FBAR &
FATCA
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Accurate reporting of foreign bank accounts and assets to meet US compliance requirements and reduce the risk of penalties.
US persons with foreign financial accounts exceeding $10,000 at any point during the year are required to file an FBAR (FinCEN Form 114). Similarly, FATCA (Form 8938) requires reporting of specified foreign financial assets above certain thresholds.
The penalties for non-compliance can be severe — up to $10,000 per violation for non-wilful failures, and significantly more for wilful non-compliance. We ensure your filings are accurate and submitted on time, every time.
FBAR Filing
Preparation and electronic filing of FinCEN Form 114 for all qualifying foreign bank and financial accounts.
FATCA Compliance
Filing of Form 8938 to report specified foreign financial assets held above the applicable reporting threshold.
Penalty Protection
Ongoing monitoring and timely filing to prevent exposure to non-compliance penalties and IRS action.
Every US person living abroad with foreign bank accounts or financial assets is potentially subject to FBAR and FATCA reporting. Failure to file — even unintentionally — can result in penalties starting at $10,000 per account, per year. Proper reporting is not optional; it is a fundamental part of US tax compliance for expats.
The Process
How FBAR & FATCA
Reporting Works.
Account Identification
We review all your foreign bank accounts, investment accounts, pensions, and financial assets to determine which accounts trigger FBAR and FATCA reporting requirements.
Threshold Analysis
FBAR applies when the aggregate value of all foreign accounts exceeds $10,000 at any point during the year. FATCA thresholds vary based on filing status and residency. We determine exactly which forms apply to you.
Form Preparation
We prepare FinCEN Form 114 (FBAR) filed electronically through the BSA E-Filing System, and Form 8938 (FATCA) attached to your federal tax return, ensuring all accounts and assets are reported accurately.
Historical Filings
If you have missed prior-year FBARs or FATCA filings, we prepare and submit delinquent forms — often in conjunction with the IRS Streamlined Procedures to reduce or eliminate penalties.
Ongoing Monitoring
We track your foreign accounts throughout the year and file all required reports on time, ensuring you remain fully compliant and avoid future penalties.
Understanding the Requirements
FBAR vs FATCA:
What You Need to Know
The FBAR (FinCEN Form 114) and FATCA (Form 8938) are separate reporting obligations with different thresholds, filing methods, and penalties. Many US expats are required to file both, but confuse the two or miss one entirely.
The FBAR is filed electronically with the Financial Crimes Enforcement Network (FinCEN) and covers all foreign financial accounts — bank accounts, securities, mutual funds, and certain insurance policies. The filing threshold is $10,000 aggregate value at any point during the year.
FATCA (Form 8938) is filed with your federal tax return and covers a broader range of specified foreign financial assets, including accounts, stocks, partnerships, and certain foreign trusts. Thresholds are higher — $200,000 at year-end or $300,000 at any point for single filers living abroad — but the reporting requirements overlap significantly with the FBAR.
Penalties for
Non-Compliance
Non-Wilful FBAR Penalty
Up to $10,000 per account, per year for each unreported foreign account. Even unintentional failures to file can result in substantial penalties that accumulate quickly across multiple accounts and years.
Wilful FBAR Penalty
The greater of $100,000 or 50% of the account balance per violation. Wilful non-compliance can also carry criminal penalties including fines and imprisonment.
FATCA Penalties
Failure to file Form 8938 can result in a $10,000 penalty, with additional penalties up to $50,000 for continued non-filing after IRS notification. Underpayments related to undisclosed assets carry a 40% accuracy penalty.
Relief Options
If you qualify as non-wilful, the IRS Streamlined Procedures can eliminate all penalties. We assess your situation carefully and recommend the most protective path to compliance — whether Streamlined, delinquent FBAR, or voluntary disclosure.
Common Questions
Frequently Asked
Questions
The FBAR (FinCEN Form 114) is filed with the Financial Crimes Enforcement Network and reports foreign financial accounts. FATCA (Form 8938) is filed with your tax return and reports specified foreign financial assets. They have different thresholds, different filing methods, and different penalties — but many expats are required to file both.
Any US person (citizen, green card holder, or resident) who has a financial interest in or signature authority over one or more foreign financial accounts with an aggregate value exceeding $10,000 at any point during the calendar year must file an FBAR.
For US expats filing as single, the threshold is $200,000 at the end of the year or $300,000 at any point during the year. For married filing jointly, it is $400,000 at year-end or $600,000 at any point. Thresholds are lower for US residents.
If you have missed FBAR or FATCA filings, we can prepare and submit delinquent forms. Depending on your circumstances, the IRS Streamlined Procedures may eliminate all penalties. We assess each case individually to recommend the safest path.
FBAR covers all foreign financial accounts — including bank accounts, securities accounts, mutual funds, and certain insurance policies or pension accounts with a cash value. FATCA covers these plus additional assets like foreign stocks, partnerships, and certain trusts.
Technically yes — FBARs are filed electronically through the BSA E-Filing System. However, incorrect or incomplete filings can trigger penalties. Given the severity of potential penalties, professional preparation is strongly recommended, especially if you have multiple accounts or missed prior years.
Get in Touch
Ready to get
your US taxes
sorted?
Whether you need help with IRS Streamlined filings, annual US tax returns, or cross-border tax planning — our team is here for you.
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