FBAR compliance is crucial for U.S. persons and entities with foreign financial accounts exceeding $10,000 at any time during the year. The FBAR, FinCEN Form 114, must be filed annually by April 15 (with an extension to October 15). Non-compliance can result in severe civil and criminal penalties.

Digital nomads and American expatriates with foreign financial accounts must be aware of FATCA's reporting requirements. U.S. taxpayers living abroad, must report foreign financial assets using Form 8938 (Statement of Specified Foreign Financial Assets) if the total value exceeds certain thresholds. Additionally, the FBAR (FinCEN Form 114) must be filed if the aggregate value of a US Taxpayer's foreign accounts exceed $10,000 at any time during the year.