We Prepare Tax Returns!

We prepare most type of tax returns:

Individual. 

S Corporation.

C Corporation.

Partnership.

Payroll.

Amended.

Gary Bode, CPA is a Master's Degreed, nation wide accountant offering tax and business services. Member of AICPA and NCACPA. Our virtual office provides excellent service to long distance and international clients. Call (910) 399-2705 for a free phone consult.

Client Video Testimonials

Click here to watch some of our clients in their video testimonials!

Client Testimonials

I became totally and permanently disabled after a working for 44 years. I returned to college late in life (while working full-time) to fulfill my dream of becoming an RN and at that time found it necessary to secure student loans. Three years after being declared totally and permanently disabled my student loans were discharged. In January 2013 we received a 1099-C form declaring said student loans that were discharged however that amount could be considered as income for 2012. This was a large amount of money and we live on two pensions and social security income.

I started looking on the internet for information regarding 1099-C and felt that this was something that we could not handle alone. I made phone calls locally to a very reputable tax group in a city near us and they said it would cost $500 for an appointment and that they really prefer to do corporate taxes and they referred me to a local person who had worked for them at one time, we called and explained the situation and an appointment was made and then the comment was made that "I will have to do some research on this" and flags immediately went up and we called back and cancelled that appointment. I had been researching the IRSwebsite and every place else I could think of and I was not comfortable doing our own taxes this year. We called another local tax preparer that we had used in the past and made an appointment, however prior to the appointment, while still seeking information regarding our situation,

I came across a website for Gary l. Bode, MSA, CPA, PC in Wilmington, NC. I called Mr. Bodeand explained our situation and asked if he could help. He spoke very knowledgeably regarding the situation and stated that yes; he felt he could help us. As Mr. Bode was in North Carolina and we were in New York I scanned all of our documents including back-up documents for all of our claims and forwarded all to him. Mr. Bode kept in touch with us via email; we have spoken on the telephone several times and have become very comfortable with his knowledge and professionalism. Also, as I am a true "worrier" I have continued looking into information regarding our tax situation and I came upon another web page for Mr. Bode that included testimonials which spoke of his experience with this type of tax situation as it became prevalent during the recession. This reinforced in our minds that we had made the right decision in hiring this person as our tax preparer.

I share all of this as our taxes are now ready to be filed (we do owe tax for 2012 but not the astronomical figure we thought we were facing), and we are confident that they have been prepared with the utmost care by a gentleman who has an excellent working knowledge of the situation we faced and the tax laws that were applicable to said situation.

 

Bill and Carol

Free Consult

Even though Gary enjoys helping colleagues, we no longer provide free consults to other tax preparers. He's happy to consult on an hourly billing basis if our schedule allows.

Pay Your CPA

Enter $ Below
Other Amount:
Your Email Address:

Form 8938 CPA discusses Reporting Requirements | Expat Taxes | Foreign Assets

Form 8938 CPA discusses expat tax issues

Gary Bode, CPA: Form 8938 reports your foreign assets to the IRS. For a free phone consult, please call (910) 399-2705.

The IRS demands to know about your foreign assets. But Form 8938, Statement of Specified Foreign Financial Assets, isn’t strictly for expats. I expect to see it used extensively with our domestic clients too. If you’re required to file Form 8938, just attach it to your annual tax return.

The Foreign Account Tax Compliance Act, or FATCA, was originally promoted as the US coercing foreign banks to release account information on American customers to the IRS. Form 8938 is, in fact, a self disclosing FATCA form. Showing perhaps that FATCA pressure on foreign banks isn’t working.

Why is the IRS so interested in Foreign Assets?

  • Lots of taxable foreign income goes un-reported to the IRS.
  • Foreign income is more common in a global economy.
  • The success of the IRS’s multiple OVDIs (Offshore Voluntary Disclosure Initiatives) implies there are billions of potential taxes hiding in foreign business transactions.

What kinds of Foreign Assets are reported on Form 8938?

Almost everything. The most common is foreign stock. But the IRS has covered most of the bases here. Be careful of schemes that purport not to qualify. A true foreign bank account is still reported on FBAR.

The Biggest Problems Form 8938 CPAs expect to see?

  • Non compliance penalties are stiff. The IRS has gotten serious about expat tax issues; like the $10,000 non filing penalty for Form 5471 for example. So the following three points make Form 8938 CPAs nervous.
  • Folks, whose foreign assets incur no tax liability, may not realize they must file Form 8938. If you are required to file, you must file even if it incurs no additional tax.
  • New tax forms evolve. Form 8938 CPAs expect to see changes in the form itself and the underlying rules, especially in the first few years.
  • Folks being completely unaware of this new reporting requirement.

So, what are the filing requirements for Form 8938?

  • First, you don’t have to file it if you aren’t required to file a true tax return like 1040 or 1120-S.
  • Your foreign assets have to meet a monetary threshold, below which you aren’t required to file.
  • The threshold depends on your filing status e.g. Married, Single, and whether you lived outside the US.
  • The threshold is two-pronged and depends on the foreign asset value on the last day of the tax year and its highest value during the tax year.

We’re an expat CPA firm with a virtual office to accommodate long distance and international clients. Of course, we can handle all your domestic tax work too. We prepare:

  • Form 8938
  • Form 5471
  • Form 2555
  • Form 1116
  • FBAR
  • OVDI

Please read any of the hundreds of postings on this website to gauge our ability and attitude. For a free phone consult, please call (910) 399-2705.

 

Leave a Reply

You can use these HTML tags

<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>