# FBAR/Fincen requirements



## kroder (Apr 11, 2013)

Dear forumers:

Ever since opening a bank account in France several years ago I've been trying my best to fulfill my U.S. reporting obligations, and every year I've been going online to file the FBAR/Fincen forms stating the largest amount I've had in the account during the year. All of a sudden it dawned on me -- is there something more I should be doing? Should I have filed some other forms somewhere, such as with my tax returns? I never made income abroad, in France or otherwise, so that shouldn't be an issue. I just want to make sure I'm in compliance with reporting obligations. 

On a related note, I want to buy euros and transfer into my French account. Are there any limits to how much you can keep abroad without creating problems for yourself? 

Thanks.


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## Bevdeforges (Nov 16, 2007)

Nope, it sounds as if you're doing everything you're supposed to be doing.

The FBAR filing requirement is completely separate from your tax returns. You give them the information they ask for, and that's it. Yes, you should report any interest income those accounts generate on your US tax returns - but it's highly unlikely that your FBAR filings will be matched up with your tax returns unless something highly "peculiar" is noted on your tax returns that suggests that you owe lots more taxes than what you've been filing.

If you have any of those "tax-free" accounts (Livret A, Developpement Durable, etc.) you should know that they're not tax free for US tax purposes, so you should be reporting that income on your US tax returns. But until and unless your total worldwide income rises to the threshold for filing level (for your filing status), you don't need to even file a return.



> On a related note, I want to buy euros and transfer into my French account. Are there any limits to how much you can keep abroad without creating problems for yourself?


If you're talking about transferring funds from your US (or other foreign) accounts into your French accounts, then no, there are not any limits. You should be aware that you need to report your foreign (to France) accounts on your French tax declarations each year. They also want a list of any foreign (again, to France) assurances vie accounts. I'm not sure how strictly they define this, but I've always reported my US retirement accounts (IRA and 401K) as "foreign assurance vie" accounts. You don't need to list any balance information, just the account identification. Figure it's better to disclose, so they can't accuse you of "hiding" information from them.

If and when you transfer large balances from the US (or elsewhere) into your French bank accounts, you may get a query from your conseiller regarding the source of the funds. But if you just tell them (truthfully) that this is a transfer from your US bank account, that should be the end of it as long as you've declared the account on your tax declarations.
Cheers,
Bev


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## kroder (Apr 11, 2013)

Thanks Bev, I really appreciate your thoughts on this.


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## kroder (Apr 11, 2013)

Bev, in one other thread some time ago, you said the following:

If you have "complex" investment-type instruments you want to start "engaging with" the FATCA rules for individuals because this can add a whole 'nuther level of complexity to your US tax filing obligation. One small comfort, though, is that *the FATCA stuff doesn't kick in for overseas residents until your overseas assets total at least $200,000*. (For those in the US, FATCA reporting starts with foreign assets exceeding $50,000.)

So my question is, if your assets overseas total $200,000 or more, what are the consequences and what does it mean for you? 

Thank you.


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## ForeignBody (Oct 20, 2011)

kroder said:


> Dear forumers:
> 
> Ever since opening a bank account in France several years ago I've been trying my best to fulfill my U.S. reporting obligations, and every year I've been going online to file the FBAR/Fincen forms stating the largest amount I've had in the account during the year. All of a sudden it dawned on me -- is there something more I should be doing? Should I have filed some other forms somewhere, such as with my tax returns? I never made income abroad, in France or otherwise, so that shouldn't be an issue. I just want to make sure I'm in compliance with reporting obligations.
> 
> ...


So you are saying that you had no interest on your French bank accounts?

Did you complete Part III of Schedule B correctly with your 1040?

Should you have completed a Form 8938 with your 1040? See here:
https://www.irs.gov/Businesses/Comparison-of-Form-8938-and-FBAR-Requirements


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## Bevdeforges (Nov 16, 2007)

kroder said:


> So my question is, if your assets overseas total $200,000 or more, what are the consequences and what does it mean for you?


Those with overseas assets of $200,000 or more (and this involves primarily financial-type assets - NOT including stuff like a house or other tangibles), wind up having to file form 8938.

Start here for more information: https://www.irs.gov/Businesses/Corporations/FATCA-Information-for-Individuals (and BTW, note the part that says that for overseas residents, the thresholds are higher).

This page is also rather useful: https://www.irs.gov/Businesses/Comparison-of-Form-8938-and-FBAR-Requirements
Cheers,
Bev


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## kroder (Apr 11, 2013)

ForeignBody said:


> So you are saying that you had no interest on your French bank accounts?
> 
> Did you complete Part III of Schedule B correctly with your 1040?
> 
> ...


Thank you for highlighting these two additional reporting requirements, it's just what I was thinking about. 

After doing further research on this, I think I'm compliance. Now I see where the $200K limit comes from, the following page was quite helpful:

https://www.irs.gov/Businesses/Corp...atement-of-Specified-Foreign-Financial-Assets


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