If you are a U.S. person (citizen, green card holder, or resident) and the combined balance of your Indian bank accounts exceeded $10,000 at any point during the year, you must file an FBAR. This is a separate filing from your tax return and the penalties for not filing are severe.
What is an FBAR?
FBAR stands for Foreign Bank Account Report, officially called FinCEN Form 114. It is filed with the Financial Crimes Enforcement Network (FinCEN), not the IRS. Its purpose is to help the U.S. government track foreign financial assets held by U.S. persons.
Who needs to file?
You must file if you are a U.S. person AND the combined maximum balance of all your foreign financial accounts exceeded $10,000 at any point during the calendar year. Key details:
- “U.S. person” includes citizens, permanent residents (green card holders), and residents for tax purposes
- “Combined” means all foreign accounts added together — not each account individually
- “At any point” means the highest balance during the year, not the year-end balance
- This includes NRE, NRO, FCNR, PPF, and fixed deposit accounts in India
- Joint accounts count: if your name is on a family member's Indian account, it counts toward your $10,000 threshold
What accounts must be reported?
- NRE savings and fixed deposit accounts
- NRO savings and fixed deposit accounts
- FCNR accounts
- PPF accounts (if you still have access)
- Demat accounts holding securities
- Any account where you have signature authority or financial interest
Filing deadline
The FBAR deadline is April 15, with an automatic extension to October 15. You do not need to request the extension — it is automatic. However, it is good practice to file by April 15 alongside your tax return.
How to file
FBAR is filed electronically through the BSA E-Filing System at bsaefiling.fincen.treas.gov. You will need:
- Your personal information (name, SSN, address)
- For each foreign account: bank name, account number, account type, maximum balance during the year, and currency
- The bank's address
The filing is free. You do not need a tax professional to file, though many NRIs include it in their tax preparation.
Penalties for not filing
FBAR penalties are among the most severe in U.S. tax law:
- Non-willful violation: Up to $12,906 per account per year (adjusted annually for inflation)
- Willful violation: Up to $129,210 per account per year, or 50% of the account balance — whichever is greater
- Criminal penalties are possible for willful violations, including fines up to $250,000 and imprisonment
FBAR vs FATCA (Form 8938)
These are two separate requirements that often confuse NRIs:
| FBAR | FATCA (Form 8938) | |
|---|---|---|
| Filed with | FinCEN | IRS (with tax return) |
| Threshold | $10,000 combined | $50,000 single / $100,000 married |
| Deadline | April 15 (auto-ext Oct 15) | With tax return |
| What's reported | Bank accounts only | All foreign financial assets |
If you meet both thresholds, you must file both. They are not interchangeable.
How remittances affect FBAR
When you send money to India, it lands in an Indian bank account. If that deposit pushes the account (or combined accounts) above $10,000, you have an FBAR filing obligation. This is especially relevant for NRIs who send large amounts or accumulate savings in India over time.
See our full NRI compliance checklist → for FBAR, FATCA, gift tax, and India-side obligations.
Key takeaway
If you have Indian bank accounts, you probably need to file an FBAR. The $10,000 combined threshold is low enough that most NRIs who send money home will exceed it. File on time — the penalties are severe and unnecessary to incur.
This is educational content, not tax or legal advice. Consult a qualified tax professional for your specific situation. Penalty amounts are as of 2026 and are adjusted annually for inflation.