Foreign Liabilities and Assets Annual Return (FLA Return) (2024)

FAQs

How to file annual return on foreign liabilities and assets? ›

Foreign Liabilities and Assets (FLA) is an Annual Return which is to be submitted by all those Indian Resident Companies which have received Foreign Direct investment (FDI) and/or made Investment Overseas (FDI Abroad) in previous year(s) which shall also include information of the current year.

In case the company does not file the FLA return within the given time, the company will be liable to pay a penalty of thrice the sum involved in the contravention. In case it is not quantifiable, then a penalty of Rs 2,00,000 will have to be paid by the company.

RBI has extended the due date for filing of Foreign Liability and Assets (FLA) return for the F.Y. 2023-24 to 31st July 2024. Originally the date for filing the FLA Annual Return for Financial year (FY) 2023-24 was 15th July 2024.

Reporting by U.S. Taxpayers Holding Foreign Financial Assets

U.S. taxpayers holding foreign financial assets may be required to report certain information about those assets on Form 8938, Statement of Specified Foreign Financial Assets. Taxpayers must attach Form 8938 to their annual tax return.

An individual must fill out schedule FA of the ITR if they have invested in foreign assets (such as foreign shares, foreign company mutual funds, etc.) directly or have held employee stock options (ESOPs) of foreign companies.

Ans: If the Partnership firms, Branches or Trustees have any outward FDI outstanding as on end-March of the latest FY, then they are required to file the FLA return.

Cash or foreign currency, real estate, precious metals, art and collectibles. Foreign stocks or securities.

This includes stocks, mutual funds, bank accounts, and even employee stock options (ESOPs) from foreign companies. The purpose is to promote transparency and combat tax evasion through offshore accounts. Failing to report these assets in Schedule FA could lead to penalties under the Black Money Act.

There's no penalty for failure to file if you're due a refund. However, you risk losing a refund altogether if you file a return or otherwise claim a refund after the statute of limitations has expired.

Is it illegal to not file taxes in Florida? ›

Failure to file your tax return is not tax fraud or tax evasion. It is a misdemeanor crime, though, which can result in up to one year of time in jail. In addition to jail time, you could also face severe penalties that can be as much as $25,000 for each year you didn't file.

This means that if you are filing a personal tax return, you can't intentionally under-report your income, lie on your tax return or fail to file a tax return altogether. Doing so is criminal tax fraud. This applies to anything that is taxable in the state — from income to car purchases or gambling winnings.

Because Florida doesn't tax personal income at the state level, you do not have to complete a Florida state income tax return as an individual.

In general, the first-to-file rule gives priority to a prior-filed action over a later-filed action. A corollary of the first-to-file rule gives the decision on the propriety of the first-filed suit to the district court presiding over that suit.

When a party may or must act within a specified time after service and service is made by mail, 5 days are added after the period that would otherwise expire under subdivision (a).

You're required to file T1135 for a given tax year if the total cost amount of your foreign assets exceeds $100,000 at any point during that year. So if you go over this $100,000 threshold every year, then, yes, you'll need to file a T1135 every year.

Earnings from foreign bank accounts must be reported and taxed on US Form 1040. Additionally, the taxpayer is required to disclose, on Schedule B, whether they own any foreign bank accounts and they may be required to report the accounts on Form 8938, Statement of Specified Foreign Financial Assets.

If a company fails to file the FCGPR form within the prescribed timeline, it will face penalties. The penalty for delayed reporting is 1% of the total investment amount, with a minimum of INR 5,000 and a maximum of INR 5 lakhs per month or part thereof for the first six months of delay.

Foreign liabilities and assets annual return (FLA) is mandatory to file for companies, LLPs, and certain other entities who are involved in foreign investment, whether they receive FDI or make FDI abroad. FLA is to be reported as required by the Reserve Bank of India before 15th July of each year.