Representatives Steven Horsford and Max Miller have reintroduced the Digital Asset Protection, Accountability, Regulation, Innovation, Taxation and Yields Act, seeking to modernize the US approach to crypto and taxes. As Congress prepares to address tax reforms, 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 the removal of the $200 threshold for de minimis exemptions and the application of wash sale rules to digital asset transactions.
It also differentiates between 'passive staking' and trading activities. Although the bill's next steps are uncertain, industry participants expect a strong push to include crypto in upcoming tax legislation.