The Foreign Account Tax Compliance Act (FATCA) came in effect on March 18, 2010, and was a part of the Hiring Incentives to Restore Employment (HIRE) Act and mandates foreign financial Institutions and individual other non-financial international institutes to report their foreign assets held by their U.S. account holders.
Form 8938 reporting is required for all non-U.S Financial asset that taxpayer has foreign interest starting 2010 tax year on a certain threshold. A U.S. person should report this form depending on the value of their foreign financial accounts and foreign assets.