Hello:
Like many others on this board, I am a Canadian citizen who has resided and worked in the US since 2006, but has only just discovered the FBAR and form 8891 filing requirements and am working to rectify the situation as soon as possible. The financial accounts to be disclosed are two RRSP accounts and a checking account (no RESPs, TSFAs or other accounts) established before moving to the US, and I have neither contributed to, nor taken any distributions from, either of the RRSPs since leaving Canada.
I back filed the FBAR forms dating back to the 2007 tax year last week, and am now working on the 8891 submissions. However, I have a few questions which, as far as I can tell, have not been specifically dealt with in other threads and on which I would appreciate some guidance:
- In my first year (2006) I filed a 1040NR since I did not meet the substantial presence test to be regarded as a US resident for tax purposes. I was told by someone at the IRS department responsible for the FBAR that this means that no FBAR filing is required for that year, which is why I am only back-filing that form to 2007. It would appear that my 8891 also only needs to be filed from 2007 onwards, as I have only been taxed on worldwide earnings from that year. I would appreciate some confirmation that both of these forms (TD F 90 -22.1 and 8891) are only due from 2007 onwards for the reasons stated above.
- I am filing copies of schedule B for the years 2007 to 2011 inclusive as I have read elsewhere that a form 8891 filing is only considered valid if it is accompanied by schedule B for the same year. However, I am not 100% certain that this is true and would appreciate some guidance.
- I filed forms 8891 and 8938 for 2011 within this year's deadline and made the election for 2011 onwards in line 6c of form 8891. However, that election will only apply from 2011 onwards and I would like to ensure that I will get the benefit of deferment for 2007 - 2010 as well. In my submissions for prior years 2007-2010, should I take the election for 2007 and answer "Yes" and "2007" to questions 6a and 6b in the filings for 2008-2011 (including a revised filing for 2011)?
- I am assuming that I can ignore forms 3520 and 3520A since I only need to file for 2007 and subsequent years and do not have any foreign trusts other than the RRSPs mentioned above.
Thanks in advance.
Questions regarding 8891 and FBAR Back Filings
Moderator: Mark T Serbinski CA CPA
8891 can be filed without sched B. but if you ddi not correctly answer the questions on sched B, then you should amend these as well.
After 20 years, I am severely cutting back on responses. Do not ask specifically for my help. There are a few others on this board that can answer most questions. All the best
Thanks for the quick response. Schedule B was not filed previously, so I will go ahead and file the 8891 forms with a 1040X form only.
I will also assume that, based on my circumstances, I can ignore forms 3520/3520A as well as the need to file for 2006. I also plan to file the 2007 8891s with an election to defer from that year and will also file amended 8891s for 2011 indicating that the election was previously made (in 2007). I hope this will be OK. If not, or if there would be a better course of action, I would appreciate any advice.
Thanks.
I will also assume that, based on my circumstances, I can ignore forms 3520/3520A as well as the need to file for 2006. I also plan to file the 2007 8891s with an election to defer from that year and will also file amended 8891s for 2011 indicating that the election was previously made (in 2007). I hope this will be OK. If not, or if there would be a better course of action, I would appreciate any advice.
Thanks.