FBAR Question

[S_And_J 7]

Hey All!

 

So it's that time of year for the FBAR filing, and with this being my first I was hoping someone could answer a couple questions!

 

So i'm aware you have to fill out the FBAR if any of your foreign accounts have over $10,000 in at any point of the financial year.

 

My first question is: If I had over $10,000 in Account A, do I need to report the $2000 I had in Account B? It was my understanding that I do need to, is that right?

 

Secondly, if for example, Account A had $11,000 in it, and then the next day I transfer $4000 from that account into Account B, do I now need to report the the new maximum figures for both accounts. e.g. Account A = $11,000, Account B = $4,000. I only wonder if this is the case as it makes it seem like I have more money than I really do (e.g. $15,000) when all I did was transfer existing money into another account (e.g. still only $11,000 total in my accounts)?

 

I hope that makes sense?

 

Any help is appreciated - I just want to make sure I fill it in all correctly

Edited February 18, 2019 by S_And_J
clarification

[Wuozopo 4,293]

1 hour ago, S_And_J said:

My first question is: If I had over $10,000 in Account A, do I need to report the $2000 I had in Account B? It was my understanding that I do need to, is that right?

Yes

 

1 hour ago, S_And_J said:

Secondly, if for example, Account A had $11,000 in it, and then the next day I transfer $4000 from that account into Account B, do I now need to report the the new maximum figures for both accounts. e.g. Account A = $11,000, Account B = $4,000. I only wonder if this is the case as it makes it seem like I have more money than I really do (e.g. $15,000) when all I did was transfer existing money into another account (e.g. still only $11,000 total in my accounts)?

It is the highest balance in each account at anytime during 2018.

Account A is $11k. Account B from you first example already had $2k +$4k transfer is $6k to report.

i see what your saying, but It's not (in my mind) the total you have, but where you have it. There is no tax implication so the total amount of money doesn't have to be accurate. And they are somewhat interested if you earned interest payments in 2018 that you failed to report on your tax return.