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International Tax

What is Delinquent FBAR Submission?

An IRS procedure for filing late FBARs when you weren't aware of the requirement and have no unreported income.

Definition

The Delinquent FBAR Submission Procedures allow taxpayers who have not filed required FBARs to submit late filings without penalties, provided they are not under civil examination or criminal investigation, have not already been contacted by the IRS about delinquent FBARs, and the income from foreign accounts was properly reported on their tax returns. This is a simpler alternative to the Streamlined Filing Procedures for those who only missed FBARs (not income reporting).

Who Needs to Know This?

US persons who failed to file FBARs but properly reported all income from their foreign accounts. Common for expats who didn't know about the FBAR requirement.

Key Deadline

No specific deadline - file delinquent FBARs as soon as possible

Potential Penalties

No penalties if requirements are met; include a statement of reasonable cause with each filing

Related Forms

FinCEN Form 114 (FBAR)

Common Mistakes to Avoid

  • 1Using this procedure when there is also unreported income (use Streamlined instead)
  • 2Not including a reasonable cause statement with each delinquent FBAR
  • 3Filing under this procedure while under IRS examination
  • 4Not filing for all delinquent years

Related Terms

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    Delinquent FBAR Submission: File Late Without Penalties | Zenith Financial | Zenith Financial Advisors