U.S. Congress drafts new legislation: Stablecoin transactions may be exempt from capital gains tax, and mining staking can defer taxes for five years

[BitPush] The US Congress has taken new action. Ohio Republican Congressman Max Miller and Nevada Democratic Congressman Steven Horsford are jointly drafting a “Digital Asset Equality Act,” which appears to aim for a major overhaul of the tax system for the crypto market.

What’s the most eye-catching? First, transactions involving stablecoins under $200 will be directly exempt from capital gains tax. This will definitely save frequent traders a lot of trouble.

Second, regarding staking and mining income, the bill allows taxpayers to defer paying taxes for five years, giving holders some breathing room. After five years, taxes will be based on fair market value as ordinary income, which at least prevents sudden tax hits.

Another detail worth noting is that wash sale rules are also extended to digital assets. This means investors can no longer exploit the loophole of selling at a loss and immediately repurchasing to claim tax credits. Meanwhile, traders can use the market value accounting method, providing more flexibility for market participants.

To some extent, this draft attempts to balance the IRS’s current guidance with industry’s actual demands. Whether it will succeed depends on subsequent progress, but it at least indicates that reforming the cryptocurrency tax system has been put on the agenda.