House legislators from both political parties have published draft tax guidelines for digital currencies that would create special protections for qualifying stablecoin transactions and settle questions about when staking rewards face taxation, according to a Bloomberg report released Saturday.
Ohio Republican Max Miller and Nevada Democrat Steven Horsford, members of the House Ways and Means Committee, introduced the Digital Asset PARITY Act. The discussion document would spare transactions with regulated stablecoins pegged to the dollar and valued below $200 from capital gains taxes—an approach designed to ease compliance requirements for everyday uses. Traditional cryptocurrencies would not receive this special treatment.
“Like any emerging technology, cryptocurrencies need guardrails that allow innovation to grow while protecting consumers and the integrity of our tax system,” Horsford explained to KOLO. “Today, even the smallest crypto transaction can trigger tax calculation while other areas of the law lack clarity and invite abuse.”
To benefit from the safe harbor provision, stablecoins must be distributed by issuers authorized under the GENIUS Act, maintain exclusive linkage to the US dollar, and have demonstrated price stability within 1% of $1.00 for a minimum of 95% of trading days across the prior year. The exemption excludes financial intermediaries such as brokers and dealers. The draft reveals that policymakers are still deliberating whether to establish an annual cumulative cap to avoid allowing the provision to mask investment earnings.
