Instructions For Form 8938 - 2016 (Page 4 of 14) in pdf

Married taxpayers filing separate

value of your interest, use a value of

Determining the Total Value of

income tax returns. If you are married

zero for the interest.

Your Specified Foreign Financial

and file a separate income tax return

Asset with no positive value. If the

Assets

from your spouse, you satisfy the

maximum value of a specified foreign

You must figure the total value of the

reporting threshold only if the total value

financial asset is less than zero, use a

specified foreign financial assets in

of your specified foreign financial assets

value of zero for the asset.

which you have an interest to determine

is more than $50,000 on the last day of

if you satisfy the reporting threshold that

Joint interests. If you jointly own an

the tax year or more than $75,000 at

applies to you. To determine if you have

asset with someone else, the value that

any time during the tax year.

an interest in a specified foreign

you use to determine the total value of

Taxpayers living outside the United

financial asset, see

Interests in

all of your specified foreign financial

States. If your tax home is in a foreign

Specified Foreign Financial

Assets,

assets depends on whether the other

country, you meet one of the presence

later.

owner is your spouse and, if so, whether

abroad tests described next, and no

your spouse is a specified individual

Valuing specified foreign financial

exception applies, file Form 8938 with

and whether you file a joint or separate

assets. The value of a specified

your income tax return if you satisfy the

return.

foreign financial asset for purposes of

reporting threshold discussed next that

determining the total value of specified

applies to you.

Joint ownership with spouse

foreign financial assets in which you

filing joint income tax return. If you

Unmarried taxpayers. If you are

have an interest during the tax year or

and your spouse file a joint income tax

not married, you satisfy the reporting

on the last day of the tax year is the

return and, therefore, would file one

threshold only if the total value of your

asset's fair market value. For purposes

combined Form 8938 for the tax year,

specified foreign financial assets is

of figuring the total value of specified

include the value of the asset jointly

more than $200,000 on the last day of

foreign financial assets, the value of a

owned with your spouse only once to

the tax year or more than $300,000 at

specified foreign financial asset

determine the total value of all of the

any time during the tax year.

denominated in a foreign currency must

specified foreign financial assets you

be first determined in the foreign

and your spouse own.

Married taxpayers filing a joint

currency and then converted to U.S.

income tax return. If you are married

Joint ownership with spouse

dollars. See

Foreign currency

and you and your spouse file a joint

filing separate income tax return. If

conversion

in Reporting Maximum

income tax return, you satisfy the

you and your spouse are specified

Value, later, for rules on determining

reporting threshold only if the total value

individuals and you each file a separate

and applying the appropriate foreign

of your specified foreign financial assets

annual return, include one-half of the

currency exchange rate.

is more than $400,000 on the last day of

value of the asset jointly owned with

the tax year or more than $600,000 at

Value of an interest in a foreign trust

your spouse to determine the total value

any time during the tax year.

during the tax year. If you do not

of all of your specified foreign financial

know or have reason to know based on

assets.

Married taxpayers filing separate

readily accessible information the fair

income tax returns. If you are married

Joint ownership with a spouse

market value of your interest in a foreign

and file a separate income tax return

who is not a specified individual or

trust during the tax year, the value to be

from your spouse, you satisfy the

someone other than a spouse. Each

included in determining the total value of

reporting threshold only if the total value

joint owner includes the entire value of

your specified foreign financial assets

of your specified foreign financial assets

the jointly owned asset to determine the

during the tax year is the maximum

is more than $200,000 on the last day of

total value of all of that joint owner's

value of your interest in the foreign trust.

the tax year or more than $300,000 at

specified foreign financial assets.

See

Valuing interests in foreign trusts

any time during the tax year.

Reporting Maximum Value, later, for

Presence abroad. You satisfy the

Special Rules

rules on determining the maximum

presence abroad test if you are one of

value of an interest in a foreign trust.

Assets reported on another form

the following.

Value of an interest in a foreign es

A U.S. citizen who has been a bona

Specified individual. If you are a

tate, foreign pension plan, and for

fide resident of a foreign country or

specified individual, include the value of

eign deferred compensation plan. If

countries for an uninterrupted period

all specified foreign financial assets,

you do not know or have reason to know

that includes an entire tax year.

even if they are reported on another

based on readily accessible information

A U.S. citizen or resident who is

form listed in Part IV, to determine if you

the fair market value of your interest in a

present in a foreign country or countries

satisfy the reporting threshold that

foreign estate, foreign pension plan, or

at least 330 full days during any period

applies to you. See

Part IV. Excepted

foreign deferred compensation plan

of 12 consecutive months that ends in

Specified Foreign Financial

Assets,

during the tax year, the value to be

the tax year being reported.

later.

included in determining the total value of

your specified foreign financial assets

Specified domestic entity. If you

Reporting Thresholds Applying to

during the tax year is the fair market

are a specified domestic entity, exclude

value, determined as of the last day of

Specified Domestic Entities

the value of any specified foreign

the tax year, of the currency and other

financial asset reported on another form

If you are a specified domestic entity,

property distributed during the tax year

listed in Part IV, to determine if you

you satisfy the reporting threshold only if

to you. If you received no distributions

satisfy the applicable reporting

the total value of your specified foreign

during the tax year and do not know or

threshold.

financial assets is more than $50,000 on

have reason to know based on readily

the last day of the tax year or more than

accessible information the fair market

$75,000 at any time during the tax year.

Instructions for Form 8938 (2016)

Instructions For Form 8938 - 2016 Page 4

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