Instructions for IRS Form 3520 Annual Return to Report Transactions With Foreign Trusts and Receipt of Certain Foreign Gifts

This document contains official instructions for IRS Form 3520 , Annual Return to Report Transactions With Foreign Trusts and Receipt of Certain Foreign Gifts - a tax form released and collected by the Internal Revenue Service (IRS), a subdivision of the U.S. Department of the Treasury.

FAQ

Q: What is IRS Form 3520?
A: IRS Form 3520 is an annual return used to report transactions with foreign trusts and the receipt of certain foreign gifts.

Q: Who needs to file IRS Form 3520?
A: Any U.S. person who receives certain gifts or transfers to a foreign trust must file Form 3520.

Q: What transactions need to be reported on IRS Form 3520?
A: Foreign gifts or bequests of $100,000 or more, or certain transactions with foreign trusts must be reported.

Q: What is the deadline for filing IRS Form 3520?
A: The Form 3520 is generally due on the same date as the U.S. person's income tax return, including extensions.

Q: What is the purpose of filing IRS Form 3520?
A: The purpose of Form 3520 is to provide information to the IRS regarding foreign transactions that may have tax consequences.

Q: Are there any penalties for not filing IRS Form 3520?
A: Yes, failure to file Form 3520 may result in penalties, including monetary fines and the potential for additional tax liability.

Q: Do I need to attach any documents with IRS Form 3520?
A: In some cases, supporting documents may need to be attached to Form 3520, such as appraisal reports or trust instruments.

Q: Can I e-file IRS Form 3520?
A: No, IRS Form 3520 cannot be e-filed and must be filed by mail to the appropriate IRS address.

Q: What should I do if I need more time to file IRS Form 3520?
A: If you need more time to file Form 3520, you can request an extension by filing Form 4868, Application for Automatic Extension of Time to File U.S. Individual Income Tax Return.