Article by: US Tax Consultants
The Internal Revenue Service today reminded U.S. citizens, resident aliens and any domestic legal entity that the deadline to file their annual Report of Foreign Bank and Financial Accounts (FBAR) is April 15. For additional information about filing deadlines, filers should look to Financial Crimes Enforcement Network’s (FinCEN) website for further information.
Filers missing the April deadlines will receive an automatic extension until October 15, to file the FBAR. They don’t need to request the extension.
If you need us to prepare your FBAR, please be sure that you upload all the information required listed in the following page: List of documents to your Client’s Area. Please fill up the Excel file that we have prepared for you: FBAR and 8938 Clients data
What Is the FBAR?
The Foreign Bank Account Report, or FBAR, is a form used to report foreign financial accounts outside the US. Its purpose is to prevent Americans from engaging in tax evasion by hiding their wealth overseas.
Under the Bank Secrecy Act, the FBAR form must be filed annually with the US Treasury Department using the BSA E-Filing System if a US person has a financial interest in, or signature authority over, foreign financial accounts with an aggregate maximum value of more than $10,000 at any time during the calendar year.
To remain compliant, Green Card holders and other US persons must adhere to these FBAR filing requirements. The FBAR due date is April 15, 2025, with an automatic extension available until October 15, 2025.
The FBAR is a purely informational tax form, but it’s crucial for maintaining compliance with US tax laws. Must be reported annually, with the maximum balances of every account. Taxpayers lose nothing by filing when required—it doesn’t create a tax liability— but they could face stiff penalties if they fail to meet FBAR filing requirements.
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The rest of the article includes:
Penalties for failure to file an FBAR
What Is the Penalty for Failing To File an FBAR?
FBAR Penalties for Willful Failure To File
FBAR Penalties for Non-Willful Failure To File