# FBAR - how to report this



## Marc53 (May 3, 2016)

Scenario:

On 31 March, a savings account with 100k on it matured and was transferred automatically to a simple account, where it sat for a day, and on 1 March, the new savings was opened and the money went into that account instead.

I am dreading the scenario where I have to report 3 separate accounts of 100k each, especially since I heard that when you cross 200k on your FBAR, they look at it much more closely. It's 100k in total, but for this one year, I'd suddenly look like I have 300k - even though it is the same money.

That 'simple' account, at all other times other than for one 24-hour period, had no more than 2 USD in it. Do I need to report this account given the same money is being reported elsewhere? I read that you can use monthly end balances if they accurate reflect the account over the year, and I suppose 0 would be much closer to the fact for this account than 100k.

Thanks!


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## Bevdeforges (Nov 16, 2007)

Lots of people have overlap in their accounts like you have this year. The FBAR reporting is kind of weird that way, because they don't ask you to indicate opening or closing dates of accounts - only the high balance. Which means that if you move money between accounts in a given year, you're going to have that sort of overlap. Evidently the Treasury Dept takes that all into account.

If you want to use the month-end approach to determining the high balance, then you can probably safely skip reporting the 24 hour account if it was only available during that 24 hours. But if the "simple" account is something you had before and/or still have after the transfer of funds, you should really report it with the appropriate high balance.

Frankly, they don't generally do much with the balances you report on the FBAR unless something looks "funny" to them on your income tax returns. Better to report the account and answer any questions about it if and when they come up (don't hold your breath - you probably will never hear from them on it) than to fail to report it and have a question come back about "why didn't this account show up on your FBAR filing?).
Cheers,
Bev


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## BBCWatcher (Dec 28, 2012)

If you are laundering drug money, funding terrorism, or otherwise committing financial crimes, then you might have something to dread. Otherwise, make an accurate, truthful, complete report and sleep well.


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## ForeignBody (Oct 20, 2011)

Marc53 said:


> Scenario:
> 
> On 31 March, a savings account with 100k on it matured and was transferred automatically to a simple account, where it sat for a day, and on 1 March, the new savings was opened and the money went into that account instead.
> 
> ...


There is nothing to dread. Just follow the instructions and report all three accounts.


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