diff --git a/src/UniversalIdentifier.cpp b/src/UniversalIdentifier.cpp
index c998810..eecd3c7 100644
--- a/src/UniversalIdentifier.cpp
+++ b/src/UniversalIdentifier.cpp
@@ -278,6 +278,28 @@ Output::identify(transaction const& tx,
             {
                 auto& out = identified_outputs.back();
                 out.subaddr_idx = *subaddr_idx;
+
+                // now need to check if we need to expand
+                // list of initial 10'000 of subaddresses.
+                // we do this only if account id (subaddress_idx.major)
+                // is greater than 0.
+                
+                auto next_subaddr_acc_id 
+                    = pacc->get_next_subbaddress_acc_id();
+
+                auto no_of_new_accounts = std::min<int>(
+                                static_cast<int>(out.subaddr_idx.major
+                                + PrimaryAccount::SUBADDRESS_LOOKAHEAD_MAJOR)
+                                - next_subaddr_acc_id
+                                , 50);
+
+                if (no_of_new_accounts > 0)
+                {
+                    auto new_last_acc_id 
+                        = pacc->get_next_subbaddress_acc_id() 
+                                      + no_of_new_accounts;
+                    pacc->expand_subaddresses(new_last_acc_id);
+                }
             }
 
             total_xmr += amount;
diff --git a/tests/universalidentifier_tests.cpp b/tests/universalidentifier_tests.cpp
index 3dabe60..fbc4641 100644
--- a/tests/universalidentifier_tests.cpp
+++ b/tests/universalidentifier_tests.cpp
@@ -557,6 +557,11 @@ TEST(Subaddresses, MultiOutputTxToSubaddress)
 
     EXPECT_TRUE(result.empty());
 
+    // check if expansion of subbaddress list worked
+    EXPECT_EQ(racc->get_next_subbaddress_acc_id(),
+              PrimaryAccount::SUBADDRESS_LOOKAHEAD_MAJOR + 49);
+
+    EXPECT_EQ(racc->get_subaddress_map().size(), 10'000 + 49*200);
 }
 
 
@@ -633,6 +638,9 @@ TEST(Subaddresses, GuessInputFromSubaddress)
         EXPECT_EQ(outputs_found[i].subaddr_idx,
                   expected_indices[i]);
    }
+
+   EXPECT_EQ(primary_account->get_next_subbaddress_acc_id(),
+             PrimaryAccount::SUBADDRESS_LOOKAHEAD_MAJOR);
 }
 
 TEST(Subaddresses, RealInputsToSubaddress)