House Committee Considers Crypto Tax Overhaul Aimed at Raising $500 Million

The House Ways and Means Committee will mark up H.R. 10357, the Digital Asset Tax Certainty Act, on Sept. 16. The bill proposes a broad rewrite of U.S. tax rules for digital assets, balancing tax relief for everyday crypto users with new revenue‑generating provisions for traders and dealers.

Stablecoin and fee relief

Qualifying U.S. dollar‑pegged stablecoins would receive special treatment: gains or losses from minor price movements around the $1 peg would be ignored, and the redemption value would set basis and proceeds for transactions within defined bands. The relief excludes traders, brokers, dealers, high‑volume users (over 5,000 transactions), and taxpayers whose functional currency is not the dollar.

Transaction‑related fees of $10 or less – such as blockchain gas fees or certain liquidity charges – would also be excluded from taxable income for dispositions after Dec. 31, 2027. The Joint Committee on Taxation (JCT) estimates this fee exemption would reduce federal receipts by $2.365 billion through 2036.

New trading restrictions and accounting rules

The bill would extend wash‑sale rules to most digital assets, preventing investors from selling at a loss and immediately repurchasing the same or economically equivalent tokens to claim the loss. JCT projects this change would add $1.707 billion in revenue.

It also expands mark‑to‑market accounting to digital‑asset dealers and traders who qualify as a trade or business, potentially generating $2.332 billion in additional receipts. Together, the trading provisions are expected to produce over $4 billion.

Lending, staking and investment trusts

Tax treatment for digital‑asset loans would mirror securities‑lending rules, allowing qualified loans to avoid immediate gain or loss recognition. Investment trusts would retain tax‑exempt status even if trustees stake the trust’s digital assets.

Validation (mining) income would be taxed as ordinary income with specific sourcing rules, while staking rewards would continue to be recognized when the taxpayer gains control, without the deferral some industry proposals seek.

Voluntary disclosure pathway

The Treasury would be directed to create a Digital Asset Voluntary Disclosure Program, giving taxpayers a route to correct past filings, settle taxes and interest, and potentially obtain penalty relief.

Fiscal outlook

After accounting for both revenue‑raising and revenue‑reducing measures, JCT estimates the bill would increase net federal receipts by roughly $500 million from fiscal 2027 through 2036. The final impact could shift if the committee amends the wash‑sale, fee, or stablecoin provisions during markup.