Form 8938 and FATCA...

sigma · Post by **sigma** » Mon May 30, 2011 10:43 am

Another FBAR derivative goes in to effect from Jan 1, 2011 in the form of Form 8938 and this is expected to be filed along with Tax Returns beginning Jan 1, 2012. This is expected to include rental incomes from foreign countries as well, as some sites report. I feel IRS is more likely to act quicker as it is filed along with the returns than treasury which processes TDF.90

IRS link on Form 8938..

sigma

greyfri · Post by **greyfri** » Fri Sep 30, 2011 9:21 pm

The IRS published draft instructions for form 8938 (FATCA) form.

http://www.irs.gov/pub/irs-dft/i8938--dft.pdf

Note that this in addition to, not a replacement for the FBAR form. The reporting requirements are higher, $100K for MFJ. If you live outside the US, the requirements are even higher upto 400K.

More paperwork in general. Penalties are stiff, but not as stiff as FBAR penalties.

SetToGo · Post by **SetToGo** » Fri Sep 30, 2011 10:58 pm

hi greyfri,

This talks about financial assets. Does that include real estate (apartment, land etc.)? Also what if you inherit something in the middle of the year?

greyfri · Post by **greyfri** » Mon Oct 03, 2011 8:28 pm

SetToGo;413487hi greyfri,

This talks about financial assets. Does that include real estate (apartment, land etc.)? Also what if you inherit something in the middle of the year?

You own something if you inherit it anytime during the year.

Real estate would not normally be considered a financial asset. However, I'm not sure if property owned through a co-op would be considered a financial asset.