US Lawmakers Unveil Crypto Tax Plan—No Bitcoin Exemption Included - Crypto Economy

TL;DR:

• Representatives Max Miller and Steven Horsford released the “PARITY Act” discussion draft, proposing to reform the Internal Revenue Code for digital assets.
• The plan introduces a de minimis tax exemption for stablecoin payments under $200 but explicitly excludes Bitcoin from this benefit.
• Income from staking, lending, and passive validation would be treated as annual gross income, calculated based on the asset’s fair market value.

Representatives Max Miller and Steven Horsford released a discussion draft this Friday titled the “PARITY Act.“ This is a crypto tax plan that aims to transform the tax treatment of non-tangible assets. With this initiative, U.S. lawmakers seek to provide legal clarity to a fragmented regulatory environment.

The proposal includes specific technical criteria, such as the non-subjectivity to gains for stablecoins if the cost basis does not fluctuate by more than 1% relative to the dollar. Furthermore, the document details that income derived from staking, lending, or passive validation services must be integrated into the taxpayer’s annual gross income, calculated under the “fair market value” standard.

With this tax plan, they intend to promote transparency in stablecoin operations, allowing everyday payments to stay off the IRS reporting radar. However, the exclusion of the pioneer cryptocurrency sparked an immediate rift between decentralization advocates and the bill’s promoters.

On the other hand, prominent industry figures, such as Cody Carbone of the Digital Chamber, argue that this clarity is indispensable for crypto activity to take root definitively on U.S. soil. Nevertheless, the point of friction remains the lack of incentives for using BTC as a payment method.


The debate over Bitcoin’s exclusion and the future of the PARITY Act

The reaction from Bitcoiners was immediate, showing skepticism toward the draft. They argued that stablecoins, pegged to fiat money, do not represent true financial innovation. Pierre Rochard, CEO of The Bitcoin Bond Company, described the project’s direction as flawed, noting that Bitcoin truly deserves a tax exemption due to its decentralized nature.

Undoubtedly, this tax plan project—the PARITY Act—will generate intense debate among Congress, regulators, and market players. While it offers a structured framework for stablecoins and staking, the absence of Bitcoin from tax exemptions suggests that the path toward legally driven mass adoption still faces significant challenges.