Help needed filling Form 8938 - combination of domestic and foreign interest income

Forum|Forum|2 years ago
March 20, 2024
1 reply
0 views

I have a few foreign bank accounts that pay interest. The foreign banks/institutions do not send me a 1099-INT so I create one for each bank manually in TurboTax. There's a total of 4 1099-INTs that I have manually create d. In each of them, I fill the interest income and the foreign tax paid. In addition, I have 7 1099-INT forms that I import automatically from my domestic/US banks & financial institutions. My problem is as follows:

In Form 8938, Part III, Box 13a, I have to state the amount of interest income from foreign financial assets as well as the Form/Schedule & line number where it is reported. The part I'm confused about is:

a. whether I should add the sum of the interest from all 4 foreign financial assets and state that amount in Box 13a - Column c

b. whether I should state "Schedule B, Line 4" for column e in Form 8938, Part III Box 13a. Schedule B, Line 4 states the sum of all interest income that I received which is a combination of foreign interest income and domestic interest income, so it will technically not be the same as the sum of all foreign interest income. Is that OK?

Best answer by SusanY1

Yes, you can add the sum for your interest in all of your foreign accounts for Box 13a - Column C.

Also, Schedule B, Line 4 is also correct. While it doesn't contain only your foreign interest, you are telling the IRS that you reported this as taxable interest with this reference. It sounds like you did a great job figuring this form out!