Crypto Industry Urges Congress to Pass Tax Bill—But Will It Happen This Year?
Crypto trade groups are pressing Congress to pass a bill that would change how crypto mining and staking rewards are taxed, warning that any revisions could jeopardize the measure. The proposed Tax Clarity for Mining and Staking Act would exclude newly mined crypto and staking rewards from reportable income, unlike current rules that tax them when received. The bill drew significant pushback from House Democrats, who argued it could give crypto an unfair advantage over stocks and bonds and reshape markets. Democratic leaders have also said they do not expect to move crypto tax bills until after the midterm elections, when they may have more control of the House. Industry groups are trying to portray the current draft as a hard-won bipartisan compromise and are lobbying lawmakers directly. Separately, timing pressure is also affecting the Senate’s Clarity Act, which backers say must advance by August or face long odds of becoming law.
