Frequently Asked Questions
What Is International CPA Accounting?
International CPA accounting involves preparing financial statements, tax returns, and regulatory reports for individuals and entities operating across multiple countries. It requires knowledge of US GAAP, IFRS and the tax codes of each jurisdiction where the client has entities, accounts, or income sources. LegalKap offers this service for clients with structures in the U.S., Latin America, Europe, and the Middle East.
Do I Need to File an FBAR If I Have Foreign Bank Accounts?
Yes. Every “U.S. Person” — defined under the Bank Secrecy Act as a U.S. citizen, tax resident (including green card holders and those who meet the substantial presence test), or domestic entity (trust, estate, corporation, or partnership) — with a financial interest in or signature authority over foreign financial accounts with an aggregate value exceeding $10,000 at any time during the calendar year must file FinCEN Form 114 (FBAR). Failure to file can result in civil penalties starting at $10,000 per account per year for non-willful violations, and significantly higher in cases of willful non-compliance. LegalKap handles FBAR filings, voluntary disclosure programs, and penalty reduction.
What U.S. Tax Obligations Do Foreign Non-Residents Have?
Foreign non-residents (NRAs) with U.S.-source income — such as rental income, investment gains, partnership distributions, or business activity — must file Form 1040-NR and may owe withholding taxes under IRC Sections 871 and 1441. NRAs are not subject to FBAR, but foreign financial institutions may report their accounts under FATCA (the intergovernmental reporting framework). LegalKap coordinates the preparation of NRA returns, withholding compliance, and treaty benefit claims through our network of licensed partners.
How Does LegalKap Handle Filings Across So Many Jurisdictions?
We coordinate a verified network of IRS-licensed CPAs and local accountants in each jurisdiction. LegalKap acts as your single point of contact — we design the compliance strategy, supervise every filing, and ensure consistency across all your entities. You deal with a single team while our partner network executes on the ground in over 30 countries.
