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FBAR filing for foreign Home Mortgage

Forum|Forum|6 years ago
June 1, 2019
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I am a non-resident alien and have a home loan in India, with debt more than $10,000.

My tax agent told me that outstanding debt is also accounted for when considering financial assets for FBAR, is that understanding right ?

Does outstanding debt also accounts for FBAR consideration?

Best answer by pk12_2

it is a mortgage i.e. a debt you are responsible for -- it is not a financial asset or account, that can be liquidated or transferred/ sold.

FBAR requires reporting of fiancial accounts ( speciafically bank/ broker accounts etc. ) that you either own or have signatory powers over when the aggragate US$ value equals or exceeds 10K at anytime during the year being reported on. Methinks your tax person has it wrong.

Neither FBAR nor FATCA requires reporting of real-estate assets yet but if you are renting out property in India and you are being treated as a "resident alien" for tax purposes i.e. you are being taxed on world income by the USA, you will need to report that foreign rental income. -- but that us another story.

P

pk12_2Answer

it is a mortgage i.e. a debt you are responsible for -- it is not a financial asset or account, that can be liquidated or transferred/ sold.

FBAR requires reporting of fiancial accounts ( speciafically bank/ broker accounts etc. ) that you either own or have signatory powers over when the aggragate US$ value equals or exceeds 10K at anytime during the year being reported on. Methinks your tax person has it wrong.

Neither FBAR nor FATCA requires reporting of real-estate assets yet but if you are renting out property in India and you are being treated as a "resident alien" for tax purposes i.e. you are being taxed on world income by the USA, you will need to report that foreign rental income. -- but that us another story.