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michael-cipriano
Level 1

I live in the US and have a transferwise account with money in US Dollars and Euros. Do I have to declare the EURO account as a foreign bank account?

 
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MinhT1
Employee Tax Expert

I live in the US and have a transferwise account with money in US Dollars and Euros. Do I have to declare the EURO account as a foreign bank account?

Your Transferwise account is a borderless account which is regulated by the Financila Coduct Authority in the UK, and as such is considered as a foreign account for US residents and citizens.

 

Therefore, if your Transferwise had a balance (including all currencies) of more than $10,000 anytime during 2019, you have to file a FBAR report.

 

Please read this FINCEN article for more information.

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5 Replies
MinhT1
Employee Tax Expert

I live in the US and have a transferwise account with money in US Dollars and Euros. Do I have to declare the EURO account as a foreign bank account?

Your Transferwise account is a borderless account which is regulated by the Financila Coduct Authority in the UK, and as such is considered as a foreign account for US residents and citizens.

 

Therefore, if your Transferwise had a balance (including all currencies) of more than $10,000 anytime during 2019, you have to file a FBAR report.

 

Please read this FINCEN article for more information.

**Say "Thanks" by clicking the thumb icon in a post
**Mark the post that answers your question by clicking on "Mark as Best Answer"
mvier
New Member

I live in the US and have a transferwise account with money in US Dollars and Euros. Do I have to declare the EURO account as a foreign bank account?

I asked that specific question to Transferwise and they said I did not. I would tend to agree with you though but why would their customer support people state the opposite ?

Critter-3
Level 15

I live in the US and have a transferwise account with money in US Dollars and Euros. Do I have to declare the EURO account as a foreign bank account?

Just  CYA ... it doesn't cost you anything to file the FBAR and it doesn't hurt you in any way so just file one to be safe. 

kay321
New Member

I live in the US and have a transferwise account with money in US Dollars and Euros. Do I have to declare the EURO account as a foreign bank account?

When you say "more than $10,000" is that including or excluding your USD balance?

 

As I understand it, TransferWise keeps USD balances in a US bank.

DaveF1006
Employee Tax Expert

I live in the US and have a transferwise account with money in US Dollars and Euros. Do I have to declare the EURO account as a foreign bank account?

It depends. Any account overseas is a foreign account regulated by foreign regulators.  If there is more than $10K in the accounts kept overseas, it has an FBAR requirement whether USD balances or otherwise. Besides, as Critter-3 expresses, it doesn't cost anything to file the FBAR and may avoid legal ramifications in the long run. I am sure you can do without the potential headaches involved.

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