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2018 FBAR Deadline in 2019 | FinCEN Form 114 International Tax Lawyer & Attorney

The 2018 FBAR deadline is one of the most important deadlines for US taxpayers in the calendar year 2019. Since FBAR is not filed with the federal income tax return, many taxpayers may miss this deadline. This is why Sherayzen Law Office is publishing this notice to US taxpayers.

2018 FBAR Deadline: Background Information

FBAR is an acronym for FinCEN Form 114, the Report of Foreign Bank and Financial Accounts. US Persons must file FBAR if they have a financial interest in or signatory or any other authority over foreign financial accounts if the highest aggregate value of these accounts is in excess of $10,000. FBARs are filed separately from federal tax returns.

2018 FBAR Deadline: Pre-2016 FBAR Deadline

For the years preceding 2016, the US government chose a very strange deadline for FBARs – June 30 of each year. For example, 2012 FBAR was due on June 30, 2013. No filing extensions were allowed.

There was another surprising rule for FBAR deadlines. Prior to the mandatory e-filing of FBARs, taxpayers had to mail their FBARs to the specialized center in Detroit, Michigan. Unlike the rest of the tax forms, FBARs did not follow the “mailbox rule”. In other words, the filing of an FBAR was recognized by the IRS not upon the mailing of this form, but upon its receipt. For example, if FBAR was mailed on June 30, but received on July 1, it was not timely filed.

Federal tax returns, on the other hand, do follow the mailbox rule. This means that the IRS will consider the mailing date, not the date of receipt, as the date of the filing of a tax return. I should point out that, in practice, the IRS often confuses the rule and incorrectly issues failure-to-file penalties based on the date of receipt. This is why it is important to have a proof of mailing for your federal tax return.

The last FBAR that followed the June 30 deadline was 2015 FBAR; its due date was June 30, 2016. Nevertheless, due to the six-year FBAR statute of limitations, it is important to remember this history for the purpose of offshore voluntary disclosures and IRS FBAR audits. It will continue to be relevant as late as June 30, 2022.

2018 FBAR Deadline: Changes to FBAR Deadline Starting 2016 FBAR

Of course, the strange FBAR filing rules greatly confused US taxpayers. First of all, it was difficult to learn about the existence of the form. Second, taxpayers found it very difficult to timely comply with its requirements due to its very strange filing rules.

The US Congress took action in 2015 to alleviate this problem. As it usually happens, it did so when it passed a law that, on its surface, had nothing to do with FBARs. The Surface Transportation and Veterans Health Care Choice Improvement Act of 2015 (the “Act”) changed the FBAR deadline starting with 2016 FBAR. Section 2006(b)(11) of the Act requires the FBARs to be filed by the due date of that year’s tax return (i.e. usually April 15), not June 30.

Furthermore, during the transition period (which continues to this date), the IRS granted to US taxpayers an automatic extension of the FBAR filing deadline to October 15. Taxpayers do not need to make any specific requests in order for an extension to be granted.

Thus, starting with the 2016 FBAR, the Act adjusted the FBAR due date to coincide with the federal income tax filing deadlines. This is the case even if federal law requires a different filing date. For example, in situations where the tax return due date falls on a Saturday, Sunday, or legal holiday, the IRS must delay the due date until the next business day; the FBAR deadline will follow suit and also shift to the next business day.

2018 FBAR Deadline

Based on the current law, the 2018 FBAR deadline will be April 15, 2019. In other words, your 2018 FBAR has to be e-filed by and including that date. Automatic extension to October 15, 2019, is available.

Minneapolis FBAR Attorney | FATCA OVDP Tax Lawyer

If you are looking for a Minneapolis FBAR Attorney, a recommended suggestion would be to retain the services of Mr. Eugene Sherayzen of Sherayzen Law Office, Ltd. (“Sherayzen Law Office”). Mr. Sherayzen is a Minneapolis FBAR Attorney and founder of Sherayzen Law Office.

Minneapolis FBAR Attorney: Sherayzen Law Office FBAR Specialization

Sherayzen Law Office specializes in international tax compliance, including voluntary disclosure of delinquent (i.e. late) FBARs. As a Minneapolis FBAR Attorney, Mr. Sherayzen has helped hundreds of US taxpayers worldwide to bring their tax affairs into full compliance with US tax laws.

The work of a Minneapolis FBAR Attorney is not limited only to FBARs. Rather, a Minneapolis FBAR Attorney needs to be able to deliver a variety of services and freely operate with experience and knowledge in all relevant areas of international tax law. For example, oftentimes, the calculation of FBAR penalties may depend upon certain legal and accounting interpretations which would allow one to determine whether one has an income-compliant account. These interpretations themselves may be highly technical in nature and may come from different determinations from other areas of the case.

Moreover, as part of an offshore voluntary disclosure, a Minneapolis FBAR Attorney often needs to amend US tax returns, properly prepare foreign financial statements according to US GAAP, correctly calculate PFICs, and innumerable number of other tasks.

Sherayzen Law Office Legal Team Provides Efficient and Cost-Effective Services

In order to make sure that his work as a Minneapolis FBAR Attorney is expeditious and cost-effective, Mr. Sherayzen built a team of tax professionals that he employs within his firm. Each member of the team is trained personally by Mr. Sherayzen and is assigned specific tasks. For example, an international tax accountant helps Mr. Sherayzen prepare the clients’ tax returns while his staff is trained in creating FBARs based on the information already verified by Mr. Sherayzen.

This team of motivated, intelligent and experienced tax professionals allows Sherayzen Law Office to provide an exceptional array of customized offshore voluntary disclosure and international tax compliance services which fully integrate the legal and accounting aspects of international tax compliance and offshore voluntary disclosures in an efficient and cost-effective manner.

Therefore, if you are looking for a Minneapolis FBAR Attorney, please contact Mr. Sherayzen as soon as possible to secure Your Confidential Consultation!