FBAR penalties have been in the legal news over the past several years. In 2023, the U.S. Supreme Court in Bittner v. U.S. ruled whether non-willful FBAR penalties are applied on a per account or a per report basis (it’s per report).
Recently, FBAR penalties came up again in March 2025 in the case of U.S. v. Leeds (D. Idaho Mar. 7, 2025). In that case, the Personal Representative of a decedent’s estate argued that FBAR penalties did not survive death, so the estate was not obligated to pay. The court ruled, however, that FBAR penalties do indeed survive death.
Of course there are other aspects of FBAR penalties that will appear in future litigation (Eighth Amendment concerns, innocent spouse relief, etc.).
Don’t forget about FBAR.
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