The U.S. House Committee on Financial Services and Taxation announced the Digital Asset Tax Certainty Act, with a transaction fee exemption below $10, before Wednesday's markup session.

The U.S. House Committee on Financial Services and Taxation on Monday announced the Digital Asset Tax Certainty Act ahead of the planned Wednesday markup and amendments session. The bill, introduced by Committee Chairman Jason Smith, a Republican lawmaker from Missouri, consolidates several proposals that lawmakers discussed during the committee hearing in June, marking a new step in efforts to establish a clearer federal tax framework for crypto assets.

Fee rules, stablecoins, and accounting methods

One of the most notable provisions is a de minimis fee exemption for fees paid using crypto assets: users who pay network fees or transaction fees that qualify will not have to recognize gains or losses if the fee is $10 or less.

The bill also addresses cases where eligible stablecoins are pegged to the U.S. dollar but have a slight price deviation from the 1 USD benchmark; accordingly, the conversion value of the stablecoin will generally be considered the basis for tax calculation if the asset is purchased at a price sufficiently close to that conversion value.

In addition, taxpayers may choose to apply a simplified annual accounting method for widely traded crypto assets. Both the fee rules and this change in accounting method are expected to take effect in 2028.

Regarding mining and staking activities, the bill provides that income from these two activities will generally be taxed as ordinary income, but it allows certain investment trusts to perform staking on held assets without changing the trust’s tax status.

Notably, the option to defer recognizing income for certain newly created crypto assets—previously included in an earlier bill on mining and staking that industry representative groups had lobbied for to be kept as-is—has not been included in this new version.

The bill also expands the application of sale transaction rules to recognize a loss and then repurchase a crypto asset: a loss may not be allowed for tax purposes if the seller repurchases that same asset or an asset that is essentially identical within 30 days before or after the sale.

Meanwhile, transfers of widely traded crypto assets, if they meet conditions under loan agreements, will not be considered sale or exchange transactions; this loan-related and anti-abuse measure was introduced by lawmakers before the June hearing.

Besides the tax and accounting provisions, the bill also requires the U.S. Department of the Treasury to establish a Digital Asset Voluntary Disclosure Program within 12 months after the law is enacted, allowing eligible taxpayers to amend prior tax returns and pay any tax, interest, and penalties that may still be due.

The fact that the bill is released immediately before the fourth markup session shows the Committee’s effort to speed up the legislative process on crypto asset taxes, in a context where the crypto industry is still awaiting more comprehensive legal clarity from Congress.