This is why working with a Turkish accountant Los Angeles who understands both systems is not just advisable—it’s essential.
Why Turkish Expats Are Especially at Risk
In Turkey, it’s normal to maintain multiple accounts across Ziraat Bankası, İş Bankası, or Garanti BBVA—for family support, property management, or business operations. But in the U.S., these are considered foreign financial assets that must be disclosed annually. Many Turkish residents assume that because they didn’t earn interest or transfer funds to the U.S., they don’t need to report these accounts. This is a dangerous misconception.
The key trigger is aggregate balance: if the combined peak value of all your foreign accounts exceeds $10,000—even for one day—you must file FBAR. And unlike income tax, this requirement applies regardless of visa status, green card holding, or residency duration.
Understanding the Difference Between FBAR and FATCA
While often mentioned together, FBAR and FATCA serve different purposes and are filed with different agencies:
- FBAR is submitted to the Financial Crimes Enforcement Network (FinCEN) and focuses solely on account ownership and maximum balances.
- FATCA (Form 8938) is part of your federal Form 1040 and reports broader foreign assets, including stocks, bonds, and interests in foreign entities.
Both require precise details: institution names, account numbers, and peak balances. Inconsistencies between them—or with your tax return—can trigger audits or penalties.
How to Resolve Past Non-Compliance
If you’ve missed FBAR filings in prior years, the IRS offers the Streamlined Filing Compliance Procedures—a voluntary disclosure program that allows you to catch up without facing penalties, provided your failure was non-willful. A Turkish CPA USA can guide you through this process, helping you reconstruct historical balances, prepare accurate forms, and submit everything through proper channels.
Arc & Ledger offers a free initial consultation to assess your exposure, followed by transparent pricing and secure communication via their client portal, ensuring your sensitive financial data remains protected.
Final Thoughts
FBAR and FATCA compliance isn’t optional—it’s a legal obligation with severe consequences for neglect. With a Turkish accountant Los Angeles who speaks your language and understands your financial reality, you can meet these requirements accurately, confidently, and without fear.
