Need help regarding foreign bank account in Austria less than $10K

[nwtaxlady]

I have a new client who has lived here in the US for the past 35 yrs. She is from Austria. She has a bank account in Austria that a pension is direct deposited in and it is transfered the same day out of that account. So no more than say equivalant to $1200 USD is in the account at any one given time.

Does she need to file any forms to diaclose that she has that bank account in Austria?
Is she not required to because it never has more than $10,000 USD in the bank account at any one given time?
How is the $1,200 pension received from Austria treated on her 1040 tax return?

Thanks for your help.

[ATSMAN]

FBAR filing is not required if the balance in the foreign account is below the threshold.

The foreign pension will be treated in accordance with any tax treaty with Austria, so you will need to research that at IRS.GOV Tax Treaty.

[JON]

Balance

If account is over $10,000 at any time during the year do you not have to file??

[Maude Lebowski]

Even though it is under the limits for FINCEN reporting, it should still be disclosed in Part III of Schedule B.

[Burke]

I have a new client who has lived here in the US for the past 35 yrs. She is from Austria. She has a bank account in Austria that a pension is direct deposited in and it is transfered the same day out of that account. So no more than say equivalant to $1200 USD is in the account at any one given time.

She is smart to transfer it out (I presume to the US). I have an estate where the deceased taxpayer got a monthly pension and did NOT do that, and there is $37K in it which we are still trying to get paid to the executor 2 years later. They will only correspond in French, requiring translator services on both receiving and transmitting correspondence which the estate has to pay for!!!! And document and affidavit after document, most of which have been completed twice already (and lost, supposedly.)