Overview
On March 18, 2010, the “Hiring Incentives to Restore Employment Act” or “HIRE Act” was signed into law. Section 511 of the HIRE Act created I.R.C. § 6038D. This section requires specified individual taxpayers with an interest in “specified foreign financial assets” to file Form 8938 if the aggregate value of those assets exceeds the applicable reporting threshold. The applicable reporting threshold is generally $ 50,000, but higher asset thresholds apply to U.S. taxpayers who file a joint tax return or who live abroad.
Tax practitioners dread Form 8938 in large part because it means more, and often times duplicate, reporting. For example, a taxpayer with more than $ 10,000 in an offshore account already must file a Report of Foreign Bank and Financial Accounts (FBAR) with the IRS. But in a post-Form 8938 world, that same taxpayer must file a separate Form Read More
Recent Comments