Taxes on Foreign Bank Account

Houston Tax Attorney


My parents (non USA residents) and I (USA resident) opened a foreign bank account for them to use when they decide to purchase a home in the USA. Would they get taxed 30% from the earnings annual yield or 30% from the total amount deposited in the account.?

Possibly. You may owe taxes on interest income and foreign currency exchange gain, as well as have FinCEN 114 (FBAR) and Form 8938 (FATCA) filing requirements. You should seek a tax attorney experienced in foreign investment issues.

– Law Office of Kunal Patel LLC

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