LPR with foreign bank account, what to declare to IRS?

[Dohan 133]

My husband got his Green Card in December and we will obviously be filing our 2015 Income Tax jointly. He has some accounts in India and we are not sure how to report it and whether it has to be reported? Will he be taxed on it? Is it only savings accounts that matter? What about investments or properties?

[aaron2020 11,651]

Easy answers using Google.

https://www.irs.gov/Businesses/TypesofForeignAssetsandWhetherTheyareReportableonForm-8938

[Nich-Nick 3,354]

There are two things to look at

1) FATCA (form 8938 mentioned in Post 2) is reported with the tax return if your foreign holdings when combined exceed $100,000 and you file jointly.

2) FBAR (mentioned in Post 3) is a report of foreign bank accounts (combined) that exceed $10,000 at any time during the year. That does not get filed with the tax return, but is submitted to the U.S. treasury by June 30. You can submit your report online.

Your total foreign holdings are not taxed because they are not considered income. But if your foreign accounts earned any interest or dividend money in 2015, that interest is reported just like US interest/dividends are reported because when you file a joint return all worldwide income (salary, investment earnings) has to be declared.