This poster is correct. We have the below statement on the Forex Tax page of our Web site.

Important Note: You need to file a Form 8886 (Reportable Transaction Disclosure Statement) if you have "transactions that result in losses of at least $2 million in any single tax year ($50,000 if from certain foreign currency transactions) or $4 million in any combination of tax years..." Other transactions mentioned on Form 8886 mostly relate to tax shelter transactions. These rules are found in IRS Reg. § 1.6011-4(b)(5)(iii)(B) and IRS publication 550 and 334.

If you have not filed a Form 8886, you should before the IRS contacts you; to avoid penalties. It's a very simple form to fill out and we can help.