House Ways and Means Chair Jason Smith introduced a 114-page crypto tax bill Monday that would exempt network fees under $10 from taxation, with a committee markup scheduled for Wednesday, September 16 at 10 a.m. ET.
The Digital Asset Tax Certainty Act, H.R. 10357, incorporates provisions from bipartisan legislation by Rep. Steven Horsford (D-Nev.) and Rep. Max Miller (R-Ohio). The measure addresses de minimis transactions, gain and loss accounting, transfers, wash sale rules, mining, staking and broker requirements.
Who Benefits From the Fee Exemption
The bill would eliminate taxes on de minimis network or transaction fees—any fee under $10. Since every swap, bridge and transfer on a blockchain carries a fee, this provision would apply to most cryptocurrency users who actively trade rather than simply hold assets.
However, the exemption contains a significant restriction: users who engaged in more than 5,000 transfers in the prior year would not qualify. This threshold excludes high-frequency traders and automated trading strategies from the benefit.
Wash-Sale Rules Extended to Crypto
The bill also addresses a tax treatment difference between crypto and stock markets. Currently, cryptocurrency traders can sell at a loss, immediately repurchase the same asset, and still claim the tax deduction—a strategy not available to stock investors. The legislation would apply wash-sale and constructive-sale rules to digital assets while excluding qualified U.S. dollar stablecoins. Analysts estimate this provision would generate $2.074 billion in revenue over fiscal 2026 through 2036.
Mining and Staking Provisions Uncertain
A companion provision would allow miners and stakers to defer income on newly created tokens until they sell them, with an estimated cost of $2.956 billion over the same decade. This provision has emerged as a key tension point in negotiations, with reports indicating committee Republicans were strongly considering dropping it. Other options under discussion include keeping the deferral as written or capping it with a five-year limit.
Legislative Outlook
Smith characterized the effort as an attempt to give taxpayers clearer rules for digital assets, arguing existing frameworks had not kept pace with new financial technology. However, reports suggest the bill is unlikely to become law in 2026, with limited House floor time remaining before November.
