Republicans on the House Ways and Means Committee are considering removing tax provisions for crypto mining and staking from a broader digital asset legislative package. The proposed changes were originally part of H.R. 9175, the Tax Clarity for Mining and Staking Act, introduced on June 8, 2026, by Rep. Mike Carey.
The bill aims to allow miners and stakers to defer income tax on newly created crypto rewards until the assets are sold. Currently, the IRS requires taxpayers to pay income tax on the fair market value of rewards at the time they are received, regardless of whether the tokens are sold.
Committee Chair Jason Smith is reportedly seeking to secure bipartisan support for the package ahead of midterm elections. This strategy involves potentially compromising with Rep. Steven Horsford, a Democrat who has expressed concerns about the tax deferral provisions during a committee hearing held on June 9, 2026.
Industry groups, including representatives from Fidelity and Coinbase, participated in the June 9 hearing. On June 21, 2026, a coalition of crypto industry organizations sent a letter to the committee urging them to pass the bill without modifications, arguing that the provisions address critical policy issues.
The committee has scheduled a markup for the legislation on September 16, 2026. The outcome of the discussions will determine if the bill proceeds with the current mining and staking tax treatment or if these sections will be removed to facilitate broader legislative approval.
