Senator Cynthia Lummis (R-WY) has introduced standalone legislation to modernize U.S. crypto taxation, targeting everyday users and miners. The bill aims to eliminate reporting burdens for small transactions and resolve double taxation issues plaguing the industry.
• $300 De Minimis Exemption: Capital gains tax waived for transactions under $300 (capped at $5,000 annually) .
• Staking/Mining Reform: Rewards taxed only upon sale, not at receipt .
• Lending & Charity Clarity: Tax exemptions for crypto lending agreements and charitable contributions .
• Wash Sale Rules: 30-day restriction applied to crypto, aligning with traditional assets .
Industry Impact
The bill addresses widespread frustration with current IRS policies, where miners/stakers face double taxation and small transactions trigger complex reporting. Lummis emphasized the legislation is “fully paid-for” and cuts “bureaucratic red tape” to reflect real-world crypto use . This follows failed attempts to include crypto reforms in President Trump’s recent budget bill .
Next Steps
The standalone proposal now moves through Congress. If passed, it would mark the most significant crypto tax overhaul in U.S. history, potentially accelerating mainstream adoption by simplifying compliance .
