US Congress members Steven Horsford and Max Miller have reintroduced the Digital Asset Protection, Accountability, Regulation, Innovation, Taxation and Yields Act, seeking to reform the country's approach to crypto taxation. This development comes as Congress is set to address tax reforms in the coming months, with crypto likely to be included.
The proposed legislation, initially released in December, has undergone revisions, including changes to 'de minimis' gains, which exempt small transactions from tax reporting. The revised bill removes the $200 threshold for regulated payment stablecoins and introduces a deemed basis of $1 for exchanges. Additionally, it applies wash sale rules to digital asset transactions and distinguishes between 'passive staking' and trading activities. Although the bill's future is uncertain, industry participants expect a strong push to include crypto in upcoming tax legislation.