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Foreign Accounts & Trust

Understanding Your Obligations

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Tax Expert Team

Tax Expert

3 min read
Published on 10 months ago
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Per the Bank Secrecy Act, every year you must report certain foreign financial accounts, such as bank accounts, brokerage accounts and mutual funds, to the Treasury Department and keep certain records of those accounts. You report the accounts by filing a Report of Foreign Bank and Financial Accounts (FBAR) on Financial Crimes Enforcement Network (FinCEN) Form 114.

For full instructions and Who Should File, please see: Report of Foreign Bank and Financial Accounts (FBAR) | Internal Revenue Service

Key Takeaways

  • Understanding tax deductions can significantly reduce your tax liability
  • Keep detailed records of all tax-related expenses and documents
  • Consult with a tax professional for complex situations

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