Interactive FBAR & FATCA Compliance Guide

U.S. Foreign Asset Reporting, Simplified

Are you a U.S. citizen, Green Card holder, or long-term resident? If you have financial assets in a foreign country like South Korea, you may have two complex reporting obligations: FBAR and FATCA. This guide clarifies whether you need to file and what you need to report.

Check Your Filing Obligation in 1 Minute

Answer these simple questions to see if you need to report your foreign financial assets.

Question 1: Are you a "U.S. Person" for tax purposes?

I am a U.S. citizen or Green Card holder. I hold another visa but have spent significant time in the U.S. (Substantial Presence Test). None of the above.

Question 2: Do you have financial accounts or assets outside the United States?

Yes, I do. No, I do not.

FBAR vs. FATCA: What's the Difference?

The two regimes have different purposes, reporting agencies, and thresholds. Filing one does not excuse you from filing the other, so you must check both.

FBAR (Report of Foreign Bank and Financial Accounts)

✓Purpose: To combat money laundering and other financial crimes.
✓Agency: Dept. of Treasury's Financial Crimes Enforcement Network (FinCEN).
✓Threshold: The total value of all foreign 'accounts' exceeds **$10,000** at any time during the year.
✓What to Report: Financial 'accounts' like bank/brokerage accounts, foreign pensions, etc.
✓Key Detail: A reporting duty can arise even from 'signature authority' over an account you don't own.

FATCA (Foreign Account Tax Compliance Act)

✓Purpose: To prevent offshore tax evasion.
✓Agency: Internal Revenue Service (IRS).
✓Threshold: Varies from **$50,000 to $600,000** depending on residency and filing status.
✓What to Report: Specific financial 'assets', including accounts plus directly held stocks, funds, etc.
✓Key Detail: Filed as Form 8938, attached to your Form 1040 income tax return.

What Is My FATCA Filing Threshold?

Select your status below to see your specific FATCA reporting thresholds.

Filing Status

Primary Residence

Select your status above to see results.

The Best Tax Benefit: Avoiding Penalties

Penalties for non-compliance can be astronomical. Willful failure to file can result in catastrophic financial loss, which is why diligent reporting is the best tax-saving strategy.

The Power of Penalties: Tax vs. Willful Non-Filing Penalty (FBAR Example)

This chart visually compares the income tax due ($5,000) on an unreported account of $100,000 versus the potential willful FBAR penalty ($50,000) that could be imposed.

Missed a Past Filing? It's Not Too Late.

The IRS offers various voluntary disclosure programs that allow non-willful filers to come into compliance with reduced or waived penalties. Find the right solution for you.

Question 1: Can you certify that your failure to file was non-willful?

Yes (Non-willful violation) No (May be a willful violation)