US House Crypto Tax Package Excludes Mining Reward Deferral

The US House Ways and Means Committee is set to review a broad tax package aimed at clarifying parts of the federal crypto tax regime. The 114-page bill, H.R. 10357, or the Digital Asset Tax Certainty Act, includes provisions for treatment of crypto fees, stablecoins, wash-sale rules, and simplified accounting for widely traded digital assets.

However, a key provision that would have allowed some miners and stakers to delay taxation on rewards until the tokens are sold has been left out. Representative Mike Carey's proposal, the Tax Clarity for Mining and Staking Act, included this mechanism, which would have allowed taxpayers to choose between recognizing newly created tokens as income when received or treating them like self-created property and paying tax later.

Without deferral, mining and staking rewards would remain taxable at receipt or when brought under the recipient's control. This distinction matters for miners and stakers, who may hold tokens due to volatility and operational reasons rather than immediately selling them.