US Lawmakers Push IRS to Fix Crypto Staking Tax Before 2026
Eighteen bipartisan US House lawmakers have urged the IRS to review and update rules on taxing crypto staking before 2026. They request that staking rewards be taxed only at the time of sale, arguing that current laws cause double taxation—first when rewards are received, then again at sale—which deters participation in blockchain staking. The lawmakers argue this situation harms both network security and US digital asset leadership. They also ask if any obstacles exist to updating guidance by year-end, supporting efforts to strengthen US digital innovation. Separately, House representatives introduced a draft proposal to ease crypto taxes, suggesting exemptions for small stablecoin transactions and allowing taxpayers to defer recognition of staking or mining rewards as income by up to five years.
