an_ordinary_guy_158[at]hotmail.com (Bill) wrote:
- quote -

If the highest balance at anytime during the year in ALL
foreign financial accounts amounts to more than $10,000, you
are required to file Form TDF90-22.1 with the Treasury
Department. This requirement can be more comprehensive that
it sounds for at least three reasons.

First, it is the highest balance at any time during the
year, not the year-end balance that matters. One of my
clients had to prepare the report one year because he
transferred money to purchase some land to his foreign bank
account before paying for the land.

Second, the requirement covers financial accounts, not just
bank accounts. So, if you have an account with a foreign
stock broker, the balance in that account must be included.

Third, the requirement applies to any accounts over which
you have "signature authority," even if one or more accounts
are not your own. I once had a client who was the SEAsia
reagional manager for a large company. This company had
bank accounts in many different countries. As regional
manager, my client could sign checks on all these accounts.
One year, his report included 74 different accounts!

Lanny K. Williams, CPA
Nawarat, Williams & Co., Ltd.
Income Tax Services for Expatriate Americans

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >

sharmaa[at]gmail.com (Andy) posted:

- quote -

All interest should be reported on the Interest section
(part 1) of Schedule B, and Yes, it should be shown in US
dollars, with the name of the payer -- even if it is a
foreign bank -- shown in the space provided to the left of
the amount.

- quote -

I know of no "form" needed to be sent to the "Dept of
Treasury" -- other than your Form 1040 and associated
documents, such as Schedule B for Interest and Dividends.
At the bottom of the Schedule B, there are two questions to
be answered either "Yes" or "No" -- both regarding your
possession of Foreign accounts.

From your post, I believe you should check the "Yes" box in
each case. That will fulfill your total reporting
requirements, AFAIK.

Bill

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >

Hi Tax Gurus,

I have foreign accounts with total values less then $10K in
year 2005. One bank provided me with 1099INT and I do not
have 1099INT from second bank.

My questions are:

1. I need to claim that I have foreign account and total
value is less then 10K. In 1040, how do I calculate interest
on second bank and do I add this value along with other
INT1099 information after converting to US$ or need to put
this value some where else? I am confused where to report in
1040.

2. Do I need to send form to Dept. of Treasury even if the
total value of foreign banks is less then 10K?

Any suggestion/help is appreciated.

Thanks,

-A

<< ================================================== ===== > << The foregoing is intended for educational purposes only > << and does NOT constitute legal OR professional advice. > << > << The Charter and the Guidelines for submitting > << messages to this newsgroup are at www.asktax.org. > << Copyright (2006) - All rights reserved. > << ================================================== ===== >