Form detail
IRS Form 3520
Annual Return To Report Transactions With Foreign Trusts and Receipt of Certain Foreign Gifts
Country
United States
Revision year
2024
Methods
paper
Updated
2026-05-20
Annual Return To Report Transactions With Foreign Trusts and Receipt of Certain Foreign Gifts
Reports certain transactions with foreign trusts and large gifts or inheritances from foreign persons.
Who must file: U.S. persons who created or transferred property to a foreign trust, received distributions from a foreign trust, or received large gifts or bequests from foreign persons.
Practical overview
Form 3520 is paper-filed (no e-file) and is one of the most penalty-prone forms because the 35 percent penalty for unreported foreign-trust transactions and the 25 percent penalty for unreported foreign gifts apply even when no U.S. tax is owed. The form is due with the taxpayer's annual return but mailed to a separate Ogden address. Gift thresholds: $100,000 from foreign individuals or estates; lower threshold for gifts from foreign corporations or partnerships.
Practical steps
- Identify any foreign-trust transactions (transfers in, distributions out, ownership).
- Identify any foreign gifts or inheritances exceeding the threshold.
- Prepare and paper-file Form 3520 to the Ogden, UT address.
- File by April 15 (extendable with Form 4868); coordinate with Form 3520-A if applicable.
Due-date notes
Due with the U.S. person's annual return; paper-filed to the Ogden, UT IRS address.
Timing: return-due-date
Extension reference: Form 4868
Penalty snapshot
35 percent of unreported foreign-trust transactions; 5 percent per month up to 25 percent for unreported foreign gifts; continued-failure penalties apply.
Related guides
Related citations
Computed from the cross-reference graph. Links open the related entity on this site.
This entry cites
- FormIRS 8938
Primary sources
- About Form 3520Verified 2026-05-20
Important disclaimer
This library is for general tax education only. Always verify filing obligations, due dates, and tax consequences against the cited primary source or with a qualified tax professional.