Crypto advocacy groups are calling for U.S. legislation to clarify tax treatment for mining and staking income, urging the House to support a proposed bill.
Leading advocacy organizations in the cryptocurrency sector are urging the U.S. House tax committee to advance legislation that would clarify how taxes are applied to income derived from mining and staking activities.
Industry Calls for Support of Tax Legislation for Miners and Stakers
Despite some reservations about a proposed bill in the U.S. House, prominent crypto groups are advocating for its passage without amendments. The legislation, introduced by Republican Representative Mike Carey of Ohio, would allow miners to delay recognizing the taxable income from newly generated crypto assets.
This push is part of the broader Tax Clarity for Mining and Staking Act currently under review by the U.S. House Ways and Means Committee. The bill aims to give miners and stakers the option to report taxes on their newly acquired assets either at the time of receipt or when they decide to sell them.
Summer Mersinger, CEO of the Blockchain Association, noted, "The tax code should not compel Americans who contribute to securing decentralized networks to sell assets prematurely to meet an immediate tax obligation," emphasizing the need for the bill to proceed without modifications. This sentiment is echoed by leaders from the Digital Chamber and the Crypto Council for Innovation.
While the Digital Asset Market Clarity Act remains the primary focus for the industry, taxation has gained increased attention as a secondary priority. This issue was highlighted during a recent committee hearing where Carey's proposal was discussed along with other bills.
However, some Democrats on the committee have raised concerns about the bill's implementation. Critics, including the Revolving Door Project, argue that it could allow companies like American Bitcoin—backed by President Trump's sons—to defer taxes indefinitely while benefiting from their assets.
The industry response clarified that the bill does not permit unlimited tax deferral but aims to ensure that income is reported without imposing immediate taxation before taxpayers can realize the asset's value.
Efforts to reform crypto tax policies have been ongoing for years, but the current bills are still in preliminary stages as the congressional session approaches its end, leaving their fate uncertain. Meanwhile, the Senate is focused on the Clarity Act, which is still under negotiation, with hopes for floor consideration by mid-July, though significant issues remain unresolved.
