Thanks. Your input is much appreciated.
I am persuaded of the need to disclose the Goldmoney account to the IRS.
I found in this quote of the pertinent CFR section that the definition of "reportable accounts" does not include the term "bailee,"
[excerpted from:] Reports of Foreign Financial Accounts
[Federal Register: February 24, 2011 (Volume 76, Number 37)]
[Rules and Regulations]
[Page 10234-10246]
From the Federal Register Online via GPO Access [wais.access.gpo.gov]
[DOCID:fr24fe11-11]
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DEPARTMENT OF THE TREASURY
Financial Crimes Enforcement Network
31 CFR Part 1010
RIN 1506-AB08
Amendment to the Bank Secrecy Act Regulations--Reports of Foreign
Financial Accounts
AGENCY: Financial Crimes Enforcement Network (FinCEN), Treasury.
ACTION: Final rule.]
(c) Types of reportable accounts. For
purposes of this section—
(1) Bank account. The term ‘‘bank
account’’ means a savings deposit,
demand deposit, checking, or any other
account maintained with a person
engaged in the business of banking.
(2) Securities account. The term
‘‘securities account’’ means an account
with a person engaged in the business
of buying, selling, holding or trading
stock or other securities.
(3) Other financial account. The term
‘‘other financial account’’ means—
(i) An account with a person that is
in the business of accepting deposits as
a financial agency;
(ii) An account that is an insurance or
annuity policy with a cash value;
(iii) An account with a person that
acts as a broker or dealer for futures or
options transactions in any commodity
on or subject to the rules of a
commodity exchange or association; or
(iv) An account with—
(A) Mutual fund or similar pooled
fund. A mutual fund or similar pooled
fund which issues shares available to
the general public that have a regular
net asset value determination and
regular redemptions; or
(B) Other investment fund. [Reserved]
(4) Exceptions for certain accounts.
edocket.access.gpo.gov
As reported here, it does so state: "Under 31 U.S.C. 5314 the Secretary ‘‘shall require a resident or citizen of the United States or a person in, and doing business in, the United States, to keep records and file reports, when the resident, citizen, or person makes a transaction or maintains a relation for any person with a foreign financial agency.´´
For this purpose, foreign financial agency means ‘‘a person acting for a person as a financial institution, bailee, depository trustee, or agent, or acting in a similar way related to money, credit, securities, gold, or a transaction in money, credit, securities, or gold.´´
mountainvision.com]
However, the IRS position as quoted here is quite clear:
Q. Is an FBAR required for accounts maintained with financial institutions located in a foreign country if the accounts hold noncash assets, such as gold?
A. Yes. An account with a financial institution that is located in a foreign country is a financial account for FBAR purposes whether the account holds cash or non-monetary assets.
irs.gov |
