US Congress members Steven Horsford and Max Miller have reintroduced the Digital Asset Protection, Accountability, Regulation, Innovation, Taxation and Yields Act, seeking to modernize the country's crypto tax policies. As Congress prepares to address tax reforms in the coming months, cryptocurrency may be included, making it crucial for US-based crypto owners to understand the potential changes. The revised bill introduces changes to 'de minimis' gains, which exempt small transactions from tax reporting. The new version removes the $200 threshold for regulated payment stablecoins and instead sets a deemed basis of $1 for exchanges.
It also applies wash sale rules to digital asset transactions and differentiates between 'passive staking' and trading activities. Although the bill's future is uncertain, industry insiders expect a strong push to include crypto in upcoming tax legislation.