It will take more than moving across an ocean to escape the long arm of the IRS.
Americans who hold assets in foreign countries are required to report those accounts to the appropriate federal authorities — or else face penalties as high as $100,000 or 50 percent of the account balance.
Despite the severe punishment for failure to report, Americans abroad still have a lot to learn about their reporting requirements.
Those were the findings of a recent survey by Greenback Expat Tax Services. From late March to May 2018, the company polled more than 3,800 U.S. expats.
More than 20 percent of the participants did not know what the Foreign Account Tax Compliance Act (FATCA) is. It's a 2010 federal law that requires banks and other foreign entities to report on assets held overseas by Americans.