Comments on: You missed the deadline and it isn’t your money – file an FBAR?

By: Ron

Ron — Tue, 10 Nov 2009 04:29:34 +0000

I have been amazed that this IRS program has affected so many middle class normal folks that are either immigrants or expats. I myself am a Canadian that is working in the US and have been filing the FBAR for my RRSP retirement accounts over the years. However I have power of attorney over my elderly mother and I was NOT aware that I have to disclose ALL her bank/brokerage account as well. Although I did not participate in the VDP program directly I did file the FBAR amendments to disclose the additional accounts for 6 years. Now I have been losing sleep as to whether I will get an audit and is really affecting my life.

By: Jameel @ The Muqata

Jameel @ The Muqata — Sun, 08 Nov 2009 13:12:08 +0000

Hi Phil — Thanks for adding a bit of a humor, to an entirely humorless (and fearsome) topic.

I’ve discussed the FBAR a few times on my blog, (and with friends), and the basic thought process went like this: Yes, we’ll file the FBARs, yes, we’ll continue to file IRS taxes.

However, if the worse case ever happens and we God forbid get IRS auditied, then we’d simply forfeit American citizenship to avoid the entire problem of being an “expatriot, non-resident American citizen”.

Only today did I see there’s an “exit tax” if someone wants to give up their US citizenship.

Oh well.

By: Shirley

Shirley — Sun, 08 Nov 2009 11:56:36 +0000

I completely agree with the above. Especially the one from Fletch. I am a US citizen and my Norwegian husband holds a green card. We have lived in Denmark for almost 14 years and have always filed a tax return in the US. However, I resent that I need to pay an accountant to handle this for us because the forms and laws are so complicated and change so often. Even when we review the return before we sign it we actually have no real idea if all is in order. We have done the best we could in getting info to the accountant and I am confident that she has done the best she could to prepare the return accurately.

By: Fletch

Fletch — Fri, 06 Nov 2009 15:30:11 +0000

Well put.

It really does, sadly, make you question the point of your continued citizenship. On the other hand, giving that up (in my case) would come at a hefty price too.

I’ve been filing the darn things since I moved (back) to Europe 13 years ago; but I never lose the feeling that I might be doing the wrong thing, or missing something that I oughta know about, or the lurking sense that I’m a presumptive tax evader because I have the audacity to live abroad and put my savings into a bank located in the country in which I actually live.

No, of course no one is listening in Washington.

By: Anne

Anne — Wed, 28 Oct 2009 12:39:25 +0000

This is all so true !!! The overall IRS regulations (FBAR, QI, etc.) will not bring in the expected billions. They’re just making banks overseas kick out normal legal totally declared US clients, and also causing many US citizens living outside of the US to consider seriously giving up their US passport if they have any other alternative. Not to mention the millions of green card holders living outside the US who never KNEW they were supposed to be paying taxes to the US.
Excellent comments. Most appreciated. Will anyone listen in Washington ???