FBAR
Mar 11th 2019, 6:54 pm
#1
Just Joined
Thread Starter
Joined: Mar 2019
Posts: 2
FBAR
Hello everyone.
I am so very glad to find you all here because I am freaking out and really need support.
I am a British who has been living in US since 2001.
While I have filed taxes every year (very small income) I was not aware that I should report my bank accounts in UK.
I now know better and am trying to resolve it. The aggregate is about $11000 and income per year has been under $80 in UK.
Here are my questions:
1- What is the best way to comply with FBAR reporting requirements while avoiding fines and audits.
2- I own some shares in UK, under my name with a fluctuating value of under $12000 in a company. Do I need to report that?
Thanking you all
Very anxious Jim
I am so very glad to find you all here because I am freaking out and really need support.
I am a British who has been living in US since 2001.
While I have filed taxes every year (very small income) I was not aware that I should report my bank accounts in UK.
I now know better and am trying to resolve it. The aggregate is about $11000 and income per year has been under $80 in UK.
Here are my questions:
1- What is the best way to comply with FBAR reporting requirements while avoiding fines and audits.
2- I own some shares in UK, under my name with a fluctuating value of under $12000 in a company. Do I need to report that?
Thanking you all
Very anxious Jim
Mar 12th 2019, 12:14 am
#2
Lost in BE Cyberspace
Joined: Jun 2011
Location: Los Angeles
Posts: 6,159
Re: FBAR
Jim
Don't panic. You'll be fine
Absorb this
https://www.irs.gov/individuals/inte...ion-procedures
And even if they want too penalize you for the small amount of income they won't be draconian.
But you can use this too...
https://www.aicpa.org/interestareas/...abatement.html
Take your time, don't rush, you'll feel a lot better when you've done it. It's more or less routine boring paperwork.
Don't panic. You'll be fine
Absorb this
https://www.irs.gov/individuals/inte...ion-procedures
And even if they want too penalize you for the small amount of income they won't be draconian.
But you can use this too...
https://www.aicpa.org/interestareas/...abatement.html
Take your time, don't rush, you'll feel a lot better when you've done it. It's more or less routine boring paperwork.
Mar 13th 2019, 12:54 pm
#3
BE Forum Addict
Joined: Jan 2016
Posts: 1,170
Re: FBAR
I found that paying a CPA who has international tax treaty experience resolved my anxiety, A LOT
Mar 13th 2019, 2:54 pm
#4
Concierge
Joined: Apr 2001
Posts: 46,391
Re: FBAR
I found being poor works well also 
Mar 13th 2019, 3:47 pm
#5
Lost in BE Cyberspace
Joined: Jun 2011
Location: Los Angeles
Posts: 6,159
Re: FBAR
Yes, but some of us don't have that luxury.
Mar 13th 2019, 10:59 pm
#6
Concierge
Joined: Apr 2001
Posts: 46,391
Re: FBAR
You can share the wealth ... my bank account number is # 012398475; Bank of Withdrawal.
FBAR are only required if you have over $10,000 in the account .... thankfully I don't have to worry ... I'm a USC with only US assets ;-)
FBAR are only required if you have over $10,000 in the account .... thankfully I don't have to worry ... I'm a USC with only US assets ;-)
Mar 14th 2019, 1:02 pm
#7
BE Forum Addict
Joined: Jan 2016
Posts: 1,170
Re: FBAR
My CPA charges $700/return, and uses 15-30 mins time of an international tax attorney to help with the filing. I do not think that is too bad?
If stock options come into play it will rise to $1000-$1500. Even so it's cost:benefit still..
If stock options come into play it will rise to $1000-$1500. Even so it's cost:benefit still..
Mar 14th 2019, 1:03 pm
#8
BE Forum Addict
Joined: Jan 2016
Posts: 1,170
Re: FBAR
p.s. I now realize the wit may have flown over my head on this post.. 
However, still interested in peoples thoughts re: my CPA rate
However, still interested in peoples thoughts re: my CPA rate
Mar 14th 2019, 6:07 pm
#9
BE Forum Addict
Joined: Apr 2011
Location: The Shire
Posts: 1,117
Re: FBAR
62% paid $500 or more for return preparation.
Only 38% paid less than $500.
31% paid $1,000 or more for return preparation.
6% paid $5,000 or more for return preparation.
2% paid $10,000 or more for return preparation.
https://www.democratsabroad.org/carm...d_u_s_taxation
Mar 14th 2019, 6:09 pm
#10
BE Forum Addict
Joined: Jan 2016
Posts: 1,170
Re: FBAR
In a recent survey of ~10,000 US expats living abroad (using international CPAs):
62% paid $500 or more for return preparation.
Only 38% paid less than $500.
31% paid $1,000 or more for return preparation.
6% paid $5,000 or more for return preparation.
2% paid $10,000 or more for return preparation.
https://www.democratsabroad.org/carm...d_u_s_taxation
62% paid $500 or more for return preparation.
Only 38% paid less than $500.
31% paid $1,000 or more for return preparation.
6% paid $5,000 or more for return preparation.
2% paid $10,000 or more for return preparation.
https://www.democratsabroad.org/carm...d_u_s_taxation
Mar 15th 2019, 1:46 pm
#11
MODERATOR
Joined: Nov 2006
Location: Hong Kong, mostly.
Posts: 5,214
Re: FBAR
The point to remember is if you have more than $10,000 AGGREGATE value accounts overseas, you must report ALL overseas accounts, regardless of value.
So basically:
Example 1:
$5,000 in one bank account
$5,000 in another bank account.
$1 in another bank account.
Report all three accounts.
Example 2:
$9,990 in one bank account
$9 in another bank account
No need to report anything.
Example 3:
$10,001 in one bank account
$1 in another
$0.23 in another
$0.00 in another
Report all bank accounts.
The other bit is if at anytime during the year you reach the $10,000 threshold, you need to report (even if it is just for 1 hour while you move funds around). Kind of annoying.
So basically:
Example 1:
$5,000 in one bank account
$5,000 in another bank account.
$1 in another bank account.
Report all three accounts.
Example 2:
$9,990 in one bank account
$9 in another bank account
No need to report anything.
Example 3:
$10,001 in one bank account
$1 in another
$0.23 in another
$0.00 in another
Report all bank accounts.
The other bit is if at anytime during the year you reach the $10,000 threshold, you need to report (even if it is just for 1 hour while you move funds around). Kind of annoying.
Mar 15th 2019, 2:17 pm
#12
BE Forum Addict
Joined: Jan 2016
Posts: 1,170
Re: FBAR
The point to remember is if you have more than $10,000 AGGREGATE value accounts overseas, you must report ALL overseas accounts, regardless of value.
So basically:
Example 1:
$5,000 in one bank account
$5,000 in another bank account.
$1 in another bank account.
Report all three accounts.
Example 2:
$9,990 in one bank account
$9 in another bank account
No need to report anything.
Example 3:
$10,001 in one bank account
$1 in another
$0.23 in another
$0.00 in another
Report all bank accounts.
The other bit is if at anytime during the year you reach the $10,000 threshold, you need to report (even if it is just for 1 hour while you move funds around). Kind of annoying.
So basically:
Example 1:
$5,000 in one bank account
$5,000 in another bank account.
$1 in another bank account.
Report all three accounts.
Example 2:
$9,990 in one bank account
$9 in another bank account
No need to report anything.
Example 3:
$10,001 in one bank account
$1 in another
$0.23 in another
$0.00 in another
Report all bank accounts.
The other bit is if at anytime during the year you reach the $10,000 threshold, you need to report (even if it is just for 1 hour while you move funds around). Kind of annoying.
Mar 15th 2019, 2:23 pm
#13
Lost in BE Cyberspace
Joined: Jun 2011
Location: Los Angeles
Posts: 6,159
Re: FBAR
Hopefully O.P. is ok.
