I R S Wants Your Money From Foreign Assets!

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Art2ro
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Department of the TreasuryInternal Revenue ServiceForm 8938 (Nov 2011) Statement Of Specified Foreign Financial Assets The IRS wants some more of your money from assets anyone has in a foreign country! :( :thumbsup:http://www.irs.gov/p...s-pdf/i8938.pdf

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Mr Lee
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Department of the TreasuryInternal Revenue ServiceForm 8938 (Nov 2011) Statement Of Specified Foreign Financial AssetsThe IRS wants some more of your money from assets anyone has in a foreign country! :why-me: :mocking:http://www.irs.gov/p...s-pdf/i8938.pdf
As tax filing time approaches (all forms are supposed to be in our hands before Feb), unfortunately there is still not a current updated circular on this and the last thing I got from Turbo Tax was that the finalization was not complete but that by assets, they seem to mean over $100,000 of assets in a foreign country. I am still trying to figure out if by assets they also mean a house or condo (normally I think those would be assets :thumbsup: ) and how are we supposed to figure the current value because any of us who own a home or condo should know that selling them for what they are supposedly worth is often not reality. We already report bank accounts, so this would seem an attempt at them taxing the future sale or disposition of whatever type of assets it is that they wish us to report. I think I posted about this somewhere a while back :( but I am still waiting for the update. What I do know is that we are supposed to use THIS SITE to get the December 31st rate of exchange and it is yet to be posted, or I believe we can use a known site to get the exchange rate we use but we will have to put in where we got the rate we used since it has to be reported in dollars and my guess is that if we do not use their site and there is a large discrepancy, then we might find ourselves audited or trying to explain why we did not use their site for that rate.Once again the US govt reaching into our pockets. Edited by Mr. Lee
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Art2ro
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The form 8938 mentioned some thing about assets from estates, which I think it meaning real estate!Anyone who owns property in the Philippines and pays the annual property tax at their perspective City Hall, you will see the fair market value on the reserve side of the "Tax Declaration" receipt after paying your property taxes!

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Mike S
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Hope you guys don't mind me hijacking a little portion of your thread here but If you do I'll be glad to start my ownThis (2011) will be the last year that I will need to ..... according to the IRS website ...... to file income tax ..... I will not be receiving any more income other than my SS .... and as everyone knows that for two people it is way under the amount requiring you to pay the IRS ......My question is will I be subject to being red flagged because I don't file a return (even though the IRS says you don't) and will the IRS notify the SS that I am most likely dead as I filed no return and the SS will stop my payments ....... stupid yea ..... but do you have any idea what it takes to get your SS started again once you have been declared dead ...... it takes months if not years and they are not libel to pay you ANY back pay ..... you just lost that ..... well as far as receiving it that isI tried filing with H&R Block on-line 2 years ago when I had no income to report and they wouldn't e-file my form telling me I had no income to report and as I wouldn't be paying in or receiving any refund I could not use the e-file ..... they said I didn't need to file but if I wanted to file anyway send it in by mail ....Thanks for letting me jump in here but it is about the IRS

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Art2ro
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Mike S,Here's an article what you are saying for those with low income.http://www.huffingto...e_n_886293.html 46 Percent of Americans Exempt From Federal Income Tax in 2011

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Mike S
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Thank you sir ..... interesting article to say the least ...... so I guess now after working and paying in for 50 some years I'm now a "lucky duckies" ...... :hystery: :hystery: .... ohhhhhhh ..... I feel so ashamed ....... :hystery:

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United Army
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Department of the TreasuryInternal Revenue ServiceForm 8938 (Nov 2011) Statement Of Specified Foreign Financial AssetsThe IRS wants some more of your money from assets anyone has in a foreign country! :( :hystery:http://www.irs.gov/p...s-pdf/i8938.pdf
As tax filing time approaches (all forms are supposed to be in our hands before Feb), unfortunately there is still not a current updated circular on this and the last thing I got from Turbo Tax was that the finalization was not complete but that by assets, they seem to mean over $100,000 of assets in a foreign country. I am still trying to figure out if by assets they also mean a house or condo (normally I think those would be assets :hystery: ) and how are we supposed to figure the current value because any of us who own a home or condo should know that selling them for what they are supposedly worth is often not reality. We already report bank accounts, so this would seem an attempt at them taxing the future sale or disposition of whatever type of assets it is that they wish us to report. I think I posted about this somewhere a while back :hystery: but I am still waiting for the update. What I do know is that we are supposed to use THIS SITE to get the December 31st rate of exchange and it is yet to be posted, or I believe we can use a known site to get the exchange rate we use but we will have to put in where we got the rate we used since it has to be reported in dollars and my guess is that if we do not use their site and there is a large discrepancy, then we might find ourselves audited or trying to explain why we did not use their site for that rate.Once again the US govt reaching into our pockets.
The rates are posted go and click on "get present rates" on Mr Lee tab.
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Mr Lee
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The rates are posted go and click on "get present rates" on Mr Lee tab.
Those are present rates such as possibly today, but as I read it, not the rates for Dec 31st. Maybe I am wrong. :hystery: I got the closing rate for Dec 31st off two sites, one said 43.37 and Yahoo said 43.79 and the news had a different number, so who do we believe. I will wait until next month and then check the link again and hope they have the Dec 31st rate on it. Because my property/condos are not worth $100,000 and the report of assets I believe has to be filed by April 17, unlike the report of foreign bank accounts which I believe has to be filed by June 30th, I do not remember which, I will wait for all documents and possibly file an extension until I have them.Edit to add. IRS site says it is not up to date and will update it. http://www.irs.gov/businesses/small/article/0,,id=210244,00.html#FR14 Edited by Mr. Lee
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Art2ro
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The form 8938 mentioned some thing about assets from estates, which I think it meaning real estate!Anyone who owns property in the Philippines and pays the annual property tax at their perspective City Hall, you will see the fair market value on the reserve side of the "Tax Declaration" receipt after paying your property taxes!
A little correction, the market value of one's property is not on the reserve side of your "Tax Declaration" receipt, but on an attach sheet called "Statement of Account"! The figures doesn't make any sense as to how they computed the market value, but it's there! It's no where near the selling price that's on the deed of sale or purchase agreement!
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Mr Lee
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The form 8938 mentioned some thing about assets from estates, which I think it meaning real estate!Anyone who owns property in the Philippines and pays the annual property tax at their perspective City Hall, you will see the fair market value on the reserve side of the "Tax Declaration" receipt after paying your property taxes!
A little correction, the market value of one's property is not on the reserve side of your "Tax Declaration" receipt, but on an attach sheet called "Statement of Account"! The figures doesn't make any sense as to how they computed the market value, but it's there! It's no where near the selling price that's on the deed of sale or purchase agreement!
Art is it higher or lower? The reason I ask is because neither my wife or I ever remember seeing a value on our Philippine tax bill for our condos. Whatever the case with taxes is, I guess we might know more in the next few weeks and I for one would like to know what it is before we head back to the Philippines, so I can get my taxes and necessary papers in on time.
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