Particle.news
Download on the App Store

House Ways and Means Reviews Draft Crypto Tax Bills as Democrats Flag Risks

The review highlights a key dispute over a proposed mining and staking tax deferral that could be revised or dropped before any vote.

Overview

  • The House Ways and Means Committee held a hearing on Tuesday, June 9, to review six bills and one discussion draft that aim to modernize how the IRS treats digital assets.
  • One central proposal would let miners and stakers elect to defer taxation on newly minted tokens until sale, a change Democrats and tax experts warned could be abused or become a hidden tax subsidy.
  • A separate bill would create de minimis relief and treat regulated U.S. dollar stablecoins like cash for routine payments, reducing the need to report tiny gains when people spend crypto.
  • Other drafts would extend existing anti‑abuse rules such as wash‑sale and constructive‑sale provisions to digital assets and add voluntary disclosure and simplified accounting options to ease compliance.
  • Industry witnesses from Coinbase, Fidelity and policy groups urged broader de minimis relief to cut paperwork, but the measures remain draft-stage, likely to be revised, and face an uncertain path to passage before Congress adjourns in 2026.