B Rep. Max Miller Unveil Crypto Tax Bill, Includes De Minimis Rules

Rep. Max Miller is circulating a 14-page draft of a proposed crypto tax bill in the U.S. House of Representatives. The framework targets stablecoin payments, digital asset borrowing, and the tax timing of mining and staking rewards. It introduces measures that tighten how current tax rules apply to crypto transactions.

That crypto tax bill came to the surface after congressional reporter Laura Weiss flagged it in an X post. She named Representative Steven Horsford as the Democratic co-lead on the push. The pairing is a sign of bipartisan cooperation at the drafting stage. The suggested legislation has not been formally introduced.

Crypto Tax Bill Sets $200 Stablecoin De Minimis Rule

The statutory language suggests that the exemption is an administrative action. It is not meant to protect profits on your investments. Also, the draft states that continuing technical work has focused on whether there should be an annual aggregate limitation. The provision aims to stop repeated use of the exclusion from weakening tax collection.

Regulators are expected to supplement the bill with detailed rules and guidance. The measures would target anti-abuse rule involving related individuals or entities. The framework would also address coordinated arrangements designed to trigger multiple unintended exclusions from gross income.

Guidance may include requirements for recordkeeping and reporting. It could provide rules for allocating basis and characterizing appreciation when the exclusion is inapplicable. The model addresses cross transactions with goods, services

Digital Asset Lending and Staking Rules

In addition, another significant segment is the digital asset lending industry. The bill extends nonrecognition treatment to true lending of fungible and liquid digital assets. The lender must have the right to receive back identical property.

The draft limits this approach to misuse. Lending transactions cannot function as a sale or disposal. The Treasury would issue guidance to prevent disguised sales, basis shifting, and other tax avoidance practices.

The lending provision doesn’t cover some asset classes. This includes non-fungible tokens, illiquid digital assets and thinly traded tokens. The provision excludes tokenized securities and synthetic or derivative-based instruments.

The bill extends to income from mining and staking as well, with the Crypto tax compliance. It describes mining or staking as a process of validating transactions on an encrypted shared ledger. Taxpayers could have opted to defer recognition of incentives. And the deferral period would last through the end of calendar 5th taxable year following receipt.