On July 18, 2011, the Federal Crimes Enforcement Network (“FinCEN”) announced an online filing option for Form TD F90-22.1 Report of Foreign Bank and Financial Accounts (“FBAR”). Paper forms will continue to be accepted until further notice from FinCEN.
U.S. persons are required to file an FBAR each year if they have a financial interest in or signature authority over financial accounts, including bank, securities or other types of accounts, in a foreign country if the aggregate value of these financial accounts exceeds $10,000 at any time during the year. There are significant criminal and civil penalties for noncompliance with the FBAR filing requirements. For 2010, the due date for filing the FBAR was June 30, 2011. Extensions of time to file an FBAR are not granted. The FBAR is due each year on June 30th.
The FBAR e-filing system can be found at http://bsaefiling.fincen.treas.gov. Currently, the system can only accommodate one digital signature per FBAR, so married taxpayers who otherwise would have the option of joint filing must file separate FBAR’s on the online system.
In Notice 2011-54 (I.R.B. 2011-29, June 16, 2011) the Internal Revenue Service (IRS) extended the deadline for filing the FBAR for persons with no financial interest in a foreign financial account but with signature or other authority over that account for 2009 or earlier calendar years to November 1, 2011. IRS Notice 2010-23 had previously granted an extension of time for the filing of 2009 and prior year FBARS to June 30, 2011. Presumably, the new FBAR e-filing system will be available for filing these returns.
For any questions related to the new FBAR e-filing option, please contact your Schneider Downs representative.
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