I'm a Mexican with temporary Visa Status, I'm not a US citizen nor have a green card, I work here in TN Visa. I have a bank checking account in Mexico so should I report this to the IRS?
Do Mexicans have to report their own accounts?
@thanos_lord , once you have lived in the USA for more than six ( approx ), you are taxed on world income and therefore have to report (a) interest earned in a foreign bank , just as if these were earned in the USA; (b) foreign bank accounts that you own and/or have ONLY signature authority over, if the total of all such accounts is equal or more than US$10,000 -- FBAR
Does this answer your "pregunta o duvidas" or do you need more help ?
@thanos_lord IRS does not begin accepting returns till Feb 12th but since you have already filed, the return may be held awaiting IRS acceptance. Just to note that if the aggragate amount of all the foreign accounts is more than US$10,000 then you would need to file the FBAR form -- this is not handled as part of your return. You have to go online to www.FinCen.gov and look for form 114 and fill this out on line -- just info about the accounts and balance on 12/31/2020. There is NO tax implication of this filing but non-reporting can be penalized and that penalty is pretty high. So please go and fill out that form 114 -- you may have to do it each year -- this must be filed by 04/15/2021 i.e. by the return filing day.
Stay safe
@thanos_lord , once you have lived in the USA for more than six ( approx ), you are taxed on world income and therefore have to report (a) interest earned in a foreign bank , just as if these were earned in the USA; (b) foreign bank accounts that you own and/or have ONLY signature authority over, if the total of all such accounts is equal or more than US$10,000 -- FBAR
Does this answer your "pregunta o duvidas" or do you need more help ?
@pk Hi champ, thanks for your response. Unfortunately, I didn't see your response earlier and I was kind of puzzled for the questions while completing my taxes online and for what I understood it was only required if I were to have around 50k or more in total. After answering those questions shown by the software or tool it didn't ask me more so it kinda skipped that step. Wish I could have had some guidance before filling this 😓
Thanks again for your reply, maybe next year I would have same doubts but for now I can't do anything at this point since my file its already sent.
@thanos_lord IRS does not begin accepting returns till Feb 12th but since you have already filed, the return may be held awaiting IRS acceptance. Just to note that if the aggragate amount of all the foreign accounts is more than US$10,000 then you would need to file the FBAR form -- this is not handled as part of your return. You have to go online to www.FinCen.gov and look for form 114 and fill this out on line -- just info about the accounts and balance on 12/31/2020. There is NO tax implication of this filing but non-reporting can be penalized and that penalty is pretty high. So please go and fill out that form 114 -- you may have to do it each year -- this must be filed by 04/15/2021 i.e. by the return filing day.
Stay safe
@pk , hi champ, thanks again for your reply, maybe no one has done this before from my fellow friends but just to be safe I just submitted the FBAR so hope I'm all set now. I forward looking to get insights next time I run into this puzzle things.
Cheers !