Reporting Foreign Bank and Financial Accounts
H&R Block are experienced tax advisers who receive countless enquiries about reporting financial accounts held in foreign countries. Recent legislation requires all financial and banking institutions to report information concerning United States account holders. So, all tax filers who live in the states or abroad must be prepared to declare all bank accounts held. H&R Block would like to confirm the reports are due by June 30, and there are high penalties for those who fail to file.
This information should help people who invest in foreign banking institutions:
. Those who are expected to report foreign accounts
H&R Block wish to make it clear that people who have a foreign financial interest outside the USA exceeding $10,000 in any given calendar year are expected to file.
The taxation experts at H&R Block would like to remind tax-payers that the above information relates to US residents, corporations and partnerships and LLCs formed under United State laws.
. How to file a report of foreign bank and financial accounts (FBAR)
The taxation experts at H&R Block can help you to file a report. The FBAR will not be filed at the same time as your tax return; it will be prepared separately and electronically filed with the Federal Agency.
. The potential consequences for people who fail to file
Failing to file an FBAR can result in a criminal charge, a civil penalty or both, hence the staff at H&R Block would like to reiterate that those who fail to report foreign bank and financial accounts face heavy penalties.
H&R Block are aware that a percentage of people who file an FBAR may need to report other financial matters under the Foreign Account tax Compliance Act (FATCA).
Contact the team at H&R Block to find out more.