u/Due_Task_7876

SDOP Process Seeking Advice/Feedback

Long story short, I am a resident alien in the US (have been since 2018-ish), and I didn't realize that I needed to report my income back home. Now I am going through the SDOP process.

For this past tax year (2025), I did include my foreign income (FBAR and everything else)

I know that I need:

  • Tax returns (amended) — 3 most recent years with due dates passed
  • FBARs — 6 most recent years with due dates passed
  • Form 14654

My questions are:

  1. For amended tax returns: Do I need to amend 2024, 2023, and 2022, since I already did 2025? Or do I need to amend 2025, 2024, and 2023?

  2. Say I have a net negative between 2022 and 2024, which creates capital loss carryforwards. How do I expect it to affect my 2025 return, which I have already paid a lot of taxes on? Do I get a check from IRS?

  3. 5% penalty. Do I look at each year independently, or do I mix years to calculate the aggregate balance?

  4. Form 14654: How many years should I include on the form?

Like many others, I was very nervous and anxious when I found out about this. I appreciate y'all's patience for helping me navigate this process. Thank you!

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u/Due_Task_7876 — 2 days ago