global Tax FBAR's New Due Date June 21, 2016 The FBAR filing deadline is fast approaching—Make sure to submit your form by June 30th—no extensions available. Attention Foreign Financial Account holders: You have just about two weeks to submit your Foreign Bank Accounts Report (FBAR) to the Department of Treasury. This will mark the final year for the Form’s June 30th deadline. Keep in mind that there are NO EXTENSIONS available! More on the FBAR In order to appropriately tax U.S. taxpayers on all sources of income, the Financial Crimes Enforcement Network (FinCEN) developed the FBAR, otherwise known as FinCEN 114. The FBAR allows the Department of Treasury to track and document foreign financial accounts. Who must file? As a reminder, U.S. persons are required to file an FBAR if: They have financial interest in or signature authority over at least one financial account located outside the United States They have financial foreign accounts with an aggregate value which exceeds $10,000 at any time during the calendar year. Filing Instructions If you find that you have to file an FBAR, or FinCEN 114, visit the BSA E-filing System website. You can also have a third party (accounting firm) electronically file the FBAR on your behalf. Important changes for 2017 Check out our blog, “Important Changes to Foreign Bank Account Report Filing Deadline”. Many changed due dates went into effect after President Obama signed the Surface Transportation and Veterans Health Care Choice Improvement Act of 2015 into law, including the filing date for the FBAR/FinCEN Report 114. In efforts to end the disconnect between the filing date for FBAR and income tax returns, the due date for FinCEN Report 114 will now be April 15th. The act changes the FinCEN Report 114 due date to April 15th meaning that: Timing will align directly with income tax return (Form 1040) submission If filers apply for an extension of six months, both the FBAR submission and Form 1040 will be due October 15th. For filers living abroad, Treasury Reg. Section 1.6081-5 in the Act will allow filers to coordinate FBAR deadline to their tax return deadline (June 15th). The extension comes into effect only for the 2016 FBAR deadline- April 15, 2017, which excludes filers who miss the June 30, 2016 deadline for the 2015 FBAR. If filers neglect to file a request for an extension but have just learned of their filing obligations, the penalty may be waived by the Secretary of the Treasury. For now, pay attention to that looming June 30th due date. If you fail to file, remember that you are subject to either a civil penalty of up to $10,000 for each negligent violation (non-willful violation), or a civil penalty of up to $100,000 or 50% of the balance of the account at the time of the purposeful violation (willful violation). Criminal penalties can arise as well for willful violations. 2019 Reminder: Remember foreign financial account holders, you have until April 15th 2019 to submit your 2018 FBAR to the Department of Treasury! Want to learn more about Doing Business in the U.S.? Download our latest guide where we answer FAQS's from non-U.S. investors interested in understanding our marketplace. Questions? Contact any member of our Global Tax Services Practice.