September 18, 2009
Taxation, Wealth Management: Estate Planning, Trust Administration & Succession Planning Alerts

Disclosure of Offshore Accounts – "FBARs"
by Bridget McInerney Harris

Individuals in the United States with an offshore financial account may be required to file a Report of Foreign Bank Financial Accounts (Form TD F 90-22.1) commonly referred to as a "FBAR".

As a general rule, the FBAR must be filed by June 30th for the preceding calendar year. In certain circumstances the penalty for failure to file may equal 50% of the value of the account and possible criminal charges.  On March 23, 2009 the IRS issued a memorandum relating to voluntary disclosure of offshore accounts that allow certain taxpayers until September 23, 2009 to report income from offshore accounts.  

If you have any questions regarding the FBAR filing requirements please contact L. Randolph HarrisBridget McInerney Harris or Douglas Greenberg.  

For further information regarding the reporting requirements please see IRS guidelines.   

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