IRS Releases Guidance on Foreign Financial Asset Reporting, it is still draft, however, the threshold is high.
Form 8938 is required when the total value of specified foreign assets exceeds certain thresholds. For example, a married couple living in the U.S. and filing a joint tax return would not file Form 8938 unless their total specified foreign assets exceed $100,000 on the last day of the tax year or more than $150,000 at any time during the tax year.
Does it mean if my RRSP is under $100k(jointly) or $150K, I don't need fill this form at all? I saw the last section of 8938 draft needs check for the RRSP exclusion. Anybody clear on this issue?
Additionally, does the foreign asset include real estate if the title is under personal not trust or company.
Thx.
new guidance on foreign asset
Moderator: Mark T Serbinski CA CPA
As I understand it, you have to file the form if you have foreign assets over the thresshold. But you do not have to specify (list) the assets in an RRSP, becuase they are reported on 8891 (which is 3520 on the form).
I'll worry about the limits (which is 50K) and such when it goes to the street.
btw, it appears that 8938 will only be required in 2012, by the FBAR notice FS-2011-13
I'll worry about the limits (which is 50K) and such when it goes to the street.
btw, it appears that 8938 will only be required in 2012, by the FBAR notice FS-2011-13
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing ![Very Happy :D](./images/smilies/icon_biggrin.gif)
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Reading over the instructions, the thresshold DOES include the RRSP (read the part about all your assets being covered by other forms). If RRSP didn't count for the thresshold for reporting, you wouldn't have to file Form at all. But the instructions say that even if all your assets are covered, you have to file. So, You simply do not have to list them as an asset, just fill out the Part IV.
In your case, it prooably means you have to list your bank accounts in Part I, and number of 8891s in Part IV.
Did you get the part about not having to file in 2011?
In your case, it prooably means you have to list your bank accounts in Part I, and number of 8891s in Part IV.
Did you get the part about not having to file in 2011?
nelsona non grata. Non pro. Please Search previous posts, no situation is unique as you might think. Happy Browsing ![Very Happy :D](./images/smilies/icon_biggrin.gif)
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i guess assets (anything with value) will be included. this might be an extansion of the way IRS is dealing with OVDI. Can you see how similar they are ? such 75K peak value (which is a thresshold for 12.5% and 25% penalty) ?
I think land, cash, art work anything that has market value will be included.
I think land, cash, art work anything that has market value will be included.