Non-compliance with FBAR and FATCA reporting requirements can result in severe penalties. For FBAR, civil penalties can range from $10,000 to $100,000 or 50% of the account balance (whichever is greater), and criminal penalties can include fines up to $500,000 and imprisonment up to 5 years (31 U.S.C. § 5321, https://www.law.cornell.edu/uscode/text/31/5321). For FATCA, penalties can include a $10,000 failure-to-file penalty, a 40% penalty on understatement of income, and potential criminal charges for willful non-compliance.