Foreign Accounts, Regardless of Value, are Reportable

For all taxpayers, foreign account ownership and signature authority is reported annually on Form 1040, Schedule B. If the combined highest balance of all accounts is below the $10,000 threshold, simply answering “Yes” to question 7(a) satisfies the FBAR requirement. This sounds easy enough but it´s not uncommon for well-meaning Americans to miss it entirely.

If these accounts exceed the threshold, they must be reported on FinCEN Form 114. Unlike a tax return, this form is e-filed with the Financial Crimes Enforcement Network (FinCEN), an agency within Department of Treasury, separate from the IRS.

The most comprehensive reporting is on IRS Form 8938 (Statement of Foreign Financial Accounts). This tax form excludes signature authority accounts but expands on the information reported to FinCEN; requiring details like currency, conversion rate, and the income generated from the reported accounts and assets.

FBAR Requirements

FBAR Questions

Reports Foreign Account Ownership and Signature Authority of any accounts, regardless of value, on annual Form 1040 tax return. Precursor for FinCEN report to BSA. Schedule B (1040)

FinCEN Reporting

E-filed with FinCEN, an agency separate from the IRS, to comply with the Bank Secrecy Act when combined maximum value exceeds $10,000 threshold. FinCEN Form 114

Foreign Asset Statement

Filed with Form 1040, the Statement of Foreign Bank and Financial Accounts expands on bank account details reported to FinCEN as well as includes other foreign assets and investments. IRS Form 8938

The Comparison of Form 8938 and FBAR requirements is an IRS resource worth checking out.

Our Service

We offer comprehensive Foreign Bank Account Reporting services to satisfy both IRS and BSA filing requirements. This includes preparing and e-filing all required federal tax return and FinCEN forms. With over a decade of experience managing international tax matters, our expertise is a reliable solution that clients trust year-after-year.

What You Need to Report

Foreign Bank Accounts

(Checking, Savings, Investment)

Foreign Business Accounts

(Corporate, LLC, Partnership)

Foreign Trusts & Financial Investments

(Stocks, Bonds, Pensions)

Cryptocurrency & Digital Assets

(If held in foreign exchanges)

Federal Tax Return & FBAR

Even if you live abroad or have income from overseas, you must file a U.S. tax return. The U.S. tax system follows citizenship-based taxation, meaning all worldwide income must be reported.

We assist U.S. taxpayers with:

Filing a U.S. Federal Tax Return when living abroad.

Reporting foreign assets properly to avoid IRS scrutiny.

Understanding how foreign income, accounts, and investments impact U.S. taxes.

Hybrid Firm

Office

Meet with a licensed tax professional at our Huntington Beach office. Get personalized, one-on-one assistance in a private, comfortable space.

Book Now

Virtual

Connect from anywhere with our fully equipped virtual office. Enjoy efficient consultations with high-quality video and virtual whiteboards.

Book Now

Service Description

Our foreign account reporting services include FBAR (FinCEN Form 114), FATCA compliance, and Form 8938 filings. We assist U.S. taxpayers with reporting foreign bank accounts, financial assets, and digital currencies. Stay compliant with IRS and FinCEN requirements while minimizing risks and penalties. From business accounts to foreign investments, we guide you through every step.