Detailed rules are here, but we have prescribed the basics for you here as well, below.
If you have an income tax filing responsibility in any year, then you must file the New International Tax Form 8938 and follow its rules: It applies for all US residents having foreign cash, mostly, whether in life insurance, FDs, or savings, etc.. (US citizens, Green card holders, and most importantly, H1B, L1 visa holders who pass the substantial presence test:
Threshhold amounts:
If you are substantially present in the USA, threshholds are as follows:
Single
- Balance of more than $50,000 or more on last day of year;
- Or, more than $75,000 at anytime during year
Filing Joint
- Balance of more than $100,000 or more on last day of year;
- Or, more than $150,000 at anytime during year
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Those US Citizens & GC Holders living abroad, threshholds are as follows:Single
- Balance of more than $200,000 or more on last day of year;
- Or, more than $300,000 at anytime during year
Filing Joint
- Balance of more than $400,000 or more on last day of year;
- Or, more than $600,000 at anytime during year
“Living abroad" means you are a US Citizen/Greencard holder, who meets one of the following:
- You're either a a bona fide resident of a foreign country or countries for an uninterrupted period that includes the entire tax year, or
- You are a US citizen or GC Holder, who during a period of 12 consecutive months ending in the tax year is physically present in a foreign country or countries at least 330 days.
- Instructions or the notice below does not say whether home in India or foreign country is required to be reported.
- If taxpayer has no Income Tax filing responsibility (meaning, he is below exemption amount to file US 1040)..then above thresholds are disregarded, and no 8938 is required.
