US Representatives Steven Horsford and Max Miller have reintroduced the Digital Asset Protection, Accountability, Regulation, Innovation, Taxation and Yields Act, which seeks to reform the country's approach to crypto and taxes. As Congress prepares to address tax reforms in the coming months, the crypto industry may be impacted, making it crucial for US-based crypto owners to stay informed about reporting requirements for their digital assets. The revised bill includes changes to 'de minimis' gains, which could exempt small transactions from tax reporting, and introduces a new approach to calculating gains and losses for regulated payment stablecoins.
Additionally, the bill proposes applying wash sale rules to digital asset transactions and distinguishes between 'passive staking' and trading activities. While the bill's future is uncertain, industry insiders expect a strong push to include crypto in any upcoming tax legislation.