larrabee

Those are good, thank you.
I like this one too.

http://www.irs.gov/Businesses/Compar...R-Requirements

Lestergirl

Thanks for this thread, never heard of an FBAR, what happens if you are late doing the forms? I got lump sum annuity payment last Sept. it is over $10,000 so need to do one of these then. Should I do it and send it late?

J.JsOH

There are so many stinking forms it is easy to miss the significance of one unless we monitor forums such as this on a regular basis. It is an unfortunate responsibility of USC that we must keep a watch out for these things.

Receipt of a payment is not a cause for filing FBAR.
But if that $10,000 + went into a 'foreign' (by US measures) bank account, and added to some other funds no matter how small and the total definitely went over $10,000 then there would be cause for filing FBAR.

from http://www.irs.gov/Businesses/Small-...nts-%28FBAR%29
I paste the excerpt...
Who Must File an FBAR
United States persons are required to file an FBAR if:
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
The aggregate value of all foreign financial accounts exceeded $10,000 at any time during the calendar year to be reported.


If it were me I would complete it and send it, by UPS or some such, as soon as possible, with included explanation as suggested below;
This link http://www.irs.gov/Businesses/Small-...g-Requirements advises

Q. What happens if an account holder is required to file an FBAR and fails to do so?
A. Failure to file an FBAR when required to do so may potentially result in civil penalties, criminal penalties or both. If you learn you were required to file FBARs for earlier years, you should file the delinquent FBAR reports and attach a statement explaining why the reports are filed late. No penalty will be asserted if the IRS determines that the late filings were due to reasonable cause. Keep copies of what you send for your records.


It is possible to send FBAR electronically. I e-filed mine this year for the first time. It does require enrolling and then waiting for the approval before it can be sent so it is not as immediate gratification as sending off paper copies but it gives the confidence that it was received over there.
http://bsaefiling.fincen.treas.gov/E...ndividual.html

Lestergirl

Thanks so much John or is it Johns other half.. I will do that asap.
Just filling in that form for e filing and it wants an EIN, could you tell me what that is please. Never mind it took it without that filled in.
p.s John this is Charley girl by the way, had to re-register

J.JsOH

EIN is Federal Employer Identification Number, which you won't have as you don't have a US employer.

Yes, hi, Charley girl, I saw your earlier posting.
This is John, June doesn't visit here anymore, relies on me for updates. I look in only couple times a week. Just passed our 3 year return anniversary so haven't much to contribute nowadays on moving back. Hard to break the habit of looking in though and occasionally, as with FBAR, can sometimes contribute to help others.
Then it seems I don't fit in MBTUK very well because I am not in raptures about being back. I'm here now so here I will stay and I don't feel so strongly that I would say I regret coming - but ..... I could have done without the struggle to acclimatize and realize now that I doubt I ever will entirely.

We waved when we came through Leicester last week, did you see us, lol? We had a mid week trip to Birmingham, had never been there ever before, it was good visit. Took the train between Peterborough and Birmingham.

windsong

I agree with you, John. It is really stressful watching out for all these things we have to do for the USA when we are in the UK. I am so afraid I miss one - and if it were not for this forum, I wouldn't know about any of it.

I am seriously considering not even having a bank account of my own over there - and not having one with my SO either. I will just give my money to him. I want to minimize stress as much as possible over there because I have had enough of it here.

windsong

John - You have a lot to contribute and you have helped me, for one, immensely, over the months. Even updates as to how you are doing over there help us all. In that way, we are able to "feel" the entire transition with you.

Also, we have become a community and we are interested in - and care - about our fellow expat members, so it is always a delight to read their messages.

J.JsOH

It does bear serious thinking about how one will structure finances in UK if US still has claim on tax reporting.

I get stressed prior to completing the forms because a lot hangs on getting it right (or wrong). Never can be sure what am going to come up against that I don't have an answer to when there are options. I pretty much got the hang of most of it but each year as we do new things such as start a pension or get 401(k) payment there is always a need to find the right way to answer.
I stress that I will make a simple mistake and end up down a big hole because of it.
Once complete and when I feel I done a good / correct job of it then the stress goes.
Sometimes reading in detail on message boards can create confusion as discussion goes round in circles and never a straight answer.

J.JsOH

Good to know. Glad I can help.

Things are not bad over here, and sometimes I think it may sound so from what I say, but I was so embedded into US ways that this seemed like a backward step that I hadn't anticipated. DW has had an easier time of it than me but then she wanted to come back.

windsong

Even though I have dreamed of going back for more years than I care to remember I, too, am a little nervous about it. I haven't had much good to say about the U.S. but now that I am about to return, I am realizing how much I have grown used to it. There are certain stores that I like, the large rooms in the homes, larger gardens, etc. I think there will be a grieving period ahead. I won't ever be able to erase the memories of the years in the USA, no matter how hard I might try.

I am sure there will be days just as I wake in the morning when I think for a few seconds that I am in the USA and as I wake, reality will hit that I am actually in the UK. It will feel funny for a while.

I am leaving behind most things that I own - all my favorite appliances, furniture, etc. This is one of the hardest things to do. However, I realized a long time ago that happiness doesn't lie in "things" and they can always be replaced.

The warm summers will be left behind, too. That will be an adjustment initself. I don't mind the colder weather so much but I will certainly miss the number of hours of glorious sunshine we get in the USA in summertime.

Over all, I know that the UK has much more to offer me as I get older and it will be good for me.

In the last six weeks or so I think I have created a list of pros and cons about the move in my mind and the UK came out ahead. Nevertheless, what I leave behind will have to be grieved and it will take time. One day, though, that grief will be gone and I will finally be completely home.

I am excited to be going home to my former boyfriend, too, but I had to separate that in my mind so I could be finally sure that moving back was really the best for "me" - and it is.

Caruthers

(FBAR) Just curious to know what this actually triggers. Anyone have any personal experience?

E.G.If you make a deposit over 85K USD in the UK and then complete a FBAR is only the amount over 85K counted as taxable income and not exempt from reciprocal tax treaties?

Just wondering if its smart to move all the funds over in one go or not and implications. I suppose I should find/ask a financial advisor.

nun

FBAR is just an informational disclosure to the US treasury. If you are a US citizen, resident or have US source income you need to comply with US tax regulations. The FBAR does not affect that. You should also make sure you file 8938 if you meet the thresholds.

Caruthers

Your desire for me to conform with the dictates of the IRS seems contrary to your Anarchist self identification :-)

nun

I just point out the legal requirements, whether you follow them is up to you, but you should be ready for the consequences if you don't.

Caruthers

I am just curious to know if you feel the IRS has the power of jurisdiction to penalize you in all reality, as opposed to a perceived threat ( assuming that you aren't at a Bill Gates level of wealth and that all your assets are now in the UK). There are so many repatriated dual national lower net worth individuals globally, paying local local taxes, that the threat of being at fault with HMRC must be more pertinent before the reality of Obama scrambling the jets for another extraction..