Representatives Steven Horsford and Max Miller have reintroduced the Digital Asset Protection, Accountability, Regulation, Innovation, Taxation and Yields Act, which seeks to update the US approach to crypto and taxes. As Congress prepares to address taxes in the coming months, crypto may be included, making it crucial for US crypto owners to report their digital asset holdings and transactions. The revised bill introduces changes, including a section on 'de minimis' gains, which could exempt small transactions from tax reporting.
The industry has long advocated for a de minimis exemption, making it easier for individuals to conduct minor transactions without reporting capital gains or losses. The latest draft also addresses wash sale rules and distinguishes between 'passive staking' and trading activities. Although the next steps for the bill are uncertain, industry participants expect a strong push to include crypto in any tax legislation that becomes law.