Help with FBAR reporting requirements!
Hello I am in desperate need of tax help!
I am a European Union citizen and I live/work in Europe and have 2 European bank accounts (joint with my father) above $10,000. In 2002, I obtained a permanent resident visa card or green card (good for 10 years) but never moved to the U.S. because my spouse was stationed in Europe. I did move with my spouse to the U.S. in 2009 and lived there for 10 months with my spouse (a U.S. Citizen) but moved back to Europe because I could not find employment. My spouse and I have filed joint U.S. returns prior to me obtaining my green card and always included my European work income. We never filed FBAR's or reported on our 1040's the interest earned in the foreign bank accounts because we didn't know about this requirement. I now know the 1040's need to be corrected but since I get the foreign earned income exclusion and foreign tax credit I am hoping we won't owe any back taxes. Do I have a requirement to file the FBAR paperwork since I live and work in Europe? In pub 519, I found information about the tax treaty and tie breaker rules? Can I use these and claim on our U.S. taxes that I am now a Non-resident? I pay European taxes on all my work income and bank interest. We always brought our taxes to JAG in Europe and they never told us about these requirements. I don't want to pay a 25% penalty on my joint bank accounts since I did not know about this requirement and they are taking European Union money that my dad and I earned while working and living in Europe. Is there anyone that can help me with this tax matter?
Thank you!