The framework, developed by Representatives Max Miller and Steven Horsford, would exempt regulated, dollar-pegged stablecoin transactions below $200 from capital gains taxes, while leaving other crypto trades under existing rules. It would also resolve a long-running dispute over the taxation of staking and mining rewards. It would give taxpayers the option to defer taxes on those rewards for up to five years.
At the end of that period, the rewards would be taxed as income based on fair market value. The proposal would also bring digital assets under securities-related tax rules, permit eligible traders to use mark-to-market accounting, and extend wash-sale restrictions to crypto assets.
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