If you have income from sources outside of the US, or if you hold assets in offshore accounts, there are specific forms you must complete to adhere to IRS foreign bank account reporting requirements. These are the most common forms required for taxpayers with foreign assets or income
FBAR ASSETS & INCOME-SAMPLE
Another necessary form to adhere to IRS foreign bank account reporting requirements is the Statement of Specified Foreign Financial Assets. This is IRS Form 8939.
It’s required for qualifying US citizens, residents, and businesses. Form 8939 is filed when your foreign assets exceed $75,000 at any time during the year or $50,000 on the last calendar day. These figures increase to $150,000 and $100,000 for married taxpayers.
Every US citizen or resident has to file a US tax return. Your US tax return is where you report your foreign income and determine your tax obligation. You’ll also have a chance to see if you qualify for credits or deductions that lower your taxes.
we thoroughly go over your finances to make sure you’re taking any allowed deductions, credits, or write-offs. For example, if you pay taxes in another country on your income, you may qualify for the foreign tax credit.
The foreign tax credit decreases your US tax liability. We’ll also see if you’re eligible to exclude any of your foreign earned income.