US Congressmen Steven Horsford and Max Miller have reintroduced the Digital Asset Protection, Accountability, Regulation, Innovation, Taxation and Yields Act, which seeks to reform the US approach to crypto and taxes. This comes as Congress is set to address tax reforms in the coming months, with potential implications for crypto owners who must report their digital asset holdings and transactions. The revised bill introduces changes to 'de minimis' gains, which exempt small transactions from tax reporting. The industry has long advocated for such exemptions to simplify transactions like buying coffee with crypto.
The latest draft of the bill applies wash sale rules to digital asset transactions and distinguishes between 'passive staking' and trading activities. Although the next steps for the bill are uncertain, industry participants expect a strong push to include crypto in any upcoming tax legislation.