FBAR: foreign accounts and the $10,000 threshold

The most underestimated form in US tax reporting. Here it is, point by point.

Who files

Anyone treated as a US tax resident whose foreign accounts, added together, exceeded $10,000 on at least one day of the year.

Three things people get wrong

First, the threshold is the total of all accounts, not each one. Three accounts with $4,000 each make $12,000, and you have to file.

Second, one day is enough. Money arrived and left the next day, and the threshold was still crossed.

Third, it isn't only accounts you own. An account where you have signature authority counts too.

What counts

Bank accounts, brokerage accounts, deposits, and often cash-value insurance products. The rules for crypto exchanges are changing, so check that question separately.

Where it goes

Not to the IRS. The FBAR is filed electronically with FinCEN, separately from your tax return. That's why people miss it: the return is filed, but this is a different system and a different form.

Deadline

October 15. The extension is automatic, no request needed.