FBAR caution
 

Filled 2013 tax's now filling out FBAR Foreign Bank and Financial Accounts form and ran into a problem.

Filling in my UK bank accounts no problem but due to my parents age (92)their Bank suggest I get authority to give instructions concerning there accounts. This in effect gives me signature on their accounts, now I have to report their accounts on the FBAR forms, although I do not own or have financial interest in their accounts.
What a rigmarole, trying to help my parents by being able to help out any possible problems with the Banks now causes me problems.

Just a heads up for others out there who have authority over parents accounts and do not think they need to file.

Bob

Re: FBAR caution
 

in a similar vein, the bank i work for has international branches/offices and it sends out warnings that anyone who has signatory authority over company accounts that they might have to FBAR it and to check with the company legal/tax team.

Re: FBAR caution
 

Although it looks like there may be a deferral of the FBAR requirement for some of these situations, up to June 30, 2015. The fact that a deferral is in place suggests they may be thinking about a change in the rules.
http://www.irs.gov/Businesses/Small-...-Accounts-FBAR

Re: FBAR caution
 

I wonder if the US government will ever discriminate between those with intent to defraud and those with no intent? The whole innocent until proven etc...

Otherwise, with FBAR and FATCA...it seems that many innocent people will be caught in the very large net.

The fact that you can be fined heavily, even if you don't owe a penny, just disgusts me with this country.

Re: FBAR caution
 

With the IRS and SEC it is always Guilty until proved Innocent. I guess it is the same with the Treasury.

Re: FBAR caution
 

Except that it doesn't work that way in practice. We've yet to see any reported cases where it has.
The only cases where people have been fined for FBAR is where they have either been convicted of, or admitted to, tax fraud.

Re: FBAR caution
 

I know but the penalties are still on the books.

Re: FBAR caution
 

Is it a coincidence that FBAR is only one letter different from FUBAR?

Re: FBAR caution
 

Update, it never rains but it pours.

Sent email to bank manager to get balances for parents accounts only to find he got laid off and he has not been replaced and the branch would not give me balances over the phone because they did not know me!

Called FBAR help line and was told to only fill out Part IV line 34 onward as I do not have financial interest in the accounts and therefore not expected to have account values etc.

I hope she is right.

Bob

Re: FBAR caution
 

I thought all accounts you have signatory over had to be declared.

Of course you asked her to confirm what she said in writing didn't you?

Re: FBAR caution
 

There is provision on the form (Part IV 15a) to check a box stating "Maximum account value unknown"

Re: FBAR caution
 

But if it's unknown...why file FBAR? I thought you only filed when over $10,000. (Admittedly I may be missing something.)

Re: FBAR caution
 

On all foreign accounts totaling $10K. Perhaps the OP has other overseas accounts totaling over $10K...or perhaps this would push that total over $10K.

Re: FBAR caution
 

Oh yes, that would do it.

Re: FBAR caution
 

Here's what the instructions say about that:

For United States persons with a financial interest in or signature authority over fewer than 25 accounts that are unable to determine if the aggregate maximum account values of the accounts exceeded $10,000 at any time during the calendar year, complete the appropriate Part II, III, IV, or V section for each of these accounts and check the “amount unknown” box, item 15a.