Thank you K M W for your reply. A follow up question. i copied below an excerpt of your explanation. my question is, what is considered financial assets? as an example, let's say i buy a house, is this a financial asset? OR let's say i have certificates of deposit which at the end of the year amounted to $55,000 then do i need to report this on Form 8938 if the $55,000 was after tax cash or do i report on Form 8938 only the interest earned on those $55,000?
The other reporting requirement that may apply is Form 8938, Statement of Specified Foreign Financial Assets. The reporting threshold (total value of assets) varies, as shown here:
Specified individuals living in the US: Unmarried individual (or married filing separately): Total value of assets was more than $50,000 on the last day of the tax year, or more than $75,000 at any time during the year.
