Biden’s 2025 budget targets crypto tax loopholes, expands digital asset oversight
The Biden administration's 2025 budget proposes regulatory measures targeting digital assets to generate nearly $10 billion in additional tax revenue. The measures aim to close loopholes benefiting wealthy crypto investors, update tax rules for digital assets, enhance reporting requirements for financial institutions and digital asset brokers, and require reporting of foreign digital asset accounts. The budget also projects over $9 billion in tax revenue from applying wash sale and mark-to-market rules to digital assets, and introduces an excise tax on crypto mining operations to decrease the national deficit by approximately $7 billion. Additionally, the budget includes provisions for reduced costs for families, more robust Social Security and Medicare, higher taxes on corporations and wealthy individuals, and aims to trim deficits by $3 trillion over a decade while raising tax revenues by $4.9 trillion and allocating roughly $1.9 trillion to various programs.
