A Simple Guide to FBAR (FinCEN Form 114): What You Need to Know
Introduction If you are a U.S. taxpayer with financial interests outside the country, you may have heard of FBAR – short for the Report of Foreign Bank and Financial Accounts. Officially known as FinCEN Form 114, this form is required for those who meet certain thresholds in foreign account holdings. In this article, we’ll break it down into clear, easy-to-understand information so you can stay compliant and informed. What is FBAR? FBAR (FinCEN Form 114) is a filing requirement mandated by the U.S. Department of the Treasury. It requires U.S. persons, including citizens, residents, and certain entities, to report foreign bank accounts if their total value exceeded $10,000 at any point during the calendar year. Who Must File FBAR? You may need to file if: You are a U.S. citizen or resident alien You have a financial interest in or signature authority over one or more foreign accounts The total value of those accounts was over $10,000 at any time during the year It a...