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  • #16
    What finally you did

    Originally posted by pratikpv View Post
    one more query. I left the indian employer in mid of Dec 2011. And after the long process to withdraw the money of PF, i actually got the money in 2012. I was on US when I got the PF money. Same for gratuity, I got the money from the same employer. ( left that job in Dec 2011 and got the money in 2012 when I was in US). So is this considered as income of 2011 ( as i left that job in 2011) or income of 2012 ( as i actually got the money on 2012)

    Please reply as soon as possible, i have less time to file it now.
    It will be of great help if you can share how you have handled all these complications

    Comment


    • #17
      Employee Provident fund from India

      Hi
      I moved to US from India 15 years ago and I am now citizen of USA. I have never withdrawn my provident fund, and I do not know exact balance as it stands now. I understand we have to declare Foreign Financial accounts if the value at any point of time in a year is greater than $150,00 or $100,000 at the end of the year using the form 8938. Does EPF falls in to financial accounts or other financial accounts category? So far I have not shown PF amount or interest accumulated in USA tax returns. Do I need to figure out the interest accumulated every year, and show it as income and pay taxes in USA?

      Thanks
      IndUSA

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      • #18
        Originally posted by indusa View Post
        Hi
        I moved to US from India 15 years ago and I am now citizen of USA. I have never withdrawn my provident fund, and I do not know exact balance as it stands now. I understand we have to declare Foreign Financial accounts if the value at any point of time in a year is greater than $150,00 or $100,000 at the end of the year using the form 8938. Does EPF falls in to financial accounts or other financial accounts category? So far I have not shown PF amount or interest accumulated in USA tax returns. Do I need to figure out the interest accumulated every year, and show it as income and pay taxes in USA?

        Thanks
        IndUSA
        I believe till you actually withdraw it you need not disclose it. And I dont believe its as high as 150-100 K but around 10 K USD. And it generally applies to all financial assets, EPF, PPF, LIC, Mutual Funds etc. Talk to a tax expert.

        Review a chart comparing the foreign asset types and filing requirements for Form 8938 and the Foreign Bank and Financial Accounts (FBAR) form.


        This is my opinion not legal advice.

        Comment


        • #19
          Originally posted by indusa View Post
          Hi
          I moved to US from India 15 years ago and I am now citizen of USA. I have never withdrawn my provident fund, and I do not know exact balance as it stands now. I understand we have to declare Foreign Financial accounts if the value at any point of time in a year is greater than $150,00 or $100,000 at the end of the year using the form 8938. Does EPF falls in to financial accounts or other financial accounts category? So far I have not shown PF amount or interest accumulated in USA tax returns. Do I need to figure out the interest accumulated every year, and show it as income and pay taxes in USA?

          Thanks
          IndUSA
          I think if you have not been contributing to the PF for more than 3 years, it does not get any interest after that and goes into dormant account status. Once your account is dormant, it is very difficult to retrieve it. Because it gets lost in the system, you know what I mean.

          Comment

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