Comparison
FBAR vs Form 8938: What Is the Difference?
FBAR and Form 8938 are separate reporting systems. FBAR tests qualifying foreign financial accounts against an aggregate maximum value over $10,000. Form 8938 uses separate specified-foreign-financial-asset rules and reporting thresholds: whether an item is a specified foreign financial asset depends on the asset and how it is held, while the applicable reporting threshold depends principally on filing status, whether the taxpayer qualifies as living abroad under the Form 8938 instructions, and the relevant values during and at the end of the tax year. You may need one, both, or neither — confirm the current instructions before filing.
FBAR (FinCEN Form 114)
Filed with FinCEN
FBAR is filed electronically with the Financial Crimes Enforcement Network (FinCEN), not the IRS. It is an anti-money-laundering report under the Bank Secrecy Act, not a tax form.
$10,000 aggregate test
A U.S. person generally must file when the aggregate maximum value of the reportable foreign financial accounts exceeds $10,000 at any time during the calendar year. It is a combined-account test — not a per-account test and not a Form 8938 threshold. Account definition, ownership or authority, and exceptions still control the result.
Reportable foreign financial accounts
FBAR concerns financial accounts maintained by a foreign financial institution — commonly bank accounts, securities accounts, and certain other accounts. Whether a particular arrangement is a reportable account depends on the account definition and applicable exceptions, not the local label.
Signature authority counts
You may need to file for accounts over which you have signature or other authority, even if you do not own the assets (for example, certain business or trust accounts). The applicable authority definitions and exceptions still apply.
Form 8938 (FATCA)
Filed with your tax return
Form 8938 is an IRS information return attached to the federal income-tax return when Section 6038D and the applicable instructions require it.
Separate reporting rules and thresholds
Form 8938 uses separate specified-foreign-financial-asset rules and reporting thresholds. Whether an item is a specified foreign financial asset depends on the asset and how it is held; the applicable reporting threshold depends principally on filing status, whether the taxpayer qualifies as living abroad under the Form 8938 instructions, and the relevant values during and at the end of the tax year. Commonly cited abroad figures include $200,000/$300,000 (single) and $400,000/$600,000 (married filing jointly), but they are not universal — confirm the current instructions for your situation and year.
Broader asset coverage
Form 8938 covers specified foreign financial assets — not only foreign financial accounts but also certain foreign stock, partnership interests, trusts, pensions, and financial instruments held through foreign entities.
Ownership-based, not authority-based
Form 8938 generally covers assets in which you have an ownership or beneficial interest. Signature or other authority alone does not trigger Form 8938 the way it can for the FBAR.
Key Differences
| Aspect | FBAR (FinCEN Form 114) | Form 8938 (FATCA) |
|---|---|---|
| Filing authority | FinCEN (Treasury) — BSA E-Filing System | IRS — attached to the income-tax return |
| Filing test | Aggregate maximum value of reportable foreign financial accounts over $10,000 at any time | Specified foreign financial assets over the applicable reporting threshold. Whether an item is a specified foreign financial asset depends on the asset and how it is held; the threshold depends principally on filing status, living-abroad qualification, and the relevant values during and at the end of the tax year |
| What to report | Reportable foreign financial accounts | Specified foreign financial assets (accounts + certain investments + certain entity interests) |
| Signature authority | Must be considered (authority can trigger filing) | Generally not reportable by authority alone |
| Filing deadline | April 15 (automatic extension to Oct 15) | With the income-tax return (including the applicable extension) |
| Penalty (non-willful) | Civil penalty framework under 31 U.S.C. §5321. Application and inflation-adjusted amounts depend on the violation period, assessment context, and current law. For non-willful violations, Bittner v. United States addressed the unit of violation under the statutory framework then before the Court. | Separate penalty framework under IRC §6038D and related rules; review the filing year, facts, current instructions, and any continuing-failure or accuracy-related provisions. |
| Penalty (willful) | Separate willful civil-penalty framework under 31 U.S.C. §5321. Do not determine willfulness or present a fixed current penalty amount without checking the applicable law and inflation-adjusted guidance for the assessment period. | Separate penalty framework under IRC §6038D and related rules; review the filing year, facts, current instructions, and any continuing-failure or accuracy-related provisions. |
When to Choose FBAR
You may need to file the FBAR if you are a U.S. person with a financial interest in, or signature or other authority over, reportable foreign financial accounts whose aggregate maximum value exceeded $10,000 at any time during the calendar year. Apply the account definition, ownership and authority rules, exceptions, and current instructions to your accounts.
When to Choose Form 8938
You may need Form 8938 if you are a specified person required to file an income-tax return and the value of your specified foreign financial assets exceeds the applicable reporting threshold. Specified persons can include specified individuals and certain specified domestic entities under the applicable rules. Because the tests and asset definitions differ from the FBAR, an asset can be relevant to one, both, or neither.
Frequently Asked Questions
Do I need to file both FBAR and Form 8938?
Not automatically. FBAR and Form 8938 are separate systems with different tests. FBAR tests reportable foreign financial accounts against an aggregate maximum value over $10,000. Form 8938 uses separate specified-foreign-financial-asset rules and reporting thresholds: whether an item is a specified foreign financial asset depends on the asset and how it is held, while the applicable reporting threshold depends principally on filing status, whether the taxpayer qualifies as living abroad under the Form 8938 instructions, and the relevant values during and at the end of the tax year. You may need one, both, or neither — confirm the applicable current instructions for the year at issue.
Can the same account be reported on both forms?
Yes. The same foreign account can appear on both the FBAR and Form 8938 when both tests are met. The forms ask for different information: the FBAR wants account numbers, institution details, and maximum balances; Form 8938 wants asset categories, values, income generated, and how the asset is held. One form does not replace the other.
What happens if I file one but not the other?
They are separate filings with separate authorities. Filing one does not satisfy the other, and a required-but-missing filing is assessed under its own framework. Review the current instructions and the facts before choosing what to file.
Does my foreign pension go on FBAR or Form 8938?
It depends. A foreign pension or retirement arrangement can be a reportable foreign financial account for FBAR purposes depending on the legal arrangement and account structure, and it can be a specified foreign financial asset for Form 8938 depending on the pension type and exceptions. Do not classify a retirement benefit from its local label alone.
Official sources
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Registry-backed country pages that apply this comparison's reporting questions to a specific residence.