FBAR vs FATCA (Form 8938): Side-by-Side Comparison

How We Evaluated: Our editorial team researched FBAR vs FATCA (Form 8938) using IRS publications, current tax code provisions, and CPA-reviewed analysis. Rankings reflect tax impact, eligibility requirements, and practical applicability by income level. Last updated: March 2026. See our editorial policy for full methodology.

US persons with foreign financial accounts may need to file two separate reports: the FBAR (FinCEN Form 114) and FATCA (Form 8938). These are different filings, submitted to different agencies, with different thresholds, different penalties, and different covered assets. You can owe one, the other, or both.

Data Notice: Filing procedures and form requirements in “FBAR vs FATCA (Form 8938): Side-by-Side Comparison” reflect projected 2026 IRS rules. Deadlines may shift for weekends, holidays, or disaster declarations. Check IRS.gov for the current tax year’s official deadlines and form versions. [fbar-vs-fatca-form-8938]

Confusing these two requirements is one of the most common mistakes in international tax compliance. This guide puts them side by side so you can determine exactly which filings apply to your situation.

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The Master Comparison Table

Feature	FBAR (FinCEN 114)	FATCA (Form 8938)
Governing law	Bank Secrecy Act	Foreign Account Tax Compliance Act
Filed with	FinCEN (Treasury Dept.)	IRS (with your tax return)
Filing method	BSA E-Filing System (online)	Attached to Form 1040
Who must file	US persons	US citizens, resident aliens, certain nonresidents
Threshold (US residents)	$10,000 aggregate (all accounts)	$50,000 end of year / $75,000 at any point (single); $100,000 / $150,000 (MFJ)
Threshold (expats)	$10,000 aggregate (same)	$200,000 end of year / $300,000 at any point (single); $400,000 / $600,000 (MFJ)
Deadline	April 15 (auto extension to Oct 15)	Tax return due date (with extensions)
Extension	Automatic to Oct 15 (no form needed)	Follows tax return extension
Covered assets	Foreign financial accounts only	Foreign financial accounts PLUS other foreign assets
Penalty (non-willful)	Up to ~$10,000 per account per year	Up to ~$10,000 per year
Penalty (continued failure)	N/A	Up to ~$60,000 (additional ~$10,000 per 30-day period after IRS notice)
Penalty (willful)	Greater of ~$100,000 or 50% of account balance	40% accuracy penalty on underpayment related to undisclosed assets
Criminal penalties	Up to $250,000 and/or 5 years	Up to $250,000 and/or 5 years

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Key Differences Explained

Different Agencies, Different Systems

The FBAR goes to FinCEN through the BSA E-Filing System — it is completely separate from your tax return. You could file your FBAR on time and forget Form 8938, or vice versa, and face penalties from only one agency.

Form 8938 is attached to your Form 1040 and submitted to the IRS. If you do not file a tax return, your Form 8938 is also unfiled.

Different Thresholds

This is the most practically important difference. The FBAR threshold is a flat $10,000 aggregate for everyone. The FATCA threshold varies dramatically based on your filing status and whether you live in the US or abroad.

For US residents (single filer):

• FBAR triggers at $10,000 aggregate
• FATCA triggers at $50,000 on the last day of the year or $75,000 at any point during the year

For expats (single filer):

• FBAR still triggers at $10,000 aggregate
• FATCA triggers at $200,000 on the last day of the year or $300,000 at any point during the year

This means an American living in London with $30,000 in a UK bank account must file the FBAR but not Form 8938. An American in New York with $80,000 in a foreign account must file both.

Different Asset Coverage

The FBAR covers only foreign financial accounts — bank accounts, securities accounts, mutual funds, and similar accounts at financial institutions.

Form 8938 covers a broader range of foreign financial assets:

Asset Type	FBAR	FATCA (8938)
Foreign bank accounts	Yes	Yes
Foreign securities accounts	Yes	Yes
Foreign mutual funds	Yes	Yes
Foreign pension/retirement accounts	Yes	Yes
Stock in foreign corporations (not in an account)	No	Yes
Partnership interest in foreign partnership	No	Yes
Foreign-issued life insurance with cash value	Sometimes	Yes
Foreign hedge fund interests	No	Yes
Foreign trust interests	No	Yes
Foreign bond certificates held directly	No	Yes

Form 8938 casts a wider net. If you hold stock certificates of a foreign company in a safe deposit box (not in a brokerage account), Form 8938 requires reporting but the FBAR does not.

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When You Owe Both

Many people with foreign accounts will owe both filings. This happens whenever:

1. Your aggregate foreign account balances exceed $10,000 at any point (FBAR threshold met), AND
2. Your specified foreign financial assets exceed the FATCA threshold for your filing status and residency

Example — US resident, single, with $80,000 in a UK bank account:

• FBAR: Required ($80,000 > $10,000)
• FATCA: Required ($80,000 > $75,000 at any point threshold for US residents)
• Both filings are due

Example — Expat in Germany, single, with $30,000 in a German bank account:

• FBAR: Required ($30,000 > $10,000)
• FATCA: Not required ($30,000 < $200,000 end-of-year threshold for expats)
• Only FBAR is due

The same account may appear on both filings. This is not double-counting — the filings serve different purposes and go to different agencies.

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When You Owe Only One

FBAR Only (Most Common for Expats)

If your foreign account balances exceed $10,000 but fall below the FATCA threshold, you file only the FBAR. This is typical for expats with modest foreign bank balances — the FATCA thresholds for overseas residents are generous ($200,000/$400,000).

FATCA Only (Less Common)

If your specified foreign financial assets include items not held in accounts (foreign stock certificates, foreign partnership interests), these count toward the FATCA threshold but not the FBAR. It is possible, though unusual, to meet the FATCA threshold without meeting the FBAR threshold.

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Penalties Compared

Both carry severe penalties, but the structures differ.

FBAR Penalties

Non-willful FBAR penalties are assessed per account, per year. If you have three unreported accounts for two years, you face up to 6 x ~$10,000 = ~$60,000 in potential non-willful penalties. Willful penalties escalate dramatically — the greater of ~$100,000 or 50% of the balance per account per year.

FATCA Penalties

FATCA penalties start at ~$10,000 per year for failure to file Form 8938. If the IRS sends you a notice and you still do not file, additional penalties of ~$10,000 per 30-day period accrue, up to a maximum of ~$60,000. Additionally, a 40% accuracy penalty applies to any tax underpayment related to the undisclosed foreign financial assets.

Both Can Apply Simultaneously

If you fail to report the same account on both the FBAR and Form 8938, you can face penalties from both regimes. The IRS has stated that the two penalty structures are independent — paying one does not satisfy the other.

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How to Come Into Compliance

If you have missed filing either or both forms in prior years, the IRS Streamlined Filing Compliance Procedures offer a path to catch up:

• File 3 years of amended or delinquent tax returns (with Form 8938 if required)
• File 6 years of delinquent FBARs
• Certify that the failure was non-willful
• Pay reduced penalties: 5% miscellaneous offshore penalty (domestic streamlined) or 0% (foreign streamlined)

Do not simply start filing going forward and ignore prior years. The penalties for past non-filing continue to accumulate, and the IRS has extensive information-sharing agreements with foreign banks through FATCA’s automatic exchange provisions.

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Filing Checklist

Use this checklist to determine your obligations:

1. List all foreign financial accounts — bank, brokerage, mutual fund, pension, insurance with cash value
2. Calculate the aggregate maximum value — add up the highest balance during the year for each account
3. If aggregate exceeds $10,000 → file the FBAR by April 15 (auto-extends to Oct 15)
4. List all specified foreign financial assets — includes accounts from step 1 plus any stock, partnership interests, financial instruments, or contracts with foreign counterparties held outside of accounts
5. Compare total to FATCA threshold for your filing status and residency:
   • US resident single: $50,000 year-end or $75,000 any time
   • US resident MFJ: $100,000 year-end or $150,000 any time
   • Expat single: $200,000 year-end or $300,000 any time
   • Expat MFJ: $400,000 year-end or $600,000 any time
6. If threshold met → file Form 8938 with your tax return

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Frequently Asked Questions

If I file one, do I still need to file the other?

Yes. Filing the FBAR does not satisfy the FATCA requirement, and vice versa. They are independent obligations.

Do US-based accounts holding foreign investments count?

No for either filing. A US brokerage account holding foreign stocks is a domestic account. The account must be maintained by a foreign financial institution to trigger these requirements.

Do I need to report a foreign account I closed during the year?

Yes for the FBAR — if the aggregate threshold was exceeded while the account was open. For FATCA, the account’s maximum value during the year counts even if closed before year-end.

What about jointly held accounts?

Both the FBAR and Form 8938 require each person with a financial interest to report the full value of jointly held accounts. The value is not split proportionally.

Can my tax preparer file the FBAR for me?

Yes, but you must authorize them using FinCEN Form 114a. Form 8938 is automatically filed when your preparer submits your tax return.

Are there any exceptions for nonresident aliens?

Nonresident aliens generally do not file the FBAR (they are not US persons for BSA purposes). Form 8938 applies to nonresidents only if they make the election to file a joint return with a US citizen or resident spouse.

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Key Takeaways

• FBAR and FATCA are separate filings submitted to different agencies (FinCEN vs IRS)
• FBAR has a low threshold ($10,000 aggregate) that applies equally to all US persons
• FATCA thresholds are much higher and vary by filing status and residency (up to $400,000/$600,000 for expat couples)
• FATCA covers a broader range of assets than the FBAR, including non-account holdings
• You may owe both filings for the same accounts — they are not mutually exclusive
• Penalties from both regimes can stack on the same unreported account

Next Steps

• Review the FBAR Filing Guide for step-by-step filing instructions
• Learn about Form 8938 (FATCA) requirements and covered assets
• If you have unfiled reports, explore the Streamlined Filing Compliance program
• See the full list of reporting requirements in Foreign Bank Account Reporting: Complete Guide
• Check Tax Filing Deadlines 2026 for both FBAR and tax return deadlines

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Tax information in this article on fbar vs fatca (form 8938): side-by-side comparison is for educational purposes only and does not constitute tax, legal, or financial advice. Tax laws change, and individual circumstances vary. Consult a qualified tax professional or CPA for guidance specific to your situation.