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. This revised bill comes as Congress is set to address tax reforms in the coming months, with potential implications for crypto owners. The PARITY Act, first introduced in December, has undergone changes, including revisions to 'de minimis' gains, which exempt small transactions from tax reporting.
The latest draft removes the $200 threshold for stablecoin transactions and introduces a deemed basis of $1 for exchanges. It also applies 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 upcoming tax legislation.