of your electronic tax return.

What is the difference between FBAR and form 8938?

Which taxpayer is not required to file form 8938 Statement of Specified Foreign financial assets?

If you do not have to file an income tax return for the tax year, you do not need to file Form 8938, even if the value of your specified foreign assets is more than the appropriate reporting threshold.

When to use Form 8938 for foreign financial assets?

How do I report more than one account on Form 8938?

If you have more than one account or asset to report in Part V or VI, or more than one issuer or counterparty to report in Part VI, use the continuation statement provided after page 2. Copy as many continuation statements as you need, and attach the completed statements to Form 8938 following page 2.

What is the penalty for not filing Form 8938?

If you are required to file Form 8938 but do not file a complete and correct Form 8938 by the due date (including extensions), you may be subject to a penalty of $10,000.

What is the Statute of limitations on 8938?

Statute of Limitations. If you fail to file Form 8938 or fail to report a specified foreign financial asset that you are required to report, the statute of limitations for the tax year may remain open for all or a part of your income tax return until 3 years after the date on which you file Form 8938.