Question 1

Who Must File an FBAR?

Accepted Answer

A United States person that has a financial interest in or signature authority over foreign financial accounts must file an FBAR if the aggregate value of the foreign financial accounts exceeds $10,000 at any time during the calendar year. A United States person includes U.S. citizens, U.S. residents, entities (including but not limited to corporations, partnerships, or limited liability companies) created or organized in the United States or under the laws of the United States, and trusts or estates formed under the laws of the United States.

Question 2

When must the FBAR be filed?

Accepted Answer

The FBAR must be filed on or before April 15th of the year following the calendar year being reported. The April 15th filing date may not be extended; however, if you miss the April 15th deadline, FinCEN grants an automatic extension to October 15th without needing to request one.

Question 3

What is the purpose of the FBAR?

Accepted Answer

The FBAR (Report of Foreign Bank and Financial Accounts) is used to report a financial interest in or signature authority over a foreign financial account. The FBAR is required under the Bank Secrecy Act and is filed with the Financial Crimes Enforcement Network (FinCEN), a bureau of the U.S. Department of the Treasury.

Question 4

Can I get an extension of time to file?

Accepted Answer

If you miss the April 15th deadline, FinCEN grants an automatic extension to October 15th. You do not need to file a separate extension request. If you file an extension on your tax return, the deadline for the FBAR is automatically extended as well.

Question 5

Are there penalties for not filing or filing late?

Accepted Answer

Yes. A person who is required to file an FBAR and fails to properly file may be subject to a civil penalty not to exceed $10,000 per violation for non-willful violations. For willful violations, the penalty may be the greater of $100,000 or 50% of the balance in the account at the time of the violation, for each violation.

Question 6

How long does the filing process take?

Accepted Answer

Most filers complete the form in about 12 minutes. Processing and submission to FinCEN typically occurs within 1-2 business days.

Frequently Asked Questions

Frequently Asked Questions