U.S. Courts Differ on Whether FBAR Penalties Cannot Surpass the $100,000 Ceiling

IMPORTANT: The full content of this page is available to premium users only.

Saturday, August 4, 2018
Author: 
Bruce Zagaris
Volume: 
34
Issue: 
8
Abstract: 

On July 18, 2018, Chief Judge Marcia S. Krieger of the U.S. District Court of Colorado agreed with another U.S. District Court in holding that 31 C.F.R. § 2010.820 imposes a ceiling at $100,000 on the penalty the Internal Revenue Service (IRS) can assess for willful failure to file foreign bank account reports (FBAR). On July 31, 2018, the U.S. Court of Federal Claims reached a contrary decision, which is discussed below.