Congress Takes Aim at Crypto Tax Clarity with H.R. 10357
Congress has released a bill aimed at clarifying tax rules for cryptocurrency, titled H.R. 10357 or the Digital Asset Tax Certainty Act.
The bill, scheduled for markup on September 16 alongside six other bills, seeks to establish a unified tax framework for digital assets, treating them similarly to stocks and bonds.
One key provision eliminates taxes on network fees under $10, removing compliance headaches for casual users who actively trade cryptocurrency. However, high-frequency traders will still need to report all transactions, regardless of fee size, with over 5,000 transfers in a tax year triggering full reporting.
The bill also closes the wash-sale loophole by extending Section 1091 wash-sale rules and Section 1259 constructive-sale restrictions to digital assets. This means that if you sell ETH at a loss and rebuy ETH (or something 'substantially identical') within 30 days, you'll lose the tax deduction.