International Information Reporting

The reporting duties of US persons with foreign accounts, assets, gifts and entities: the FBAR, Form 8938, Forms 3520, 5471 and 8865, treaty disclosure, and the foreign earned income exclusion. The SEE tests thresholds and the difference between the FBAR and Form 8938, which overlap but are separate filings under separate laws.

Specialized Returns for Individuals4 min read7 sections

Must-know for the exam

An FBAR is required when the aggregate of maximum values of foreign financial accounts exceeds $10,000 at any time in the year (31 CFR 1010.350, 1010.306(c)).
The 2025 FBAR is filed electronically with FinCEN, due April 15, 2026 with an automatic extension to October 15 (31 CFR 1010.306(c); Pub. 54 (12-2025)).
Signature authority over a foreign account, without any financial interest, can require an FBAR (31 CFR 1010.350(f)).
Form 8938 for an unmarried filer in the US: over $50,000 at year end or $75,000 at any time; joint filers $100,000 or $150,000 (IRC 6038D; Treas. Reg. 1.6038D-2).
Form 8938 abroad: $200,000 or $300,000 single; $400,000 or $600,000 joint (Treas. Reg. 1.6038D-2(a)(3)-(4); Form 8938 instructions (2025)).
Form 8938 penalty is $10,000, plus $10,000 per 30 days after 90 days from notice, up to $50,000 more (IRC 6038D(d)).
Gifts from a nonresident alien over $100,000 in a year are reported on Form 3520; they are not income (IRC 6039F; Form 3520 instructions (2025)).
The 2025 foreign earned income exclusion is $130,000, prorated by qualifying days (IRC 911(b)(2); Rev. Proc. 2024-40 sec. 3.39).
Physical presence test: 330 full days in a foreign country within any 12 consecutive months, plus a foreign tax home (IRC 911(d)(1); Pub. 54 (12-2025)).
Omitting over $5,000 of income from specified foreign financial assets extends the assessment period to 6 years (IRC 6501(e)(1)(A)(ii)).

On this page · 7 sections

Traps that cost marks

Testing each account separately against $10,000.
Attaching the FBAR to Form 1040 or using the old June 30 date.
Thinking only account owners report foreign accounts.
Using the FBAR threshold for Form 8938.
Applying the U.S.-resident joint thresholds to couples living abroad.
Treating one foreign reporting form as satisfying the other.
Including directly held foreign real estate on Form 8938.
Confusing the Form 8938 penalty with the willful FBAR penalty.

Why it matters on the exam

International reporting carries penalties far larger than the tax involved, so the SEE expects you to spot the filing requirement. Questions give account balances or ownership percentages and ask which form is due, when, and with whom.

A US person for these rules includes citizens, green card holders and others who meet the substantial presence test, plus US entities (31 CFR 1010.350(b)).

FBAR versus Form 8938

Feature	FBAR (FinCEN Form 114)	Form 8938
Law	Bank Secrecy Act	IRC 6038D
Filed with	FinCEN, electronically	Attached to the income tax return
Threshold	Aggregate maximum values over $10,000	$50,000 / $75,000 single in the US; higher for joint and abroad
What counts	Financial interest or signature authority over foreign accounts	Specified foreign financial assets, including foreign stock held directly
Due	April 15, auto-extended to October 15	With the return, including extensions

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Specialized Returns for Individuals