The Big Fish Myth: Who Really Needs to Report Foreign Accounts | US International Tax Lawyer Mexico
Hello and welcome to Sherayzen Video Blog. My name is Eugene Sherayzen and I’m an international tax attorney and owner of Sherayzen Law Office, Ltd.
Today, I’m continuing my series of vlogs from Alvarado, Mexico. In this vlog, I would like to continue working on the same theme of debunking popular US tax myths that prevent US taxpayers from being fully compliant on their US tax returns. In this vlog, I will discuss what I call the ‘Big Fish Myth’.
The Big Fish Myth is basically a belief that only multi billionaires need to disclose their foreign accounts and foreign income to the IRS – that the rest of the people don’t really need to worry about this at all. This is completely wrong. US taxpayers’ obligation to disclose their foreign accounts and foreign income in the United States is not affected by how many millions, billions or how many thousands they may have as long as they meet the threshold filing requirements, they must disclose their foreign assets and foreign income on their US tax returns.
Obviously, if you only have $1,000 in US accounts and foreign accounts, then your obligations are going to be a lot smaller than if you have $1,000,000 in foreign accounts. But your obligation to disclose your foreign assets and particularly foreign financial accounts are not affected by how much money or how many millions you have. As long as you meet the thresholds, you must file the relevant tax forms with your US tax returns.
In the next vlog, I will continue discussing your US tax obligations and debunk various tax myths concerning US tax compliance.
Thank you for watching, until the next time.
