FBAR with no income but savings abroad

[ichiban 0]

Hello all

my wife and I did not earn any income during the tax year,we are unemployed and being supported by my mother, however she has savings abroad in her home country which amounts to $10 +. Will she have to disclose that in FBAR even if she didn't earn any income?

Thanks all for a repky

[Merrytooth 5,748]

http://www.irs.gov/Businesses/Small-Businesses-&-Self-Employed/Report-of-Foreign-Bank-and-Financial-Accounts-FBAR

United States persons are required to file an FBAR if:

1) the United States person had a financial interest in or signature authority over at least one financial account located outside of the United States; and

2) the aggregate value of all foreign financial accounts exceeded $10,000 at any time during the calendar year reported.

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She does not need to file FBAR if all her financial accounts value is less than $10,000 US dollar.

[Kathryn41 3,205]

Yes, she should file the FBAR. It is part of the US Government's anti-terrorism legislation. They won't tax it or anything like that - they just want to know about it to ensure it isn't a source of funding for inappropriate (eg. terrorism) activities. Whenever one or a combination of accounts totals more than $10,000 in a foreign bank, then you need to file the FBAR. It is not difficult to do, but you don't want to miss it either. I believe the filing date is the end of June of the following year - it is different than the IRS tax date.

[freem 0]

Does anyone in Canada know if a TFSA should be put under "banking" or "securities"?