House Advances Bipartisan Crypto Tax Overhaul Bill

The US House Ways and Means Committee has advanced the Digital Asset Tax Certainty Act, a bipartisan bill aimed at overhauling federal taxes on various crypto activities. The measure was approved by a 38-5 vote, clearing the committee level and moving forward to the full House.

The bill targets areas where crypto users and intermediaries have faced unclear or complex guidance, establishing special tax treatment for qualifying dollar-pegged stablecoins and certain crypto lending agreements. It also extends wash-sale rules to widely traded digital assets, potentially affecting strategies that rely on selling an asset at a loss and repurchasing it to maintain exposure while offsetting taxes.

Another key provision addresses income from securing or validating networks, including new rules for mining and staking. Taxpayers will need to characterize rewards, calculate income, and structure recordkeeping around participation in network activity.