Do I need to report a Foreign Financial Asset for an account that my father (not a U.S. person, living in Europe) has and I have been added to?

[partem80]

I am a US resident (green card holder), but used to live in Europe 10 years ago. Do I need to report a Foreign Financial Asset for an account that my father (not a U.S. person, living in Europe) has and I have been added to? My father pays interest tax for it, and I also pay interest tax for this account since I still have to file my taxes in that country in Europe, in addition to the US. If so, what forms I have to use and will it affect my U.S. tax return?

[MinhT · Accepted solution]

The law says:

A United States person that has a financial interest in or signature authority over foreign financial accounts must file an FBAR if the aggregate value of the foreign financial accounts exceeds $10,000 at any time during the calendar year.

In your case, if the aggregate value of the foreign accounts exceeds $10,000 at any time in 2016, you must file an FBAR,

You can file the FBAR online by visiting this link:

https://www.efilefbar.com/?gclid=CNyUnaDejtICFUNafgod2lEA2A

On your US tax return, you need to indicate that you have foreign bank accounts and report all your foreign income.

Please see this IRS document for more information:

https://www.irs.gov/businesses/income-from-abroad-is-taxable

[partem80]

I paid interest tax for the foreign account to the foreign country. Do I have to pay tax in the U.S. for the interest earned from the foreign account?

[MinhT]

Please refer to the IRS document.