FBAR Filing Deadline Extended to Oct. 15

FBAR Filing Deadline Extended to Oct. 15

Separate from reporting foreign financial accounts on their tax return, taxpayers with an interest in, or signature or other authority over, foreign financial accounts whose aggregate value exceeded $10,000 at any time during 2017, must file electronically with the Treasury Department a Financial Crimes Enforcement Network (FinCEN) Form 114, Report of Foreign Bank and Financial Accounts (FBAR).

The deadline for filing the annual FBAR is now the same as for a federal income tax return. This means that the 2017 FBAR, Form 114, was normally required to be filed electronically with FinCEN by April 18, 2018. But FinCEN is granting filers missing the original deadline an automatic extension until Oct. 15, 2018, to file the FBAR. Specific extension requests are not required.

If you missed the deadline for filing your FBAR, we strongly encourage you to file it now. If you don’t file your FBAR and the IRS assesses a “nonwillfulness” penalty, you will owe up to a $12,663 fine per violation. If you don’t file your FBAR and the IRS assesses a “willfulness” penalty, you will owe the greater of $126,626 or 50% of the balance in the account at the time of the violation.

If you would like assistance in filing your FBAR, please contact PPG Partners.