What is Form 8938?

Form 8938 is used to report specified foreign financial assets if the total value of all foreign financial assets is more than the reporting threshold:

Specified individuals living in the U.S. include:

·         Unmarried individual (or married filing separately): Total value of assets was more than $50,000 on the last day of the tax year, or more than $75,000 at any time during the year.

·         Married individual filing jointly: Total value of assets was more than $100,000 on the last day of the tax year, or more than $150,000 at any time during the year.

 

Specified individuals living outside the U.S.:

·         Unmarried individual (or married filing separately): Total value of assets was more than $200,000 on the last day of the tax year, or more than $300,000 at any time during the year.

·         Married individual filing jointly: Total value of assets was more than $400,000 on the last day of the tax year, or more than $600,000 at any time during the year

 

Required taxpayers who fail to file Form 8938 by the due date may be subject to a $10,000 penalty. In addition, if you are notified of the failure by the IRS and continue not to file Form 8938, you may be subject to an additional $10,000 penalty for each 30-day period the form is not filed, limited to $50,000. Further, if an underpayment of tax is involved with an undisclosed specified foreign financial asset, you may be subject to a penalty equal to 40 percent of the underpayment.

All About Randall Brody
Lorem ipsum dolor sit amet, consectetur adipiscing elit. Nam sed augue iaculis, dictum odio vitae, varius turpis. Aenean sit amet magna in sapien convallis fringilla vel vitae sem.

Leave a Reply

Your email address will not be published.