House Crypto Tax Package Omits Key Provisions for Miners and Stakers

The US House Ways and Means Committee has published a crypto tax package that leaves out a key provision allowing miners and stakers to defer taxation of rewards until they are sold. The Digital Asset Tax Certainty Act, H.R. 10357, covers various aspects of crypto taxation but omits the reward-timing provision contained in Representative Mike Carey's Tax Clarity for Mining and Staking Act.

Under current rules, mining and staking rewards would remain taxable when received or brought under the recipient's control, potentially before they are sold for cash. The bill, however, retains some of its mining and staking provisions, including classifying income from blockchain validator activities as ordinary income and allowing qualifying investment trusts to stake digital assets without losing their trust status.

The package also proposes special tax treatment for qualifying US dollar stablecoins and would allow qualifying digital asset loans to occur without being treated as taxable sales. Other provisions include simplified accounting for widely traded crypto assets, extended wash-sale and constructive-sale rules to crypto, and a voluntary disclosure program for taxpayers seeking to correct earlier digital asset tax violations.