The US House Ways and Means Committee is set to review a 114-page crypto tax package on Wednesday. The proposed legislation, designated as H.R. 10357 or the Digital Asset Tax Certainty Act, outlines new tax rules for stablecoins, lending, and transaction fees.
The current draft excludes a provision from the Tax Clarity for Mining and Staking Act, which would have allowed taxpayers to defer taxes on mining and staking rewards until the tokens are sold. Consequently, these rewards remain taxable upon receipt or when they come under the recipient's control.
Despite the omission, the bill classifies income from validator activities as ordinary income and defines its sourcing. It also permits qualifying investment trusts to stake digital assets without compromising their status. The package introduces specific tax treatments for US dollar stablecoins.
The legislation includes provisions to exempt crypto payments for network or transaction fees of up to $10 from capital gains or losses. It also proposes simplified accounting for widely traded assets and extends wash-sale and constructive-sale rules to digital assets.
Additionally, the bill establishes a voluntary disclosure program for taxpayers to report previous digital asset tax violations. This legislative development occurs alongside Senate discussions regarding the CLARITY Act, which aims to define oversight roles for the SEC and CFTC.
