The Internal Revenue Service (IRS) recently issued an update regarding taxpayers’ digital asset reporting requirements for 2023. As the IRS explains, “taxpayers . . . must again answer a digital asset question and report all digital asset-related income when they file their 2022 federal income tax return, as they did for fiscal year 2021. The term ‘digital assets’ has replaced ‘virtual currencies,’ a term used in previous years.”

It’s a New Year, and that means Tax Day isn’t far away. For U.S. taxpayers who hold offshore accounts, Tax Day brings filing requirements above and beyond submitting an annual income tax return.