Foreign ETFs Taxation and Reporting

[Le_nene]

I am about to open my first foreign investment account abroad. I will be investing in ETFs; and I believe I will not be receiving any interests or dividends, rather I keep investing/saving a  monthly amount and I only get my profits when I liquidate the asset (however many years in the future that might happen).

The questions are:

1. I do not expect to have any income from this investment in the coming years, but I expect that nevertheless this investment should be reported? Where would I report it (and is there any threshold for such reporting)?

2. Do I fall under the category of PFIC? Everybody advises against falling under this category; what should I do to avoid this? And would I report PFIC (if it applies to me) only at the time in the future when I liquidate the assets or in each and every year until then?

3. Is it better for tax purposes to invest in US-based ETFs as opposed to foreign ETFs?

Thank you.

[tagteam]

You need to speak with a financial advisor, but the program will take care of most of the required reporting.

I'll page Champ @pk for input.