Do I need upgrade to Deluxe if I only need to report FBAR (FinCEN 114) but NOT FATC (Form 8938 )

[yhh]

I am a student and a resident alien in U.S. When I fill out the tax return, I select I have a foreign account. After I follow Turbotax guidance, Turbotax says that

(1) I need to file the FBAR ( FinCEN 114 form) separated from Turbotax.

(2) but I do NOT need to report Form 8938, Statement of Specified Foreign Financial Assets (FATC), since my total assets are lower than the threshold.

When I try to file the tax return in the TurboTax free version, I get the message "To accurately complete your taxes, you need to upgrade to TurboTax Deluxe", "Why do I need to upgrade? You have a financial account in a foreign country." 

Question1: If I don't need Form 8938 but only need FinCEN 114, do I need the upgrade to Deluxe to process the return? (I didn't see any Form 8938 in my Tax Tool section).  The system just stops me to do anything if I don't upgrade.

Question2: Do I still need Form 8938 even though my assets are lower than the threshold?

 Thanks!

[DaveF1006]

No you do not need to upgrade to file a FinCen 114. In fact you can file it online here. Form 8938 is not required if the total foreign-held asset value was $50,000 on the last day of the tax year, or $75,000 at any time during the tax year. If you are married and file jointly with your spouse, the threshold is $100,000 on the last day of the year or $150,000 at any time during the tax year, according to IRS.gov.

If you don't have this filing requirement, you do not need to file a 8938 thus you do not need to upgrade.

[ccfh]

Hi, I'm facing the same problem and still don't understand what to do. Even though I'm below 50.000$ threshold and Turbotax says I don't have to report foreign assets as I'm below threshold, it still is requiring me to upgrade from the free version or it won't let me file because of Schedule B(?).

Should I just go back and when asked if I have any foreign accounts/interests just say no to everything and still submit FBAR independently?

Thank you!

[ErnieS0]

TurboTax will ask you to upgrade if answer yes to Question 7a on Schedule B: “At any time during 2022, you have a financial interest in or signature authority over a financial account (such as a bank account, securities account, or brokerage account) located in a foreign country?”

If are required to say “yes” even if you are not required to file FinCEN Form 114.

@ccfh