The IRS Is About to Make Confessing Cheaper: 120 Days, Lower Penalties, and No Separate Crypto Track
120 days after a complete submission. Substantially lower penalties. Those are the targets IRS Criminal Investigation chief Jarod Koopman set for the revamped Voluntary Disclosure Practice on October 23, 2026. The overhaul is “very close,” he said, with release planned before December begins. The final terms are not published. For a US crypto holder ignoring a six-figure cost-basis problem, the potential change is concrete: a different price and timetable for admitting intentional tax noncompliance under a framework dating to 2018. Unreported gains, sales on foreign exchanges and mixer transactions still require records and explanations. Form 1099-DA reporting now gives the IRS custodial-broker data on US users; a missing basis history remains the holder’s problem to reconstruct. ...