The IRS can go back up to three years to prosecute cases of tax evasion, and in cases where they find substantial error, they can decide to go back up to six years or more. This has a lot of crypto investors and traders nervous about winding up with an audit and tax bill years down the road that they can’t afford. The best solution to this problem is to simply be proactive, and amend your previous years return. Itrsquos also important to remember that cryptocurrency can increase in value over time. So, keep an eye on the value of your cryptocurrency and ask the CPAs for American expatriates at US Tax Help whether or not its new value makes filing Form 8938 necessary. There could be some years that you have to report and other years that you donrsquot. Depending on the value of your crypto gains when coupled with your other foreign financial assets, you might not have to file Form 8938.
