Yes, if you are a nonresident alien. The Social Security Administration withholds 25.5 percent of each payment, which is a flat 30 percent tax on the 85 percent treated as taxable. India is not an exempt treaty country. Citizens and…
FBAR, Form 1040 and Form 8938 are separate federal filings built on one list of foreign accounts. The FBAR goes to FinCEN, not with your return, and no state has its own. The foreign income on your Form 1040 usually…
The IRS removed the Delinquent FBAR Submission Procedures at the end of June 2026, so late FBARs no longer have a published penalty-free path. You can still file late and explain why, or use Streamlined Domestic, which offers penalty protection…
Tax-free in India does not mean tax-free on a US return. A US resident is taxed on PPF interest as it is credited. The EPF and the EPS are contested, with no IRS ruling, so document your position. The FBAR…
If you are a US citizen, green card holder or US tax resident, your NRE and NRO accounts are foreign accounts for US purposes. Report the interest on your Form 1040, file an FBAR when their combined peak balances exceed…
A rental abroad goes on Schedule E like any other rental, with three differences. The building is depreciated over 30 years under the alternative depreciation system, not 27.5. Every figure must be translated into dollars. And the property itself is…
The streamlined filing compliance procedures let a taxpayer whose failure to report foreign accounts was non-willful file three years of returns and six years of FBARs. If you meet the non-residency test the miscellaneous offshore penalty is nothing; if you…
A foreign mutual fund is almost always a PFIC — 75% or more of its gross income is passive, or 50% or more of its assets are. Without a QEF or mark-to-market election, gain is taxed as ordinary income at…
A Roth conversion is taxed at your marginal rate, so the planning move is to convert only up to the top of the bracket you are already in. For 2026 the 12% band ends at $100,800 of taxable income on…
Most people with foreign accounts file both. The FBAR is required when your foreign financial accounts together exceed $10,000 at any point in the year. Form 8938 starts at $50,000 for a single filer living in the United States and…
