U.S. House's tax committee advances crypto tax bill in wake of Clarity Act loss
The Digital Asset Tax Certainty Act would ease complicated tax burdens for everyday use of cryptocurrencies, though Trump's industry ties spurred some pushback.
Less than 24 hours after the collapse of the crypto industry's market structure bill, the tax committee in the U.S. House of Representatives has advanced another important industry effort that would clarify crypto tax treatment and ease burdens on casual transactions.
At a Wednesday hearing known as a markup, in which a committee evaluates a bill and considers changes before deciding whether to advance it to the wider chamber of lawmakers, the panel voted 38-5 to endorse the bill and forward it to the rest of the House, signalling massive bipartisan support for the measure.
The Digital Asset Tax Certainty Act, revealed earlier this week by the House Ways and Means Committee, would provide crypto users long-awaited answers on what are known as "de minimis" transactions, or small, routine payments, which currently trigger difficult tax accounting. The legislation also addresses how crypto income would be recognized for tax purposes, transfers, wash sale rules, mining, staking and requirements for brokers, and it generally seeks to ensure that digital assets get similar treatment as other assets.
"We are establishing basic tax rules for digital assets," said Representative Steven Horsford, a Nevada Democrat who has been pushing such tax policy over the past year. "For everyday transactions, the package provides specific treatment for qualifying dollar stablecoins and small network and transaction fees."