IRS COMPLIANCE ●
FBAR & FATCA SPECIALIST
FBAR & FATCA Compliance — Don't Learn the Penalties the Hard Way
Two separate reporting requirements that catch thousands of expats off guard every year. Missing either can result in penalties that dwarf your original tax liability. I ensure complete compliance and help those who have fallen behind get back on track.
FBAR non-willful (per violation) |
Up to $10,000 |
FBAR willful (per violation) |
Up to $100,000+ |
FATCA undisclosure (per form) |
$10,000–$50,000 |
Criminal exposure (willful) |
Up to 5 years prison |
Amnesty available? |
Yes — if you act now |
What Is FBAR?
FinCEN Form 114 — Foreign Bank Account Report
FBAR is a disclosure — not a tax return. It is filed separately with the Financial Crimes Enforcement Network (FinCEN), not the IRS. It reports the existence of your foreign financial accounts, not the income from them.
You must file if you are a US person with a financial interest in or signature authority over foreign financial accounts that exceeded $10,000 in aggregate at any point during the calendar year.
Threshold: $10,000 Aggregate
This is not $10,000 per account. If you have three accounts with $4,000 each — totalling $12,000 at any single point — you must file. “Any point during the year” means even one day over the threshold triggers the requirement.
What Is FATCA?
Form 8938 — Statement of Specified Foreign Financial Assets
FATCA (Foreign Account Tax Compliance Act) requires certain US taxpayers to report specified foreign financial assets on Form 8938, which is filed with and as part of your annual tax return.
It covers a broader range of assets than FBAR: foreign bank accounts, foreign stocks, interests in foreign entities, and foreign financial instruments. The thresholds are significantly higher.
FATCA Thresholds (Living Abroad)
Single / MFS |
$200K year-end / $300K any time |
Married Filing Jointly |
$400K year-end / $600K any time |
Side-by-Side Comparison
FBAR vs. FATCA — Key Differences
Both requirements may apply to the same accounts. Filing one does not satisfy the other.
CATEGORY |
FBAR (FINCEN 114) |
FATCA (FORM 8938) |
Filed With |
FinCEN (separate from IRS) |
IRS (attached to Form 1040) |
Deadline |
April 15 (auto-extended to Oct 15) |
Same as your tax return + extensions |
Threshold |
$10,000 aggregate, any point in year |
$200K–$600K depending on filing status |
Assets Covered |
Foreign bank & financial accounts |
Broader: accounts, stocks, entity interests |
Non-Willful Penalty |
Up to $10,000 per violation |
$10,000 per form, up to $50,000 |
Willful Penalty |
Greater of $100,000 or 50% of account |
Criminal prosecution possible |
Amnesty Program |
Streamlined Foreign Offshore Procedures |
Streamlined Foreign Offshore Procedures |
Penalty Structure
What's at Stake for Non-Compliance
Penalties are assessed per violation, per year. Multiple years of non-filing compound quickly.
FBAR — Non-Willful
$10,000
Per violation per year. Non-willful means you didn't know about the requirement. Still substantial. Courts have upheld per-account penalties.
FBAR — Non-Willful
$100,000+
The greater of $100,000 or 50% of the highest account balance per year. Five years of missed filing on a $200K account: over $500,000 in penalties.
FBAR — Non-Willful
$10K–$50K
$10,000 for failure to file, plus additional $10,000 for each 30 days of non-filing after IRS notice (up to $50,000 additional).
If You've Missed Years
The Good News: There Is a Path Forward
The IRS created the Streamlined Foreign Offshore Procedures (SFOP) specifically for expats who were unaware of or confused about their FBAR and FATCA obligations. It is one of the most generous amnesty programs in the tax code.
Under SFOP, qualifying taxpayers can file amended or delinquent returns for the past 3 years, FBARs for the past 6 years, and pay any outstanding tax plus interest — with no penalties. Not reduced. Zero.
The window for using this program is not guaranteed to remain open. If the IRS contacts you before you use it, you may no longer qualify. If you have missed FBAR or FATCA filings, act now.
Streamlined Foreign Offshore Procedures — What It Covers
3 years of amended returns — filed or amended with all international forms
6 years of delinquent FBARs — filed with FinCEN
Zero penalties — no FBAR penalties, no FATCA penalties, no failure-to-file penalties
Tax owed + interest paid — but no late filing penalties
Requires certification of non-willfulness — I assess whether you