US and DR banks officially begin today to share info on US citizens bank accounts

[Dr_Taylor]

IMO, the key phrase there is "reportable accounts". We're careful to keep our DR account under 10K. We do still report that we have the account [on our tax return]. If it goes over 10K, we have to report the interest as income, along with the account #, Bank info, etc., PITA

I do the same. I never, never approach the reporting threshold.

 

[william webster]

One of my asset managers will not accept any American account -
Either US citizens or any US tax payer.

The reporting requirements are too onerous

Not a small fry either - global company

 

[SKY]

US citizens cannot even open an account in most banks in Europe. Has been that way for some time.

 

[cavok]

Years ago when sovereign government bonds were paying 16%, I had enough money down here between them and my bank accounts that they were reportable. No big deal really. The FBAR is pretty simple to fill out - name of instution(s), address, account number(s), and maximum balance during the year.

All interest earned outside is required to be reported regardless of whether or not the account is "reportable". The amount of interest DR banks are paying on both peso and USD accounts is so little if you have less than $10K that it's really not worth worrying about, but I declare it anyway. You never know if it might trigger an audit(especially now with FATCA), and that woud be a real headache.

 

[Ricardo900]

That's why slick tax cheats do their transactions and hiding of funds via LLCs & Corps. Opening business checking accounts through an EIN.

 

[Big]

An LLC is a legitimate tool, totally legal. Just like bankruptcy these laws, rules and codes were designed by the government.