I am a US
citizen (also a UK citizen) residing and working solely in the US.
I feel very stupid right now as I realized I missed the IRS
of June 30 to declare an overseas account with more than $10000. I did check the box on my federal return
stating that I HAVE an overseas account, as I did in 2012.
Also I have been making transfers from the UK account to my US account this year, with a view to emptying the UK account eventually. Some of these transfers have been over $10K so presumably were reported to the IRS (or US Treasury).
I have about $60000 left in the UK account - last year its max. balance was about $250K. Very little interest
was earned though so there was no overseas "income
" as such. These UK funds came from a gift in late 2011 from a relative who was distributing funds she inherited
, which were already heavily taxed in the UK.
I'm not sure what to do. "Honesty is the best policy" in life, but in this case I don't want to wake up the sleeping giant of the IRS and incur nasty penalties just for being a few days late. Should I file the FBAR form
now, or sit tight and file next year, or do something else?