Liabilities




Report liabilities in Part 8.  You must report your own liabilities and those of your spouse and dependent children.

Although there are many different types of reportable liabilities, all are reported in a similar manner.  Common types of reportable liabilities include: Boat loans, capital calls, credit card debt, exercised lines of credit, margin accounts, mortgage debt, student loans, loans from non-commercial sources (e.g., loan from a friend), and liabilities for which you co-signed and have a current legal obligation to repay.

Creditor Name

Type

Amount

Year Incurred

Rate

Term

First District Bank

mortgage

$100,001 - $250,000

2007

4.7%

30 years

XYZ National Visa

credit card

$10,001 - $15,000

2011

variable

revolving

John Jones

personal loan

$15,001 - $50,000

2012

prime +1%

on demand

For You, Your Spouse, and Your Dependent Children

Part 8

Report liabilities owed to any creditor that exceeded $10,000 at any time during the reporting period.

A general description of the requirements for all reportable liabilities is included below.  For more detailed guidance on a particular liability, please consult the Frequently Asked Questions.

Creditor Name:  Provide the name of the creditor/lending institution.

Type:  Describe the type of liability.

Amount:  Mark the appropriate category of amount or value.  For revolving charge accounts, use the value of the liability at the end of the reporting period.  For all other liabilities, mark the category that corresponds to the highest value of the liability during the reporting period.

Year Incurred:  Provide the year that the liability was incurred.

Rate:  Provide the interest rate.  Describing the rate in reference to a prime rate, such as “prime + 1,” is also sufficient.

Term:  Specify, in years or months, the time that the loan allows for repayment.  Describing the term as “on demand,” “open-ended,” “revolving” (credit cards) or something similar is also sufficient if applicable.

Certain Mortgages Are Not Reportable

If you are not a nominee or appointee to a Presidentially-appointed, Senate-confirmed (PAS) position, you do not need to report a mortgage or home equity loan secured by your personal residence, unless you rented out the personal residence during the reporting period.  However, you must report mortgages or home equity loans on properties that do not qualify as personal residences.

If you are a nominee or appointee to one of the three types of PAS positions listed below, you do not need to report a mortgage or home equity loan secured by your personal residence, unless you rented out the personal residence during the reporting period.  However, you must report mortgages or home equity loans on properties that do not qualify as personal residences.  The three types of PAS positions are:

  • a position in which you will serve as a special Government employee (SGE);
  • a position as a Foreign Service Officer below the rank of ambassador; or
  • a position in the uniformed services for which the pay grade prescribed by section 201 of title 37, United States Code is O-6 or below.

If you are a nominee or appointee to any other type of PAS position, you must report a mortgage or home equity loan secured by your personal residence as you would a mortgage on any other property.

Other Liabilities That Are Not Reportable

You do not need to report the following liabilities in Part 8:

  • Loans secured by a personal motor vehicle, household furniture, or appliances, if the loan does not exceed the item’s purchase price.
  • Revolving charge accounts, such as credit card balances, if the outstanding liability did not exceed $10,000 at the close of the reporting period.  This method of calculating the threshold differs from the method for all other entries in Part 8.
  • Liabilities of a trade or business, unless the liabilities are unrelated to the operations of that trade or business.
  • Personal liabilities owed to a spouse, parent, sibling, or child of yours, your spouse, or your dependent child.
  • Liabilities of a spouse living separate and apart with the intention of terminating the marriage or providing for a permanent separation.
  • Obligations arising from divorce or permanent separation.

No Liabilities to Report

If you do not have any liabilities to report, you need to state this fact.  Within Integrity, you would make the statement by marking the “I do not have...” checkbox.  For hard copy reports, write “None” for the first line entry.

Click Here for Frequently Asked Questions