How to determine the maximum value of account for FBAR reporting.

1. Let’s say, I have $100 in bank #1. I transferred $50 from bank #1 to bank #2.

To report maximum value for each account, should it be:

bank #1: $100

bank #2: $50, even though the total amount across all account is just $100?

2. Bank in China doesn't report granular info about bank balance, so I manually calculate the account balance but not100% sure the amount is exactly correct. Should I give this “best estimated” number FBAR and FACAT, or it is better to click "unknown"?

3. Digital wallet: in China we have digital wallet such as Alipay and WeChat pay, like Venmo and PayPal. These e-wallet accounts are linked with our bank account. Should we report them as well?

If we report, could you advise how to determine the maximum value given 2 activities in digital wallet:

1) On a specific date, my mom transferred $1k to my Alipay e-wallet and I kept it in my Alipay account, so my wallet had $1k balance.

2) On a specific date, I paid something worthing $2k through Alipay e-wallet.

Should the maximum value for this digital wallet Alipay be $1k or $2k?

Thanks!

309

Expert Alumni

Feb 21, 2023 12:08:05 PM

1. According to your scenario, you would report $100 as the maximum account balance for Bank #!, and $50 for Bank #2.

2. Yes, you should estimate as best you can.

3. Yes, if it is a separate account with a balance that is not included in another account balance, you should list it/them. List the highest balance you had in the account. if an amount was transferred in and out in the same day, I would not include it. I would use balance at the end of the day.

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How to determine the maximum value of account for FBAR reporting.