FBAR is FUBAR

DailyLunatic

DailyLunatic

Surin Legend
Looking into how to properly report for Thai Taxes I was speaking to an Expat Tax Specialist today. While he reassured me about my Thai Tax reporting, it raised another issue.

I learned that I (USA) am required to submit a FBAR in addition to my 1040 Tax Return if I have holdings in a foreign bank totaling in aggregate more than US$10,000. (i.e my 400,000 baht visa requirement.)

Apparently, I should have been checking a box on Form 1040 Schedule B, Line 7a, Question 2. (I looked at what my accountant prepared for me, and it does not include Sch-B). FBAR is a separate filing from my Taxes, so I'm unclear how I was supposed to know. (ignorance of the law, sure, sure...)

Were any US guys here aware of this? Have you been filing?

-sterling
 
wildoates said:
Yeah, when I lived over there I filed the FBAR no big deal. Since I have been back over here I do not.
Click to expand...
We have to do a taxation residency declaration yearly--beurocratic humbug is all that is as, After 60, no tax is paid by self funded retirees in Australia.
 
Welp,
I've filed. Wish me luck.

Three days going from bank to bank gathering the information for four years of banking. I've never filed. Never knew I needed to so I'm about three years behind. Statements from four years (including current). Fees were 200B from one bank and 1000B (go away, come back tomorrow) from the other. With an hour to 45 minutes drive each way.

Filing was really easy, but I still managed to make a few mistakes.

First mistake I made was not clicking the box stating the reason for filing late. "I didn't know I had to file" was right there as the second choice in a drop-down.
Second mistake was not converting Baht to USDollar. Makes it look like I had millions of USDollars flowing into Thailand.
Third was not notifying that the second submission was an Amended form.
The last was not using the correct conversion rate for one year (everything jumbled I mixed one year with another.)

At a stated penalty of US$10,000 per infraction this could legitimately put me in the poorhouse. Hopefully, they understand, but bureaucracy being what it is, I'm not holding my breath.

Here's the link should anyone else ignorant like me need to file.

Individuals Filing the Report of Foreign Bank and Financial Accounts (FBAR)

bsaefiling.fincen.treas.gov bsaefiling.fincen.treas.gov

-sterling
 
DailyLunatic said:
At a stated penalty of US$10,000 per infraction this could legitimately put me in the poorhouse. Hopefully, they understand, but bureaucracy being what it is, I'm not holding my breath.
Click to expand...
Generally IRS tends to focus on the big fish, with less attention to the small fry. Perhaps with the layoffs they will have even fewer people to go after the relatively minor penalties.
 
DailyLunatic said:
Welp,
I've filed. Wish me luck.

Three days going from bank to bank gathering the information for four years of banking. I've never filed. Never knew I needed to so I'm about three years behind. Statements from four years (including current). Fees were 200B from one bank and 1000B (go away, come back tomorrow) from the other. With an hour to 45 minutes drive each way.

Filing was really easy, but I still managed to make a few mistakes.

At a stated penalty of US$10,000 per infraction this could legitimately put me in the poorhouse. Hopefully, they understand, but bureaucracy being what it is, I'm not holding my breath.

Individuals Filing the Report of Foreign Bank and Financial Accounts (FBAR)

bsaefiling.fincen.treas.gov bsaefiling.fincen.treas.gov

-sterling
Click to expand...
Best of luck your way !

I've been filing FBAR for a few years now.
FBAR are separate from filing US taxes with the IRS.
They will email you a notice that you have filed shortly after you have submitted the FBAR.
Then in a few days, you'll get another email that your FBAR has been excepted.

With the fluctuation in currency exchange rates I just do my best to estimate what the value of the Thai bank account is in US dollars.
I keep a copy of the FBAR for reference for following year.
 
lightfoot said:
Best of luck your way !

I've been filing FBAR for a few years now.
FBAR are separate from filing US taxes with the IRS.
They will email you a notice that you have filed shortly after you have submitted the FBAR.
Then in a few days, you'll get another email that your FBAR has been excepted.

With the fluctuation in currency exchange rates I just do my best to estimate what the value of the Thai bank account is in US dollars.
I keep a copy of the FBAR for reference for following year.
Click to expand...
I had to submit a tax residency submission to our ATO until I turned 65---no need now.
 
lightfoot said:
Best of luck your way !

I've been filing FBAR for a few years now.
FBAR are separate from filing US taxes with the IRS.
They will email you a notice that you have filed shortly after you have submitted the FBAR.
Then in a few days, you'll get another email that your FBAR has been excepted.

With the fluctuation in currency exchange rates I just do my best to estimate what the value of the Thai bank account is in US dollars.
I keep a copy of the FBAR for reference for following year.
Click to expand...

Good to know you get feedback on the acceptance.

Thanx,
-sterling
 
lightfoot said:
Best of luck your way !

I've been filing FBAR for a few years now.
FBAR are separate from filing US taxes with the IRS.
They will email you a notice that you have filed shortly after you have submitted the FBAR.
Then in a few days, you'll get another email that your FBAR has been excepted.

With the fluctuation in currency exchange rates I just do my best to estimate what the value of the Thai bank account is in US dollars.
I keep a copy of the FBAR for reference for following year.
Click to expand...

I used the Wise site. You can input the date (last day of whatever year) and it spits out the rate for that day and does the calculation for you. Easy with no math. (This assumes, unlike me, you can record the info correctly.) :cry:
wise.com

US dollar to Thai bahts Exchange Rate History | Currency Converter | Wise

Dive into historical exchange rates for USD to THB with Wise's currency converter. Analyse past currency performance, track trends, and discover how currencies have fluctuated over time.
wise.com wise.com

-sterling
 
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