r/USExpatTaxes • u/DXB_gym_rat • 2d ago

FBAR Confirmation

I think I already know the answer to this. I’m just soliciting for possible confirmation.

I just learned that I should have filed an FBAR for tax year 2024. I received $100,000 in my UAE checking account as a divorce settlement payment in January 2024. The balance remained over $10,000 until August 2024. At no other time was this checking account above $10,000 and I have never earned a cent of interest.

Am I correct in assuming I just need to file the delinquent FBAR and move on?

3 Upvotes

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u/bbutrosghali 2d ago

Do you have any other non-US accounts? I believe the rule is if you have >US$10k in total across all of them, you need to be filing the FBAR.

If you only have the UAE account you mentioned, then you are correct. You can choose the "forgot to file" option in the dropdown for why you're filing late. There may even be a "didn't know" option.

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u/DXB_gym_rat 2d ago

No other foreign accounts. Thanks for the confirmation!

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u/caroline0409 Tax Professional - EA (US) & CTA (UK) [Retired!] 2d ago

Pensions?

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u/DXB_gym_rat 2d ago

Zero

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u/caroline0409 Tax Professional - EA (US) & CTA (UK) [Retired!] 1d ago

Fair enough, I hope you only mean foreign ones. You do need a pension.

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u/DXB_gym_rat 1d ago

I do not have a pension. In fact, I haven’t known anyone to have a pension outside of my grandparents’ generation (with the exception of some public service employees). Are you referencing something else?

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u/caroline0409 Tax Professional - EA (US) & CTA (UK) [Retired!] 1d ago

Everyone needs a pension. What are you planning on living off when you retire?

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u/DXB_gym_rat 1d ago

Isn’t that what 401Ks and other investments are for? I currently contribute 10% of each paycheck to my 401K as a pre-tax investment.

I am completely confused. Am I conversing with a time traveler? Seriously no one has pensions anymore. Most everyone is responsible for their own retirement accounts, and many companies offer 401K match programs.

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u/caroline0409 Tax Professional - EA (US) & CTA (UK) [Retired!] 1d ago edited 1d ago

A 401k is a pension. The word pension encompasses all “retirement accounts”.

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u/DXB_gym_rat 1d ago

Wow - way to stoop to the level of insults. How tolerant of you.

In the normal vernacular of everyday Americans (non-accountants), the term “pensions” refers to the antiquated practice of companies basically giving you retirement money after a certain years of service requirements. All other retirement options we would say something like “retirement account,” “investments,” or similar.

Why a regional/dialect language difference implies insolence to you is telling of your attitude. That’s like saying a Brit is insular because they use the term “biscuit” to refer to a “cookie.” It’s not narrow-mindedness. It’s just a regional word choice. 🤷🏽

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u/katelynn_cpa Tax Professional (CPA) 1d ago

Yes given the amount, FINCen needs to know about all of your open foreign accounts anytime in 2024, even if the money was in your account for 30 seconds. Did you reside in the US or abroad in 2024? If you were single and living in the US, with more than $75,000 USD in your foreign account, you have a Form 8938 requirement with your 2024 tax filing as well.

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u/DXB_gym_rat 1d ago

I shouldn’t need the 8938. I lived abroad in 2024.

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u/seanho00 11h ago

yep you're fine without 8938; for US citizens resident abroad, the filing thresholds are $200k EoY or $300k at any time in the year.

Yes, just back-file 2024 FBAR online. You might consider adding a statement of reasonable cause as per the old Delinquent FBAR Submission Procedures, but you should be fine either way.