Replies to post #89336 on Eagle Worldwide Inc.(fka ELWD)

[fltrader]

Midas , as most people are civic minded, declaring foreign assets is no big problem, because they aren't taxed until they become income. Foreign income and foreign assets are far apart from each other. For the IRS to try and tax those assets or investments held in another country would be double taxation on US citizens. When trying to repatriate assets then you would have to show the cost of those assets and would be taxed at prevailing tax rates on any income produced by those assets. Example: I convert 10K shares into 1 PDR. My cost of the 10K shares was say $20.00 and converting to one PDR made it worth $121.00. This is still an investment and will not get taxed until sold and funds brought home. All should consult their tax advisors.

[Distracted Scientist]

Interesting... I was actually going to provide you with the form and then explain it to you.

http://www.irs.gov/pub/irs-pdf/f90221.pdf

"Notice in the first section it states aggregate value. Meaning even if your deposits are not cash but in PDR form you still must file this form if the assets are greater than $10,000."

What it actually says is: "No report is required if the aggregate value of the accounts did not exceed $10,000." And, this is only for "each United States person, who has a financial interest in or signature authority, or other authority over any financial accounts, including bank, securities, or other types of financial accounts in a foreign country."

For this purpose, Financial Interest is defined as:

A financial interest in a bank, securities, or other financial account in a foreign country means an interest described in either of the following two paragraphs:

(1) A United States person has a financial interest in each account for which such person is the owner of record or has legal title, whether the account is maintained for his or her own benefit or for the benefit of others including non-United States persons. If an account is maintained in the name of two persons jointly, or if several persons each own a partial interest in an account, each of those United States persons has a financial interest in that account.

(2) A United States person has a financial interest in each bank, securities, or other financial account in a foreign country for which the owner of record or holder of legal title is: (a) a person acting as an agent, nominee, attorney, or in some other capacity on behalf of the U.S. person; (b) a corporation in which the United States person owns directly or indirectly more than 50 percent of the total value of shares of stock; (c) a partnership in which the United States person owns an interest in more than 50 percent of the profits (distributive share of income); or (d) a trust in which the United States person either has a present beneficial interest in more than 50 percent of the assets or from which such person receives more than 50 percent of the current income.

And, Signature Authority is defined as:

A person has signature authority over an account if such person can control the disposition of money or other property in it by delivery of a document containing his or her signature (or his or her signature and that of one or more other persons) to the bank or other person with whom the account is maintained.

Other authority exists in a person who can exercise comparable power over an account by direct communication to the bank or other person with whom the account is maintained, either orally or by some other means.


So, by their very definitions, no one has Financial Interest in or Signature Authority over the Foundation account. Thus, no form.

However, you should always consult your own tax attorney.

[Distracted Scientist]

I guess that you must not have noticed, but the thread that I responded to was your post regarding the form, which you claim was deleted.