FinCEN Form 11

[govindapr]

I have bank accounts, share investments, rental property in INDIA. What is the criteria to decide if I have to file FinCEN Form 11. When is it due?

[Deepp]

Hi @govindapr 

Assuming it is Form 114. If so, you will file:

..."FinCEN Form 114, Report of Foreign Bank and Financial Accounts (FBAR) for each calendar year
during which the aggregate amount(s) in the foreign account(s) exceeded $10,000, valued in United States (U.S.) dollars, at any time during the calendar year. The provision also requires maintenance and retention of FBAR records for a period of five years."

Source

https://www.irs.gov/pub/foia/fincen-form114-fbar.pdf

Normally, due same time as tax filing deadline. 

[govindapr]

Hi Deep, USD 10,000 threshold - what does it include? Does it include:

Bank account balance?

Market value of the rental property?

Market value of the shares held?

[JandKit]

Hi @govindapr,

I do concur with the answer given above. I saw no such form as Fincen Form 11. Since you did mention having foreign accounts, I surmised that the reference was for FBAR. In most years, there is an Apr 15th deadline but as noted, was extended to October 15th.

Goodluck to you in all that you do!

[Deepp · Accepted solution]

"Is It a Financial Account in a Foreign Country?
Financial Accounts:
A reportable financial account includes the following:
* Bank accounts (such as savings accounts, checking accounts, and time deposits); 
* Securities accounts (such as brokerage accounts and securities derivatives or other
financial instruments accounts); 
* Commodity futures or options accounts;
* Insurance or annuity policies with a cash value (such as a whole life insurance policy);
* Mutual funds or similar pooled funds (such as a fund that is available to the general public
with a regular net asset value determination and regular redemptions); or
* Any other accounts maintained in a foreign financial institution or other person engaged in
the business of banking.
The following are not considered financial accounts:

* Stocks, bonds, or similar financial instruments held directly by the person;
* Real estate or an account holding solely real estate (such as Mexican "fideicomiso");
* Precious metals, precious stones, or jewels held directly by the person; or

* A safety deposit box.
− A reportable account may exist where the financial institution providing the safety deposit
box has access to the contents and can dispose of the contents upon instruction from, or
prearrangement with, the person.
CAUTION: The FBAR regulations do not require the reporting of foreign hedge funds
and private equity funds."

* Page 8 of PDF from the link above should resolve your second question. 

* Assuming your rental is not in a foreign financial account, you will not report your rental property on FBAR form. 

* If your stocks are held in an broker account then you will report Max value in the account for the tax year.

* Please remember this would be "...aggregate amount(s) in the foreign account(s) exceeded $10,000..."

 Link. https://www.irs.gov/pub/foia/fincen-form114-fbar.pdf. 

[govindapr]

11 is a typo. I am referring to FinCEN form 114 for FBAR. I read the document emailed by Deep P and find that bank balance in foreign country is included in the USD 10,000 criteria, market value of the rental property in foreign country and market value of the shares held in foreign country are not included in USD 10,000 criteria. This has answered my question. I also understand due date for FBAR is April 15, extension to October 15. Thanks to Deep and JandKit