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FATCA Tax for Americans who live abroad
#33

FATCA Tax for Americans who live abroad

Filling out a FBAR form (reporting foreign bank accounts) is no big deal. Set a reminder every year, spend like 10 minutes (save previous year's copy as PDF for reference).

Also, i don't think IRS will go after a guy just because he reports some money in foreign bank accounts unless it's several hundred thousands or millions of dollars. My educated guess is that if you show 15K one year and 30K the next year nobody will care, but if you show a few millions next year, then the IRS may have questions for you. Other than that, foreign bank account reporting is easy and doesn't even require proof that you paid taxes on the money you keep in foreign accounts (unless you are audited).

Keep in mind that millions of immigrants who live in the US still have foreign ties and keep their foreign accounts open. Having a foreign bank account doesn't automatically mean to the IRS that you are rich and trying to hide something.
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