What is FATCA for Expats?

FATCA is the 2010 Foreign Account Tax Compliance Act, a law that affects expats in two ways. Firstly, it compels all foreign banks and investment firms to report their American account holders to the IRS or pay a tax when they trade in US markets.

FATCA News

FATCA also requires expats with over $200,000 in foreign financial assets to report them each year by filing form 8938 when they file their federal tax return. You can find information and news relating to FATCA updates int he articles below.

US Expat Taxes and FATCA – How to File Form 8938

US Expat Taxes and FATCA – How to File Form 8938

Under the 2010 Foreign Account Tax Compliance Act, also known as FATCA, Americans (including expats) with a certain value of foreign assets have to report them to the IRS each year by filing form 8938 along with their US income tax return. Who has to file? All Americans who are liable to file a US […]

Will FATCA be Repealed?

Will FATCA be Repealed?

What is FATCA? FATCA, or the Foreign Account Tax Compliance Act, is a law introduced in 2010 to help prevent offshore tax evasion that requires foreign financial institutions to report their American account holders to the IRS, including contact details and account balances, and Americans with assets abroad that meet certain requirements to report them […]

FATCA Finally Came Into Effect his month

FATCA Finally Came Into Effect his month

FATCA, the Foreign Account Tax Compliance Act, was a law passed in 2010 as part of a federal post-2008 financial crisis drive to crack down on tax cheats hiding their money abroad. An unintended consequence though has been the government both snooping on and increasing the tax burden on the estimated 9 million ordinary Americans […]

FATCA – Everything Expats Need to Know

FATCA – Everything Expats Need to Know

FATCA is an acronym for the Foreign Account Tax Compliance Act, a law passed by Congress in 2010 to help crack down on tax evasion involving people keeping money offshore. The law came into effect on July 1st, 2014. FATCA has two aspects. It requires individuals with assets abroad worth over a certain value to […]

US Senator’s FATCA Challenge Thrown Out By Judge

US Senator’s FATCA Challenge Thrown Out By Judge

(The following article was first published over at iexpats.com). A judge has thrown out a case from a US senator leading a campaign against the controversial Foreign Account Tax Compliance Act (FATCA). Senator Rand Paul and several other campaigners filed suits against government departments in a bid to derail the law that demands foreign banks […]

Form 8938 and FinCEN Form 114 – What Expats Need to Know

Form 8938 and FinCEN Form 114 – What Expats Need to Know

Many of our clients confess to some confusion (or lots!) about whether they have to complete Form 8938, FinCEN Form 114, or both, so we’d like to shed some light on the situation. What are they? IRS Form 8938 is required under the Foreign Account Tax Compliance Act or FATCA for reporting assets held abroad. […]

US Expats Could Lose Their Passports for Overdue Taxes

US Expats Could Lose Their Passports for Overdue Taxes

Hidden inside a highway funding bill that Congress is expected to pass later this month, is a measure that will give the State Department the ability to revoke the passports (or deny their renewal) of people who are behind on their taxes, the Wall Street Journal recently reported. The new law will affect people who […]

How to Respond when Foreign Banks Ask For Your U.S. Taxpayer ID?

How to Respond when Foreign Banks Ask For Your U.S. Taxpayer ID?

Currently, an estimated nine million Americans are living abroad. The majority have accounts at foreign banks, and many of them are now receiving letters from their banks asking for their US tax identification numbers. Some are also asking their American clients to certify that they are current with their US tax filings.   FATCA, the […]