971 / How does a taxpayer determine the value of an account for FBAR filing purposes?

For FBAR purposes, the account value is determined using the account’s highest value at any point during the tax year. In other words, the FBAR doesn’t report the total amount of the assets a taxpayer holds in foreign financial accounts at year-end. Instead, it reports the maximum amount that the taxpayer held at any single point during the tax year.

The taxpayer reports the amounts using U.S. dollars regardless of where the assets are located. Foreign currencies must be translated into U.S. dollars using the Treasury Department’s year-end exchange rate.¹ Amounts should be rounded up to the next whole dollar.