fbar file foreign asset

[jasonkloweit82625]

The following question is in regard to fbar requirement and form 8938. If a loan was used for a house that was bought outside the United States, and that loan money was 480,000 euro and that foreign account was used to buy the house and renovate the house, does this need to be reported? The money that was actually mine never exceeded 10000 dollars. However, there was a time when loan money was in the account and it exceeded the 10k threshold. Does this foreign account need to be reported, or does it not have to be reported due to the fact that the money was never actually mine. I also own the house directly and live in it.

[DaveF1006]

To clarify, was the account where the loan money was deposited in your name? The house that was bought, is it your personal residence or investment property? What do you mean when you say $10,000 was yours?

[jasonkloweit82625]

The account is in my name as well as my fiancé name. This is my personal property where i currently live in and intended to live in as long as i work here. What i mean by the 10k, FBAR says anything under that does not needed to be reported. The account is only used to pay off Bills, so there is never more than 10k in there. However with the loans that was deposite to the account to pay the price of the house, it was over 10k.

[DaveF1006]

Yes, FBAR regulations state that if the balance in the accounts exceed $10,000 in a calendar year, then a FBAR needs to be filed.

FBAR Regulations

[jasonkloweit82625]

Okay and it doesn't matter if it's the banks money which is passing through to pay for the house and it's not mine? Also if next year the account is below 10k does it still need to be reported again?

[DaveF1006]

No. If the balance never exceeds $10k for the year, It doesn't need to be reported.