The House Ways and Means Committee is scheduled to consider H.R. 10357, the Digital Asset Tax Certainty Act, on September 16. The legislation represents a broad rewrite of digital-asset taxation after months of negotiations over how closely cryptocurrency should be treated like traditional financial assets.
The Joint Committee on Taxation estimates the bill would increase federal receipts by approximately $500 million net from fiscal 2027 through 2036, after accounting for provisions that both raise and reduce government revenue. The package addresses stablecoins, transaction fees, trading losses, digital-asset lending, staking, and past tax violations.
Stablecoin Relief and Small-Fee Exemption
The legislation offers special treatment for qualifying US dollar stablecoins to prevent minor price movements around their $1 peg from creating taxable gains or losses on routine transactions. Redemption value would generally determine the basis for these transactions within prescribed bands around the peg.
The bill would also disregard gains or losses when digital assets are used to pay network or transaction fees of no more than $10, covering costs such as blockchain gas fees and certain trading charges. This provision takes effect for transactions after December 31, 2027, and carries one of the package's highest costs, with estimates showing it would reduce federal receipts by $2.365 billion through 2036.
Revenue Recovery Through Trading Rules
Lawmakers would offset revenue reductions by ending a tax advantage held by crypto investors. The bill extends wash-sale restrictions to traded digital assets other than qualifying stablecoins, preventing investors from immediately repurchasing assets sold at a loss for tax purposes. The Joint Committee estimates this change would increase federal receipts by $1.707 billion over the budget window.
The legislation also expands access to mark-to-market accounting for digital-asset dealers and traders whose activities qualify as a trade or business. This provision is estimated to raise $2.332 billion through 2036. Together, the trading provisions are expected to generate more than $4 billion in receipts.
Lending, Staking, and Compliance
The package extends tax treatment available for securities lending to qualifying digital-asset loans, potentially removing uncertainty over whether temporarily transferring crypto under a lending agreement constitutes a taxable sale.
Investment trusts would be permitted to maintain their tax status even if their trustee stakes digital assets held by the vehicle. However, the proposal is more limited for individual miners and stakers, classifying validation income as ordinary income while maintaining existing timing rules that generally recognize staking rewards when a taxpayer obtains control of them.
The bill would direct the Treasury to establish a Digital Asset Voluntary Disclosure Program, allowing eligible taxpayers to correct past filings, pay outstanding tax and interest, and potentially receive relief from certain penalties.
The committee markup represents the first legislative test of these compromises. Members can amend the measure before voting, and approval would still require a House floor vote, Senate consideration, and presidential action.
