Is Form 8938 the same as FATCA?

FATCA and Form 8938 for American Expats. FATCA created Form 8938, an additional foreign account reporting requirement over and above the Report of Foreign Bank and Financial Accounts (FBAR) that needs to be filed with the U.S. Treasury every year.

Who has to file FATCA?

FATCA requires certain U.S. taxpayers who hold foreign financial assets with an aggregate value of more than the reporting threshold (at least $50,000) to report information about those assets on Form 8938, which must be attached to the taxpayer’s annual income tax return.

What do you need to know about FATCA Form 8938?

The “FATCA” (Foreign Account Tax Compliance Act) provisions require specified individuals to report ownership of specified foreign financial assets if the total value exceeds the applicable reporting threshold. The IRS created Form 8938, Statement of Specified Foreign Financial Assets, for this purpose.

Can a foreign account be reported on Form 8938?

The IRS states that Form 8938 does not relieve filers of FBAR filing requirements, but certain foreign financial accounts are reported on both Form 8938 and FBAR. For example, specified foreign financial assets held outside of an account with a financial institution are reported on Form 8938, but are not reported on FBAR.

When do you need to file Form 8938?

You are required to file Form 8938 if you must file an income tax return and one of the following is true: You are married and filing a joint income tax return and the total value of your specified foreign financial assets is more than $400,000 on the last day of the tax year or more than $600,000 at any time during the year.

When to file Form 8938 or FBAR Form 114?

If you have a financial interest in or signatory authority over an offshore financial account, you must report the account on a Foreign Bank Accounting Report (FBAR) Form 114 (formerly TD F 90-22.1), regardless of your obligation to file Form 8938. Certain foreign financial accounts are reported on both FBAR and Form 8938.