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Foreign Pension Plan FBAR – IRS Foreign Pension Plan FBAR

Foreign Pension Plan FBAR - Foreign Pension | FBAR Reporting IRS - Golding & Golding, A PLC

Foreign Pension Plan FBAR – Foreign Pension | FBAR Reporting IRS – Golding & Golding, A PLC

Foreign Pension Plan FBAR – IRS Foreign Pension Plan FBAR

FBAR Pension: One of the most common questions we receive from our clients with retirements overseas involves IRS compliance. Specificially, whether the IRS requires overseas Pension reporting — and if it needs to be reported on the FBAR, FATCA, Schedule B, along with other international informational reporting forms.

The short answer is, yes.

Foreign Pension Plan FBAR

Reporting Foreign Pension Plans on a U.S. Tax Return, FBAR and FATCA Form 8938 can be tough, because Foreign Pension Plans come in all different flavors, such as:

  • Provident Fund
  • Superannuation
  • Employer-Based Retirement
  • Private Retirement
  • Foreign Social Security

When it comes to reporting foreign Pension Plans, there are 4 main issues:

  1. Should the Pension Plan be reported on an FBAR?
  2. Should the Pension Plan be reported on a Form 8938 FATCA Form?
  3. Should the Pension Plan be reported as a PFIC (Form 8938)?
  4. Should the income be reported as income, and if so, on Schedule B and/or, Line 16 or Line 21 on the 1040

Foreign Pension FBAR

In short, a foreign pension is an account. Therefore, the account must be reported. This is true, even if the account was opened and earned prior to becoming a U.S. Person. It is also important to note that even if no distributions are being made, it still must be reported on the FBAR.

Foreign Pension FATCA (Form 8938)

The same general rules apply to FATCA Form 8938, and the foreign pension is generally reportable on the IRS 1040 Form 8938.

Schedule B

Even if you do not meet the threshold requirements for filing FBAR or FATCA, the foreign pension is still considered an “Account” for purposes of Schedule B.

Golding & Golding, A PLC

We have successfully represented clients in more than 1000 streamlined and voluntary disclosure submissions nationwide, and in over 70-different countries.

We are the “go-to” firm for other Attorneys, CPAs, Enrolled Agents, Accountants, and Financial Professionals across the globe.

International Tax Lawyers - Golding & Golding, A PLC

International Tax Lawyers - Golding & Golding, A PLC

Golding & Golding: Our international tax lawyers practice exclusively in the area of IRS Offshore & Voluntary Disclosure. We represent clients in 70+ different countries. Managing Partner Sean M. Golding is a Board-Certified Tax Law Specialist Attorney (a designation earned by < 1% of attorneys nationwide.). He leads a full-service offshore disclosure & tax law firm. Sean and his team have represented thousands of clients nationwide & worldwide in all aspects of IRS offshore & voluntary disclosure and compliance during his 20-year career as an Attorney.

Sean holds a Master's in Tax Law from one of the top Tax LL.M. programs in the country at the University of Denver. He has also earned the prestigious IRS Enrolled Agent credential. Mr. Golding's articles have been referenced in such publications as the Washington Post, Forbes, Nolo, and various Law Journals nationwide.
International Tax Lawyers - Golding & Golding, A PLC

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