Do I need to file the FBAR if I have a bank account abroad?

You may. The FBAR (Report of Foreign Bank and Financial Accounts) is the report through which certain individuals disclose to the U.S. government the bank and financial accounts they hold outside the country. The obligation does not arise from holding an H-1B visa, but from your tax status.

As a general rule, the FBAR is required of anyone considered a US person for tax purposes, a category that includes citizens, permanent residents, and foreign nationals who qualify under the substantial presence test. Many H-1B professionals come to be treated as tax residents and, for that reason, need to pay close attention to this obligation.

Two factors determine whether you must file:

• being considered a taxpayer subject to U.S. tax rules;
• having the combined balance of your foreign accounts exceed the threshold established by the relevant authority at any point during the year.

Because that threshold and the rules on who must file can change over time, do not assume any specific value: confirm the current criteria with the IRS and FinCEN, or with an accountant who specializes in international taxation, to avoid penalties for non-compliance.

About the author

Victoria Harper

Editor-in-Chief

Meet the author

As a journalist and lead editor at Visto n’ Visa, Victoria helps ensure that immigration topics are covered in a clear, trustworthy, and easy-to-understand way. Her focus is on delivering useful, human, and relevant content for people exploring new paths abroad.