[{"data":1,"prerenderedAt":-1},["ShallowReactive",2],{"detail-sidebar-cat-1-en-105":3,"doc-seo-279774-105":53,"doc-detail-279774-en":126},{"code":4,"msg":5,"data":6},0,"success",[7,14,19,24,29,34,39,44,49],{"id":8,"doc_module":9,"doc_module_name":10,"category_name":11,"show_sort_weight":12,"slug":13},11,1,"Template","Presentations",90,"presentations",{"id":15,"doc_module":9,"doc_module_name":10,"category_name":16,"show_sort_weight":17,"slug":18},12,"Resumes",80,"resumes",{"id":20,"doc_module":9,"doc_module_name":10,"category_name":21,"show_sort_weight":22,"slug":23},14,"Invoices",70,"invoices",{"id":25,"doc_module":9,"doc_module_name":10,"category_name":26,"show_sort_weight":27,"slug":28},15,"Posters",60,"posters",{"id":30,"doc_module":9,"doc_module_name":10,"category_name":31,"show_sort_weight":32,"slug":33},16,"Social Media",50,"social-media",{"id":35,"doc_module":9,"doc_module_name":10,"category_name":36,"show_sort_weight":37,"slug":38},17,"Forms",40,"forms",{"id":40,"doc_module":9,"doc_module_name":10,"category_name":41,"show_sort_weight":42,"slug":43},18,"Letters",30,"letters",{"id":45,"doc_module":9,"doc_module_name":10,"category_name":46,"show_sort_weight":47,"slug":48},21,"Paper Templates",5,"papers-templates",{"id":50,"doc_module":9,"doc_module_name":10,"category_name":51,"show_sort_weight":4,"slug":52},158,"General","general-158",{"code":4,"msg":54,"data":55},"ok",{"site_id":56,"language":57,"slug":58,"title":59,"keywords":60,"description":61,"schema_data":62,"social_meta":119,"head_meta":121,"extra_data":123,"updated_unix":125},105,"en","fbar-penalty-case-processing-procedures","FBAR penalty case processing procedures","","Procedures explain how to initiate and administer FBAR penalty investigations, including faxing statute determinations and transmitting Foreign Bank and Financial Accounts Report Monitoring Document (FMD) updates to the Detroit Computing Center for database input. Instructions cover creating separate FBAR penalty case files, maintaining evidence and memoranda, handling ERCS and non-AIMS workflows, and using Form 2848 with “FBAR Examination” details. Guidance also addresses investigation direction based on willfulness versus reasonable cause, evidence sufficiency decisions, and key timing rules for FBAR due dates and the six-year assessment statute.",{"@graph":63,"@context":118},[64,80,101],{"@type":65,"itemListElement":66},"BreadcrumbList",[67,71,74,77],{"item":68,"name":69,"@type":70,"position":9},"https://docshare.wps.com","Home","ListItem",{"item":72,"name":10,"@type":70,"position":73},"https://docshare.wps.com/template/",2,{"item":75,"name":11,"@type":70,"position":76},"https://docshare.wps.com/template/presentations/",3,{"item":78,"name":59,"@type":70,"position":79},"https://docshare.wps.com/template/fbar-penalty-case-processing-procedures/279774/",4,{"url":78,"name":59,"@type":81,"image":82,"author":87,"headline":59,"publisher":90,"fileFormat":93,"inLanguage":57,"description":61,"dateModified":94,"datePublished":95,"encodingFormat":93,"isAccessibleForFree":96,"interactionStatistic":97},"DigitalDocument",{"url":83,"@type":84,"width":85,"height":86},"https://docshare.wps.com/thumbnails/fbar-penalty-case-processing-procedures/279774.png","ImageObject",442,249,{"name":88,"@type":89},"Gloria","Person",{"url":68,"name":91,"@type":92},"DocShare","Organization","application/pdf","2026-10-26","2026-09-16",true,{"@type":98,"interactionType":99,"userInteractionCount":8},"InteractionCounter",{"@type":100},"ViewAction",{"@type":102,"mainEntity":103},"FAQPage",[104,110,114],{"name":105,"@type":106,"acceptedAnswer":107},"Where should statute memorandum and monitoring documents be sent during FBAR penalty case processing?","Question",{"text":108,"@type":109},"Related statute memoranda and the FMD are faxed to the Detroit Computing Center for database input. Delinquent FBARs are mailed using Form 3210 to the specified Detroit mailing address.","Answer",{"name":111,"@type":106,"acceptedAnswer":112},"What documents and information must be placed in the FBAR penalty case file?",{"text":113,"@type":109},"All evidence gathered during the investigation must be placed in the FBAR penalty case file, including a summary memorandum explaining the FBAR violations and proposed penalties, if any.",{"name":115,"@type":106,"acceptedAnswer":116},"How does the investigation determine whether to focus on willfulness or reasonable cause?",{"text":117,"@type":109},"The evidence guides the focus: continue gathering evidence toward willful FBAR violations if it shows willful conduct, but shift to evaluating reasonable cause when the evidence tends to show non-willfulness. The point of shift depends on case facts and when sufficient information is gathered to decide direction.","https://schema.org",{"og:url":78,"og:type":120,"og:title":59,"og:site_name":91,"og:description":61},"article",{"robots":122,"canonical":78},"index,follow",{"doc_id":124,"site_id":56},279774,1791720173,{"code":4,"msg":5,"data":127},{"doc_id":124,"user_id":128,"nickname":88,"user_avatar":129,"doc_module":9,"category_id":8,"category_name":11,"doc_title":59,"doc_description":61,"doc_content":130,"file_id":131,"file_url":132,"file_type":133,"file_size":134,"view_count":8,"is_deleted":4,"is_public":9,"is_downloadable":9,"audit_status":9,"page_count":135,"language":136,"language_code":57,"site_id":56,"html_lang":57,"table_of_contents":137,"faqs":138,"seo_title":139,"seo_description":61,"update_tm":140,"read_time":141},2336474459895,"https://ap-avatar.wpscdn.com/avatar/22000baeef7a5ed0655?x-image-process=image/resize,m_fixed,w_180,h_180&k=1786071322749376916","Once the territory manager makes a related statute determination, you need to fax the related statute memorandum to the Detroit Computing Center at (313) 234-2278.  \nThe Detroit Computing Center inputs each case into an FBAR database and starts to monitor FBAR penalty assessment statutes.  \nCreate a separate FBAR penalty case file and place the original RSMand the FAX transmission report in the FBAR penalty case file.  \nFBAR cases are not on AIMS.  \nCurrently, not all Examination Areas establish FBAR cases on ERCS. If your area does establish FBAR cases on ERCS, follow local procedures to establish the FBAR penalty cases on ERCS.  \nNext, download Form 13536, Foreign Bank and Financial Accounts Report Monitoring Document (FMD) from the Forms and Publications website on the IRS Intranet.  \nComplete the entity information section of the form and fax the form to the Detroit at (313) 234-2278; as with the related statute memorandum, complete a separate FBAR monitoring document for each year. You may fax both the RSM and FMD at the same time.  \nAs necessary, you will update the information on the FMD and fax the updated FMD to Detroit so the FBAR penalty case database has the most current information. At the conclusion of the FBAR penalty investigation you will send a final FMD to Detroit when you close the FBAR penalty case.  \nIf you remember, near the beginning of this presentation we discussed Title 31 reporting requirements. Well, one of the reporting requirements was for the Secretary of the Treasury to report to Congress on FBAR compliance efforts. The FinCEN database is the source of information used to prepare these reports, so it is important that the database  \ncontains the most current information regarding the status of all FBAR penalty investigations.  \nNow you have an approved FBAR penalty investigation. What are you going to do?  \nThe goal of the FBAR penalty investigation is to gather evidence to arrive a decision regarding the appropriate FBAR penalties. You need to avoid starting a penalty investigation with the intent of proving a that a specific penalty applies. At the start of the investigation you may have some evidence that tends to show willfulness, or some evidence that that tends to show non-willfulness; however, until you gather additional information you really do not know with any degree of certainty the appropriate penalty, if any, to assert.  \nMany FBAR penalty investigations will result in non-willful penalties, not because the person did not act willfully, but because we cannot prove that the person acted willfully.  \nYou need to allow the evidence to guide the investigation. If the evidence tends to show willful conduct by the person, then continue to gather evidence to prove willful FBAR violations; however, if the evidence tends to show non-willfulness, then at some point during the investigation you will shift the focus to evaluating whether the person has reasonable cause for the FBAR violations. At what point you have gathered enough information to make a decision about the direction of the investigation heavily depends upon the facts of the case.  \nThe rest of this presentation deals with the administrative requirements for FBAR penalty case processing and FBAR penalty assessments.  \nRGS has an FBAR penalty lead sheet that contains the FBAR penalty case procedures. This lead sheet is a very helpful reminder of the steps that you need to take in an FBAR penalty investigation.  \nWhen working on the FBAR penalty investigation, if the local procedures establish the FBAR penalty case on ERCS, charge your time directly to the FBAR penalty case. Otherwise, charge the time that you work on the FBAR penalty case to Activity Code 545.  \nBe sure to place all evidence gathered during the FBAR penalty investigation in the FBAR penalty case file. The FBAR penalty case file is separate from the Title 26 case files. We will talk more about the FBAR penalty case file a little later in this presentation.  \nThe ","cbCaieQ0eo5xB6jK","https://ap.wps.com/l/cbCaieQ0eo5xB6jK","pdf",5642162,28,"English","# FBAR penalty case processing and assessments\n## Case initiation and documentation\n## Evidence handling and case files\n## Forms and transmissions (13536, 2848, 3210)\n## Investigation direction: willfulness vs reasonable cause\n## Timing and statute rules","[{\"question\":\"Where should statute memorandum and monitoring documents be sent during FBAR penalty case processing?\",\"answer\":\"Related statute memoranda and the FMD are faxed to the Detroit Computing Center for database input. Delinquent FBARs are mailed using Form 3210 to the specified Detroit mailing address.\"},{\"question\":\"What documents and information must be placed in the FBAR penalty case file?\",\"answer\":\"All evidence gathered during the investigation must be placed in the FBAR penalty case file, including a summary memorandum explaining the FBAR violations and proposed penalties, if any.\"},{\"question\":\"How does the investigation determine whether to focus on willfulness or reasonable cause?\",\"answer\":\"The evidence guides the focus: continue gathering evidence toward willful FBAR violations if it shows willful conduct, but shift to evaluating reasonable cause when the evidence tends to show non-willfulness. The point of shift depends on case facts and when sufficient information is gathered to decide direction.\"}]","FBAR penalty case processing procedures | PDF",1789527044,10]