IRS Defers Proposed Regulation RMD Requirements by at Least One Year, Provides Temporary Rollover Relief to those Born in 1951

Advance version of Notice 2023-54 [PDF 141 KB] providing transition relief for plan administrators, payors, plan participants, individual retirement account and annuity (IRA) owners, and beneficiaries in connection with the change in the required beginning date for required minimum distributions (RMDs) under section 401(a)(9) pursuant to section 107 under Division T of the Consolidated Appropriations Act, 2023, titled “SECURE 2.0 Act of 2022” (SECURE 2.0 Act).

Notice 2023-54 also:

  • Provides guidance related to certain specified RMDs for 2023
  • Announces that the final regulations that the U.S. Treasury Department and the IRS intend to issue related to RMDs will apply for purposes of determining RMDs for calendar years beginning no earlier than 2024


Section 107 of the SECURE 2.0 Act amended section 401(a)(9)(C) to delay the required beginning date applicable to section 401(a) plans and other eligible retirement plans described in section 402(c)(8), including IRAs.

  • For an IRA owner who attains age 72 after December 31, 2022, and age 73 before January 1, 2033, the new required beginning date (that is, the date by which RMDs must begin) is April 1 of the calendar year following the calendar year in which the individual attains age 73, rather than April 1 of the calendar year following the calendar year in which the individual attains age 72.
  • This amendment to section 401(a)(9)(C) is effective for distributions required to be made after December 31, 2022, with respect to individuals who will attain age 72 after that date.
  • As a result of this amendment, IRA owners who will attain age 72 in 2023 (that is, individuals born in 1951) will have a required beginning date of April 1, 2025, rather than April 1, 2024. This delay in the required beginning date means that these IRA owners (who, prior to enactment of the SECURE 2.0 Act, would have been required to take minimum distributions from their IRAs for 2023) will have no RMD due from their IRAs for 2023.

Ohio biennial budget bill enacted after Gov. DeWine issues 44 line-item vetoes review from AICPA

Ohio biennial budget bill enacted after Gov. DeWine issues 44 line-item vetoes

Written on Jul 14, 2023

By Greg Saul, Esq., CAE, OSCPA tax director  

On June 30, the Ohio House by a bipartisan vote of 67-30 and the Ohio Senate on a party-line vote of 25-6 adopted their agreed-upon conference committee changes to House Bill 33, Ohio’s biennial budget legislation for fiscal years 2024-2025. Gov. DeWine then signed H.B. 33 into law early in the morning on the 4th of July after issuing 44 line-item vetoes.

To address Ohio’s broader workforce challenges, significant funding was included to support workforce education and training, affordable housing to address shortages, income-based childcare support, greater broadband support, economic development resources to create shovel-ready sites, and more.

Numerous tax changes outlined below of note to Ohio CPAs have now been enacted, including:

Personal Income Tax (TAXCD68): Phases in a two-year income tax reduction taking Ohio from four brackets to just two – the marginal rates will be 2.75% for incomes over $26,050 and 3.5% for incomes over $100,000. Ohioans making $26,050 or less would pay no income taxes.

Commercial Activity Tax (TAXCD81): Exempts from CAT all taxable gross receipts of $3 million or less (for tax periods beginning in 2024), and then exempts taxable gross receipts of $6 million or less (for tax periods beginning in 2025). Amounts above that will remain at the existing 0.26% rate. This is the first major change to the CAT since its 2005 inception.

The new exemption applies to all businesses and is a substantial increase to the current exemption for taxable gross receipts ($150,000 or less), which has remained unchanged for the past 18 years. After the two-year phase-in, nearly 90% of all Ohio-based businesses will no longer pay CAT (roughly 145,000 of the current 163,000 CAT payers). Businesses with taxable gross receipts exceeding the exemption amount will pay the current CAT rate of 0.26% only on the excess.

Included in the vetoes (see Item Number 39) was one impacting the CAT as the Governor struck the inflationary adjustment to those thresholds and he also vetoed the provision enabling businesses with over $150,000 but less than $6 million in annual gross receipts to avoid filing annual zero-dollar returns. This means that while a wide majority of taxpayers will not owe CAT, those taxpayers having more than $150K of gross receipts must still file quarterly tax returns.

OSCPA is awaiting guidance from the Ohio Department of Taxation to see if they offer any administrative relief from that requirement. OSCPA also will be discussing this zero-dollar filing requirement with legislators who voted to adopt the provision to further explore filing relief for taxpayers who will not owe any tax.

Other OSCPA tax policy priorities that were passed in the final bill include:

Resident Tax Credit for SALT Cap Deduction from Other States (TAXCD92): Permits Ohioans who are currently subject to double taxation to get back to a status quo position. Senate Bill 246 (134th GA) authorized pass-through entity (PTE) owners to “elect” to file a new form IT 4738 and be subject to a new entity-level tax in response to the federal $10,000 SALT deduction cap limit placed on individuals, but Ohio was one of the only states that authorized a PTE tax (see the map of states), but did not allow a credit for taxes paid to another state. This change authorizes an Ohioan to use our resident credit (in existence since at least 1991) for PTE taxes paid to other states while requiring an add-back of taxes deducted from that individual’s federal adjusted gross income. These provisions are effective for taxable years ending on or after Jan. 1, 2023, but taxpayers are allowed to apply, at their option, the provisions to taxable years ending on or after Jan. 1, 2022, with an amended or original return.

Municipal Notices and Late Filing Fees (TAXCD61 and 62): Limits late fees and penalties that may be imposed on a taxpayer for failing to timely file municipal income tax returns by (1) limiting the late filing penalty to $25 vs. the current $150 cap; (2) requiring any late filing penalty assessed on a taxpayer’s first late filing to be refunded or abated once the taxpayer files the overdue return; and (3) extending the due date for filing municipal net profits tax returns from Oct. 15 to Nov. 15. These new laws apply to taxable years ending on or after January 1, 2023.

Minors Exempt from Owing Municipal Income Tax (TAXCD58): Exempts the income from individuals under the age of 18 from Ohio municipal income tax, for taxable years beginning on or after January 1, 2024.

Municipal Net Profits Tax Safe Harbor (TAXCD84): Effective for tax years ending after 2023, allows businesses with remote/hybrid employees or owners to elect to use a modified apportionment formula to limit compliance costs when an employee or owner works at a remote work location. The business may elect to apportion any property, payroll, or sales (gross receipts) attributable to that employee or owner to a designated location owned or controlled either by the business or one of its customers. This optional change allows situsing the municipal net profits tax to the remote/hybrid worker’s reporting location at the employer’s place of business. This only applies to the net profits tax and does not impact the withholding tax.

More details on these tax provisions can be found here – references above to TAXCD## are to the comparison document.

IRS—Unusual Delivery Service Mailing Scam

IRS—Unusual Delivery Service Mailing Scam: The IRS and the Security Summit warned taxpayers to be on the lookout for a new scam mailing that tries to mislead people into believing they are owed a refund. The new scheme involves a mailing that comes in a cardboard envelope from a delivery service. The enclosed letter includes the IRS masthead and wording that the notice is “in relation to your unclaimed refund.” The letter includes contact information and a phone number that do not belong to the IRS. It also seeks a variety of sensitive personal information from taxpayers, including pictures of driver’s licenses, that can be used by identity thieves to try to obtain a tax refund and other sensitive financial information. The poorly written letter asks for filing information from a taxpayer’s tax return and asks for their cellphone number, bank routing information, Social Security number, and bank account type. News Release IR 2023-123.

Installing solar panels or making other home improvements may qualify taxpayers for home energy credits

Homeowners who make improvements like replacing old doors and windows, installing solar panels or upgrading a hot water heater may qualify for home energy tax credits. They should know what these credits can do for them – and be careful of exaggerated claims companies trying to get their business may make.

There are two tax credits to help defray costs for homeowners making energy efficient improvements to their primary or secondary residence. In some cases, renters may also be able to claim specific costs. Landlords can’t use these credits for improvements made to any homes they rent out.

Energy Efficient Home Improvement CreditTaxpayers can claim the Energy Efficient Home Improvement Credit only for improvements, additions or renovations to an existing home. It doesn’t apply to newly constructed homes. Qualifying costs may include:

  • Exterior doors, windows, skylights and insulation materials.
  • Central air conditioners, water heaters, furnaces, boilers and heat pumps.
  • Biomass stoves and boilers.
  • Home energy audits.

The amount of the credit taxpayers can take is a percentage of the total improvement expenses in the year of installation:

  • 2022: 30%, up to a lifetime maximum of $500.
  • 2023 through 2032: 30%, up to a maximum of $1,200 annually. Biomass stoves and boilers have a separate annual credit limit of $2,000 annually with no lifetime limit.

Residential Clean Energy CreditTaxpayers can also claim the Residential Clean Energy Credit for qualifying costs for either an existing home or a newly constructed home. Qualifying costs may include:

  • Solar, wind and geothermal power generation equipment.
  • Solar water heaters.
  • Fuel cells.
  • Battery storage.

The amount of the credit taxpayers can take is a percentage of the total improvement expenses in the year of installation:

  • 2022 to 2032: 30%, no annual maximum or lifetime limit.
  • 2033: 26%, no annual maximum or lifetime limit.
  • 2034: 22%, no annual maximum or lifetime limit.

To claim these credits, taxpayers should file Form 5695, Residential Energy Credits, with their tax return.

Inflation-adjusted Health Savings Account (HSA) Figures for 2024

Inflation-adjusted Health Savings Account (HSA) Figures for 2024: HSAs allow eligible individuals to make deductible contributions that can be withdrawn tax free for reimbursement of eligible medical expenses. For 2024, the limitation on HSA deductions is $4,150 (up from $3,850 for 2023) for an individual with self-only coverage under a High Deductible Health Plan (HDHP) or $8,300 (up from $7,750 for 2023) for family coverage. An HDHP is defined under IRC Sec. 223(c) as a health plan with an annual deductible not less than $1,600 (up from $1,500 for 2023) for self-only coverage or $3,200 (up from $3,000 for 2023) for family coverage, with annual out-of-pocket expenses (deductibles, copayments, and other amounts, but not premiums) not exceeding $8,050 (up from $7,500 for 2023) for self-only coverage or $16,100 (up from $15,000 for 2023) for family coverage. Rev. Proc. 2023-23 .

IRS Extends Lookback Period for Covid-19 Era Refund Claims

The IRS has modified the lookback period for refund claims on returns with due dates that were postponed due to Covid-19 in Notice 2021-21 or Notice 2020-23. (Notice 2023-21, 2023-11 IRB)

Disaster relief creates a problem. In response to the Covid-19 pandemic, the IRS used its disaster relief authority to postpone certain return filing due dates for tax years 2019 and 2020. See IRS extends more tax deadlines to cover individuals, trusts, estates, corporations (04/10/2020) and IRS extends additional tax deadlines for individuals to May 17 (03/30/2021).

However, when postponing these due dates, the IRS failed to extend the lookback period for refunds claimed on returns filed after April 15. Generally, a taxpayer’s claim for refund must be filed by the later of three years from the date the taxpayer filed the return to which the claim relates or two years from the date the tax to which the claim relates was paid. This is referred to as the “lookback rule.” A taxpayer can only get a refund of amounts paid within the lookback period.

Since the IRS didn’t extend the lookback period some taxpayer payments, including estimated and withheld taxes deemed paid on April 15, fell outside the lookback period for taxpayers who didn’t file by April 15. This meant that taxpayers who filed a timely refund claim could not be refunded those payments.

This problem was identified early on by the National Taxpayer Advocate (NTA). The NTA noted that both Notice 2020 -23 and Notice 2021-21 only postpone the deadline for filing returns, they did not extend the time for filing for purposes of the lookback rule. So, taxpayers would normally only have until April 18, 2023, to receive a refund of taxes withheld on wages for 2019, which is less than three years from the date they filed their return if they took advantage of the postponement for filing their return.

Similarly, if a taxpayer filed a 2020 return on May 17, 2021, pursuant to Notice 2021-21, the taxpayer could file a timely claim for refund by May 17, 2024, but if they did so, they would not get a refund of the withholding deemed paid on April 15, 2021, as the withholding would be outside the look-back period. See NTA warns about refund claim trap for 2019 and 2020 returns filed after April 15 (05/26/2021).

Fixing the problem. The IRS has now fixed this problem by issuing new guidance. This new guidance, found in Notice 2023-21, disregards the periods from April 15, 2020, to July 15, 2020 (for 2019 returns), and from April 15, 2021, to May 17, 2021 (for 2020 returns), when determining the beginning of the lookback period. Now both lookback periods align with the postponed return filing due dates for those years.

Taxpayers can now upload more documents to IRS; new online option for 9 notices can help resolve issues faster

WASHINGTON — The Internal Revenue Service announced today that taxpayers who receive certain notices requiring them to send information to the IRS now have the option of submitting their documentation online through

This new secure step will allow taxpayers or their tax professional to electronically upload documents rather than mailing them in, helping reduce time and effort resolving tax issues.

In this stage of the ongoing effort, nine notices will be available for this feature. This potentially can help more than 500,000 taxpayers each year who receive these notices, which include military personnel serving in combat zone areas and recipients of important credits like the Earned Income Tax Credit and Child Tax Credit.

“This capability is another step forward by the IRS to help taxpayers and improve service,” said IRS Acting Commissioner Doug O’Donnell. “This provides immediate benefits to taxpayers, who have nearly instant confirmation that documents were received by the IRS. In turn, this will dramatically speed up the resolution of issues by removing a time-consuming step in the process. This means people can have their issues resolved much faster, including getting refunds to affected taxpayers faster. We will continue to look at improvements like this as we work to transform the IRS following passage of the Inflation Reduction Act last year.”

Initially, the online correspondence feature will be available to taxpayers who receive one of nine IRS notices. For the most part, the IRS sends these notices to individual tax filers claiming various tax benefits, such as the Earned Income Tax Credit for low- and moderate-income workers, the Child Tax Credit for families with dependents, the Premium Tax Credit for those who obtain health coverage through the Health Insurance Marketplace and members of the military claiming combat zone tax benefits.

Taxpayers receiving these notices can respond securely to IRS online, regardless of whether they have an IRS Online Account.

IRS created the Document Upload Tool

IRS information technology specialists developed a prototype for the Document Upload Tool in 2021. Since then, the IRS has been testing this feature on a limited number of exam-related notices, and 38% of the responses to these notices have used the agency’s secure electronic communications rather than traditional mail.

How it works

Language on the notice informs the taxpayer to, “Send us your documents using the Documentation Upload Tool within 30 days from the date of this notice.” It includes the link and a unique access code.

  • The taxpayer can open the link in any browser and then input their unique code, their first and last name and their Social Security, Individual Taxpayer Identification or Employee Identification number.
  • The taxpayer can then securely upload scans, photos or digital copies of documents (maximum of 15MB per file, up to 40 files).
  • The taxpayer receives a confirmation that the IRS received their documents, and the IRS employee assigned the case can manage the transmitted documents.

What notices qualify?

Taxpayers who receive one of the following notices with the link and access code can choose to upload their documents:

  • CP04, relating to combat zone status.
  • CP05A, information request related to a refund.
  • CP06 and CP06A, relating to the Premium Tax Credit.
  • CP08, relating to the Child Tax Credit.
  • CP09, relating to claiming the Earned Income Tax Credit.
  • CP75, relating to the EITC.
  • CP75a, relating to the EITC.
  • CP75d, relating to the EITC and other credits.

Future expansion planned

In the coming months and years, the IRS plans to expand this capability to dozens of other notices. In addition, the IRS will offer digital correspondence on a variety of other taxpayer interactions. During live interactions such as phone calls with taxpayers, IRS employees will be able to grant upload access by providing the link and unique access code.

With secure digital correspondence, everybody wins

For taxpayers and tax professionals working with the IRS, this new capability reduces the correspondence burden, ensures tax compliance and improves the customer experience. For IRS employees, this reduces paper correspondence, decreases processing time and speeds case resolution.

For more information, see the Fact Sheet 2023-05, IRS expands secure digital correspondence for taxpayers.

Make your Ohio income tax payments electronically!

The Department has an easy, secure, and free option for you to make payments using the “Guest Payment” feature on our website.

If you are:

  • An individual who pays their Ohio income tax payments by paper check, OR
  • A tax preparer who generates payment vouchers/coupons for your clients to attach to their paper check to pay their IT 1040 or SD 100 return payments, or their Ohio income or school district income tax estimated payments

Then make your SECURED payment using our EASY and FREE service by:

  • Visiting the Department’s “Guest Payment” feature on our website at:
  • Following the prompts to enter your specific information (name, SSN, bank routing and account number, payment type, etc.)

Benefits of the “Guest Payment” feature:

  • Safely, and securely pay your Ohio tax
  • Instant confirmation your payment has been received by the Department
  • Never miss an estimated payment with prescheduled payments
  • Eliminate the need to search for the correct payment voucher/coupon
  • Save money on postage required to mail a paper check
  • It’s as easy as 1, 2, free!

Notice 2023-23: Financial institution reporting for 2023 RMDs

Executive summary: Notice 2023-23

Notice 2023-23 provides guidance to financial institutions on reporting required minimum distributions (RMDs) for 2023 based on SECURE 2.0 changes.

Notice 2023-23: Financial institution reporting for 2023 RMDs

Notice 2023-23

On March 7, 2023, the IRS released notice 2023-23 providing guidance to financial institutions on reporting RMDs for 2023.

SECURE 2.0 amended section 401(a)(9)(C) to delay the required beginning date applicable to section 401(a) plans and other eligible retirement plans under section 402(c)(8), including individual retirement accounts and annuities (IRAs).

The required beginning date (date by which RMDs must begin) for an IRA owner who turns age 72 after Dec. 31, 2022and age 73 before Jan. 1, 2033 is April 1 of the calendar year following the year in which the individual turns 73. Prior to SECURE 2.0 an IRA owner would need to begin RMDs by April 1 of the calendar year following the year in which they turn 72.

The amendment under SECURE 2.0 is effective for distributions required to be made after Dec. 31, 2022 for individuals who will turn 72 after that date. Individuals who turn 72 in 2023 (anyone born in 1951) will have a required beginning date of April 1, 2025 rather than April 1, 2024. Therefore, these individuals will have no RMD due for the 2023 tax year.

IRA Reporting

For IRA owners who have a RMD due in 2023 the financial institution acting as the trustee, custodian or issuer must file a 2022 Form 5498 by May 31, 2023 and check Box 11 that a RMD is required for 2023. The financial institution may also provide further information in Box 12a (RMD date) and Box 12b (RMD amount). Under notice 2002-27, 2002-1 CB 814, the financial institution must furnish a statement to the IRA owner by Jan. 31, 2023 that informs the IRA owner of the date by which the RMD must be distributed and either provides the amount of the RMD or offers to calculate that amount on request (RMD statement).

For IRA owner who will turn 72 in 2023 the financial institution should not send the RMD statement required under Notice 2002-27 and the 2022 Form 5498 should not have Box 11 checked or any entries in Box 12a or 12b. This notice does provide relief for financial institutions who may have already sent out RMD statements to those individuals who will turn 72 in 2023. As long as the financial institution notifies the IRA owner that no RMD is actually required for 2023 by April 28, 2023, the IRS will not consider the RMD statement to have been provided incorrectly to the IRA owner.

SECURE 2.0 did not change the required beginning date for IRA owners who turned 72 in 2022. The IRS encourages all financial institutions to remind IRA owners who turned 72 in 2022 that they are still required to take their RMDs by April 1, 2023.


Tax Time Guide: IRS reminder to report all income; gig economy and service industry, digital or foreign assets and sources

WASHINGTON — The Internal Revenue Service reminds taxpayers of their reporting and potential tax obligations on income from the gig economy and service industry, transactions from digital assets, and foreign sources or holding certain foreign assets.

Information available on and Instructions for Form 1040 and Form 1040-SR can help taxpayers understand and meet these reporting and tax requirements.

Gig economy earnings are taxable

Generally, income earned from the gig economy is taxable and must be reported to the IRS on tax returns.

The gig economy is activity where people earn income providing on-demand work, services or goods, such as selling goods online, driving a car for deliveries or renting out property. Often, it’s through a digital platform like an app or website.

Taxpayers must report income earned from the gig economy on a tax return, even if the income is:

  • From part-time, temporary or side work.
  • Paid in any form, including cash, property, goods or digital assets
  • Not reported on an information return form like a Form 1099-K, 1099-MISC, W-2 or other income statement.

For more information on the gig economy, visit the gig economy tax center.

Service industry tips are also taxable

People who work in restaurants, salons, hotels and similar service industries often receive tips for the customer service they provide. Tips are usually taxable income, and it’s important for people working in these areas to understand details on how to report tips.

Tips are optional cash or noncash payments customers make to employees.

  • Cash tips include those received directly from customers, electronically paid tips distributed to the employee by their employer and tips received from other employees under any tip-sharing arrangement. All cash tips must be reported to the employer, who must include them on the employee’s Form W-2, Wage and Tax Statement.
  • Noncash tips are those of value received in any other medium than cash, such as: tickets, passes or other goods or commodities a customer gives the employee. Noncash tips aren’t reported to the employer but must be reported on a tax return.

Employees don’t have to report tip amounts of less than $20 per month per employer. For larger amounts, employees must report tips to the employer by the 10th of the month following the month the tips were received.

The employee can use Form 4070, Employee’s Report of Tips to Employer, available in Publication 1244, Employee’s Daily Record of Tips and Report to Employer, an employer-provided form or other electronic system used by their employer.

For more information on how to report tips see Tip Recordkeeping and Reporting.

Understand digital asset reporting and tax requirements

The IRS reminds taxpayers that there’s a question at the top of Forms 1040 and 1040-SR that asks about digital asset transactions. All taxpayers filing these forms must check the box indicating either “yes” or “no.”

If an individual disposed of any digital asset that was held as a capital asset through a sale, exchange or transfer, they should check “Yes” and use Form 8949, Sales and other Dispositions of Capital Assets, to figure their capital gain or loss and report it on Schedule D (Form 1040), Capital Gains and Losses, or Form 709, United States Gift (and Generation-Skipping Transfer) Tax Return, in the case of a gift.

Examples of transactions involving digital assets include:

  • A sale of digital assets.
  • The receipt of digital assets as payment for goods or services provided.
  • The receipt or transfer of digital assets for free (without providing any consideration) that does not qualify as a bona fide gift.
  • The receipt of new digital assets as a result of mining and staking activities.
  • The receipt of new digital assets as a result of a hard fork.
  • An exchange of digital assets for property, goods or services.
  • An exchange/trade of digital assets for another digital asset(s).
  • Any other disposition of a financial interest in digital assets.

If individuals received any digital assets as compensation for services or disposed of any digital assets they held for sale to customers in a trade or business, they must report the income as they would report other income of the same type (for example, W-2 wages on Form 1040 or 1040-SR, line 1a, or inventory or services on Schedule C).

More information on digital assets can be found in the Instructions for Form 1040 and 1040-SR and on the IRS’ Digital Assets page.

Report foreign source income

A U.S. citizen or resident alien’s worldwide income is generally subject to U.S. income tax, regardless of where they live. They’re also subject to the same income tax filing requirements that apply to U.S. citizens or resident aliens living in the United States.

U.S. citizens and resident aliens must report unearned income, such as interest, dividends and pensions from sources outside the United States unless exempt by law or a tax treaty. They must also report earned income, such as wages and tips, from sources outside the United States.

An income tax filing requirement generally applies even if a taxpayer qualifies for tax benefits, such as the Foreign Earned Income Exclusion or the Foreign Tax Credit, which substantially reduce or eliminate U.S. tax liability. These tax benefits are available only if an eligible taxpayer files a U.S. income tax return.

A taxpayer is allowed an automatic two-month extension to June 15 if both their tax home and abode are outside the United States and Puerto Rico. Even if allowed an extension, a taxpayer will have to pay interest on any tax not paid by the regular due date of April 18, 2023.

Those serving in the military outside the U.S. and Puerto Rico on the regular due date of their tax return also qualify for the extension to June 15. IRS recommends attaching a statement if one of these two situations applies. More information can be found in the Instructions for Form 1040 and Form 1040-SR, Publication 54, Tax Guide for U.S. Citizens and Resident Aliens Abroad and Publication 519, U.S. Tax Guide for Aliens.

Reporting required for foreign accounts and assets

Federal law requires U.S. citizens and resident aliens to report their worldwide income, including income from foreign trusts and foreign bank and other financial accounts. In most cases, affected taxpayers need to complete and attach Schedule B (Form 1040), Interest and Ordinary Dividends, to their tax return. Part III of Schedule B asks about the existence of foreign accounts such as bank and securities accounts and usually requires U.S. citizens to report the country in which each account is located.

In addition, certain taxpayers may also have to complete and attach to their return Form 8938, Statement of Foreign Financial Assets. Generally, U.S. citizens, resident aliens and certain nonresident aliens must report specified foreign financial assets on this form if the aggregate value of those assets exceeds certain thresholds. See the instructions for this form for details.

Further, separate from reporting specified foreign financial assets on their tax return, U.S. persons with an interest in or signature or other authority over foreign financial accounts where the aggregate value exceeded $10,000 at any time during 2022 must file electronically with the Treasury Department a Financial Crimes Enforcement Network (FinCEN) Form 114, Report of Foreign Bank and Financial Accounts (FBAR). Because of this threshold, the IRS encourages U.S. persons with foreign assets, even relatively small ones, to check if this filing requirement applies to them. The form is available only through the BSA E-filing System website.

The deadline for filing the annual Report of Foreign Bank and Financial Accounts (FBAR) is April 15, 2023. FinCEN grants U.S. persons who miss the original deadline an automatic extension until Oct. 15, 2023, to file the FBAR. There is no need to request this extension. See FinCEN’sPDF website for further information.

This news release is part of a series called the Tax Time Guide, a resource to help taxpayers file an accurate tax return. Additional guidance is available in Publication 17, Your Federal Income Tax (For Individuals).