Discussion:Notice 2009-62
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| Revision as of 17:34, 18 August 2009 Smktax (Talk | contribs) (Note that there) ← Previous diff |
Revision as of 18:48, 18 August 2009 JAD (Talk | contribs) (Smktax, thank yo) Next diff → |
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| {{ForumReplyPost|UserID=Smktax|Date=18 August 2009|Text=Note that there is a difference between a U.S. mutual fund (that may or may not invest in foreign stocks) and a foreign mutual fund. Most U.S. investors buy U.S. mutual funds and not foreign mutual funds.}} | {{ForumReplyPost|UserID=Smktax|Date=18 August 2009|Text=Note that there is a difference between a U.S. mutual fund (that may or may not invest in foreign stocks) and a foreign mutual fund. Most U.S. investors buy U.S. mutual funds and not foreign mutual funds.}} | ||
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| + | {{ForumReplyPost|UserID=JAD|Date=18 August 2009|Text=Smktax, thank you for commenting. I see now that distinction in both your and Riley's comments. Do you mean that this is only applicable to funds traded on foreign exchanges? What makes you sure of that? The reference to commingled accounts and the inclusion of mutual funds in that category concerns me. Your interpretation is the type of clarification that would make all of the difference. | ||
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Revision as of 18:48, 18 August 2009
Discussion Forum Index --> Basic Tax Questions --> Notice 2009-62
Discussion Forum Index --> Tax Questions --> Notice 2009-62
| 17 August 2009 | |
| This notice applies in part to FBAR reporting for a person with an interest in foreign commingled funds. On page 2 of the notice, they refer to where the FBAR instructions say that foreign accounts include accounts where the assets are held in commingled accounts. The notice refers to a commingled account being where an individual holds an equity interest in a fund - including mutual funds.
Am I understanding that if an individual invests $10,001 in a mutual fund that invests in foreign stocks, that person is subject to this reporting requirement and the IRS wants all of the prior years' disclosures (back to the beginning of time?) filed by 6/30/2010? The only good news seems to be that these investments are considered a commingled fund and therefore eligible for the extension to 6/30/2010 provided by this notice. I hope that I am misunderstanding this notice and that this filing is not required for investing in mutual funds. If I am reading it correctly, it will ensnare almost all of my clients. I can only hope that public comment will cause the IRS to change its position. Thank you for any comments. | |
| 18 August 2009 | |
| JAD, I think your analysis is partially correct. Investors in foreign mutual funds or foreign hedge funds must now file the FBAR report. | |
| 18 August 2009 | |
| Note that there is a difference between a U.S. mutual fund (that may or may not invest in foreign stocks) and a foreign mutual fund. Most U.S. investors buy U.S. mutual funds and not foreign mutual funds. | |
| 18 August 2009 | |
| Smktax, thank you for commenting. I see now that distinction in both your and Riley's comments. Do you mean that this is only applicable to funds traded on foreign exchanges? What makes you sure of that? The reference to commingled accounts and the inclusion of mutual funds in that category concerns me. Your interpretation is the type of clarification that would make all of the difference. | |
