Did you know that you're required to file IRS form TD F 90-22.1 by June 30, 2009. That's the "Report Of Foreign Bank And Financial Accounts". On this form, you have to report all of the foreign bank/securities accounts you held in 2008. This year, the form has been revised from previous years. On the current form, you have to list all sorts of details such as: Maxiumum value of account during calender year reported. You didn't have to report that on the previous forms. The penalty for not reporting your accounts to the IRS? $100,000!!! Of course, our accountants told us that they have not heard of one fine being levied... YET!
I can understand the U.S. government wanting to keep track of Americans with foreign assets. I mean, there are a lot of tax cheats out there. However, do they really think that somebody attempting to avoid paying U.S. taxes by hiding millions of dollars in an offshore account is really going to file this form - OR, even worry about a $100,000 fine??? Instead, I end up filling out the forms, spending $7.00 (twice) on sending them with a proof of mailing from Switzerland because I have to send my forms and Mrs. TBF's forms separately just to make sure that at least one set gets to the IRS (...kind of anal that way!), and all this just so some IRS clerk on the taxpayers' tab can just sit there entering numbers into a datafile that will probably never be used anyway?
What a waste of time and resources!
Isn't it about time the U.S. adopted a better method of taxation???? Anyhoo... Our forms are on there way to the IRS as we speak.
The forms must be postmarked one week from today. You better sharpen those pencils.
** UPDATED ON JUNE 24, 2009: Apparently there are a lot of people finally getting around to filing this form - 7 hits resulting from "TD F 90-22.1" in the last 12 hours.
