U.S. House bipartisan lawmakers draft crypto tax bill, involving stablecoin tax exemption and deferral of staking mining income taxes

CoinVoice has learned that, according to The Block, Congressman Max Miller (Republican from Ohio) and Steven Horsford (Democrat from Nevada) are drafting a cryptocurrency tax bill called the “Digital Asset PARITY Act.”

The bill will provide tax incentives for certain stablecoin transactions and delay taxation on rewards earned from validating blockchain exchanges. It will exempt capital gains tax on stablecoin transactions below $200. As a compromise between current IRS guidance and industry demands, taxpayers can choose to defer taxes on staking and mining income for five years, after which it will be taxed as ordinary income based on fair market value.

The bill will extend wash sale rules (which prevent investors from selling at a loss and immediately repurchasing to claim tax credits) to digital assets and allow traders to use market value accounting methods.