FBAR and Foreign Financial Reporting Resources

2012 NEWS

FinCEN postpones mandatory FBAR e-filing
Feb. 27, 2012
The Financial Crimes Enforcement Network has postponed mandatory e-filing of the Report of Foreign Bank and Financial Accounts (FBAR) until July 1, 2013. However, taxpayers with an FBAR filing obligation will still have to paper file their FBARs by the usual due date.

FinCEN once again extends FBAR filing deadline for certain financial professionals
Feb. 15, 2012
The Financial Crimes Enforcement Network (FinCEN) announced a further extension of the deadline for filing Form TD F 90-22.1, Report of Foreign Bank and Financial Accounts (FBAR), to June 30, 2013, for a small group of financial professionals.

Proposed FATCA regs. take comprehensive approach to foreign financial institution reporting
Feb. 8, 2012
The IRS issued proposed regulations providing rules on information reporting by foreign financial institutions and withholding on certain payments to FFIs and other foreign entities.

IRS announces third offshore voluntary disclosure program
Jan. 10, 2012
In a press release trumpeting the successful collection of more than $4.4 billion in its 2009 and 2011 voluntary disclosure programs, the IRS announced it is starting its third program designed to help people hiding offshore accounts get current with their taxes in the U.S.

2011 NEWS

IRS Reminds Dual Citizens and Americans Living Abroad of FBAR, Other Filing Requirements
Dec. 11, 2011
The IRS reminded U.S. citizens and dual citizens of the United States and foreign countries who live abroad about U.S. filing requirements, including Form TD F 90-22.1, Report of Foreign Bank and Financial Accounts (FBAR).

IRS: Sept. 9 Is Also Deadline for Some Other Foreign Information Returns
Aug. 29, 2011
The IRS clarified its postponement of deadlines under the 2011 Offshore Voluntary Disclosure Initiative (OVDI). In response to Hurricane Irene, the IRS moved the OVDI deadline to Sept. 9 (from Aug. 31), but did not address the Aug. 31 due date for information filings that are not directly within the 2011 OVDI program, but are permitted to be filed under the OVDI’s FAQs 17 and 18.

Hurricane Postpones IRS’s Offshore Voluntary Disclosure Deadline
Aug. 28, 2011
Because of Hurricane Irene, the IRS has postponed the deadline for its 2011 Offshore Voluntary Disclosure Initiative until Sept. 9. The original deadline was this Wednesday, Aug. 31. The initiative allows taxpayers with income from undisclosed offshore accounts to avoid certain penalties and prosecution.

FinCEN Creates FBAR E-Filing System
July 18, 2011
The Treasury Department’s Financial Crimes Enforcement Network (FinCEN) said it has developed an electronic filing system for Form TD F 90-22.1, Report of Foreign Bank and Financial Accounts (FBAR). The reports can now be filed via FinCEN’s BSA E-Filing System.

FinCEN Grants Another FBAR Extension for Some Individuals
June 17, 2011
FinCEN’s Notice 2011-2 gives a small subset of individuals with only signature authority over certain foreign financial accounts who are required to file Form TD F 90-22.1, Report of Foreign Bank and Financial Accounts (FBAR), with respect to those accounts a one-year extension beyond the upcoming filing date of June 30, 2011.

FinCEN Clarifies Parties Entitled to FBAR Filing Extension
June 8, 2011
The Treasury’s Financial Crimes Enforcement Network (FinCEN) said it revised Notice 2011-1 to make clear that officers and employees of a controlled person, as defined in the notice, when they have signature or other authority over (but no financial interest in) the foreign financial accounts of the controlled person are entitled to a one-year extension of the June 30, 2011, deadline to file Form TD F 90-22.1, Report of Foreign Bank and Financial Accounts (FBAR).

Regulators Extend FBAR Filing Deadline for Certain Financial Professionals
June 2, 2011
A small group of financial professionals with only signature authority on foreign financial accounts is getting a one-year extension to June 30, 2012, on the deadline for filing the Report of Foreign Bank and Financial Accounts (FBARs). All other U.S. persons required to file FBARs still must meet the original deadline at the end of this month.

IRS Announces “Good Faith” Extension of Voluntary Disclosure Deadline
June 2, 2011
The IRS said in updated questions and answers that it is making available to taxpayers a 90-day deadline extension to participate in the 2011 offshore voluntary disclosure initiative. The Service said the extension would be available to taxpayers who have made a good faith attempt to fully comply by the current Aug. 31 deadline.

Guidance Issued on Foreign Financial Institution Reporting Requirements
April 11, 2011
Last year’s Foreign Account Tax Compliance Act (FATCA) imposed new information reporting requirements for foreign financial institutions and also imposed new withholding, documentation and reporting requirements for payments made to certain foreign entities. The Internal Revenue Service has issued a notice with guidance on various FATCA reporting requirements.

FinCEN Amends Rules on FBAR Filing Requirements
Feb. 24, 2011
To further its mission of combating money laundering and preventing financial fraud, the U.S. Treasury’s Financial Crimes Enforcement Network (FinCEN) issued final regulations that amend certain aspects of the Report of Foreign Bank and Financial Accounts (FBAR) filing requirements such as whether an account is foreign and therefore reportable as a foreign financial account and the definition of key terms like “signature or other authority.”

IRS Announces Second Offshore Voluntary Disclosure Program
Feb. 8, 2011
The IRS announced that it is starting a new program designed to bring money held in foreign accounts back into the U.S. tax system and to help taxpayers with income from offshore accounts to comply with federal tax law. Under the program, taxpayers that disclose previously undisclosed foreign accounts and comply with the terms of the program can avoid otherwise applicable civil penalties and criminal prosecution.

2010 NEWS

IRS Extends Relief for Some FBAR Filers; Prop. Regs Clarify Certain FBAR Definitions
March 2, 2010
The IRS suspended any requirement for persons other than U.S. citizens and domestic entities to file a Form TD F 90-22.1, Report of Foreign Bank and Financial Accounts (FBAR), otherwise due on June 30, 2010. The Service also extended until June 30, 2011, the deadline for filing an FBAR that would otherwise be due for 2010 and earlier calendar years for persons who only have signature authority over, but no financial interest in, a foreign financial account and those holding foreign commingled funds.

Swiss Court Halts Release of Some UBS Account Holder Data
Jan. 25, 2010
A Swiss court has held that the Swiss bank UBS does not have to hand over to the IRS confidential data on 26 accounts under a settlement agreement between the United States and Switzerland negotiated in August 2009. Under the agreement, UBS is supposed to turn over for investigation information concerning approximately 4,450 accounts.

FEATURE ARTICLES

The Foreign Account Tax Compliance Act
August 2010
The recently enacted Hiring Incentives to Restore Employment (HIRE) Act contains sweeping disclosure and reporting requirements for taxpayers with foreign holdings. Taxpayers and their CPA advisers should be aware of the range of new provisions and potential penalties for noncompliance.