Tax implications (if any) for sending money to U.S from Greece? Need advice for transfers

Thanks for this info! Quick question - if the inheritance was already taxed in Greece, is there some kind of tax treaty that prevents double taxation? Also, do I need to report this on my taxes even though it's not actually taxable income?

The US does have a tax treaty with Greece that helps prevent double taxation, but that's more relevant for income rather than inheritances. For inheritances specifically, the US generally doesn't tax foreign inheritances received by US persons regardless of treaty status. You don't need to report the inheritance itself as income on your Form 1040, but you do need to file the FBAR (FinCEN Form 114) and possibly Form 8938 as mentioned. These are informational forms to disclose foreign accounts and assets - not to calculate tax. Failure to file these forms can result in significant penalties, so they're important even though the inheritance itself isn't taxable.

Does it handle the actual FBAR filing or just tell you what forms you need? Those foreign account forms confuse me so much.

I'm curious how it handles inheritance vs gift classifications. My tax person keeps going back and forth on whether money from my overseas grandmother should be reported as a gift or inheritance and it affects everything.

They don't file the FBAR for you, but they provide a guided walkthrough with specific instructions for your situation. It essentially pre-fills most of the information based on the documents you upload, so you're not starting from scratch with those confusing forms. The system is really good at distinguishing between gifts and inheritances based on documentation you provide. It analyzes the source documents and identifies whether the transfer qualifies as an inheritance (typically requiring death certificate or estate documentation) or should be classified as a gift. This classification is crucial because they have different reporting requirements and potential tax implications.

Wait, how does this actually work? Isn't this just paying someone to call the IRS for you? I don't get how they get through when nobody else can.

Sorry but this sounds like a scam. Nobody can magically get through to the IRS faster than anyone else. They probably just keep calling like everyone else or have you on hold while they try.

It's not magic - they use an automated system that continuously redials and navigates the IRS phone tree until it gets through. When you call the IRS yourself, you might try once or twice before giving up. Their system can make hundreds of attempts. They actually don't put you on hold at all. You enter your phone number and what IRS department you need, then go about your day. When their system finally gets through to an agent, they call you and connect you directly to that IRS agent who's already on the line. I was definitely skeptical too, but it worked exactly as described.

That's really helpful info about Form 3520! I had no idea the penalties could be that severe. €37,500 is under $100,000, but if exchange rates shift or if I decide to bring over some additional savings I have there, it could potentially cross that threshold. Better to know this ahead of time than find out the hard way. Is this form something I file along with my regular tax return or is it a separate filing deadline?

Form 3520 is filed separately from your regular tax return, but it's due on the same date as your individual income tax return (including extensions). So if you file for an extension on your 1040, you also get an extension on Form 3520. Be very careful with the currency conversion rates too. The IRS wants you to use the conversion rate on the date you received the money, not when you transfer it to the US. So document the exact date you legally received the inheritance and the exchange rate on that date.

The US-Greece tax treaty doesn't provide significant advantages for inheritances specifically. For an inheritance that size (€200,000), your biggest concern should actually be proper reporting, not US taxation. You'll definitely need to file: 1. FinCEN Form 114 (FBAR) 2. Form 8938 (Foreign Financial Assets) 3. Form 3520 (since it's over $100,000) The US doesn't typically tax foreign inheritances received by US persons regardless of size, but the reporting requirements become stricter with larger amounts. The penalties for non-compliance with these forms are substantial, so I'd recommend working with a tax professional who specializes in international taxation for an inheritance of that magnitude.