Trump adviser Patrick Witt has backed six cryptocurrency tax bills in the House of Representatives, as lawmakers seek to clarify rules for staking, mining, and digital asset transactions.
summary
- Patrick Witt has backed six cryptocurrency tax bills in the House of Representatives covering staking, mining, cryptocurrency payments, and tax reporting rules.
- Lawmakers split the proposals into separate bills, allowing individual measures to advance independently.
- Witt’s support comes as Congress is also debating the Clarity Act ahead of a potential vote in the Senate before August.
According to statements posted on X, White House cryptocurrency adviser Patrick Witt praised the House Ways and Means Committee’s recent tax proposals, writing:
“Clarity on market structure, parity on taxation. Great job, Ways and Means Committee.”
The endorsement arrived ahead of a committee hearing on June 9 examining six separate tax measures for cryptocurrencies. Instead of combining the proposals into a single bill, lawmakers chose to introduce them individually, a structure that could allow some provisions to move forward even if other provisions face opposition.
Among the measures under review are the Less Tax Paperwork Act for Digital Asset Owners, the Charitable Deductions for Donations of Digital Assets Act, the Mining and Storage Tax Clarity Act, the Act Providing Similar Rules for Digital Assets, the Digital Asset Voluntary Disclosure Program Act, and the application of existing anti-tax abuse rules to digital asset law.
The proposals focus on unresolved cryptocurrency tax issues
Committee documents show that the legislation targets several areas that remain unclear under current tax guidance.
Particular attention has focused on the Mining and Staking Tax Clarity Act, which would determine when staking and mining rewards become taxable. This issue has been discussed throughout the cryptocurrency industry because investors may sometimes face tax liabilities on tokens whose value later declines sharply during market downturns.
Another proposal attracting attention is a less tax paperwork law for digital asset owners. Under current Internal Revenue Service rules, even small cryptocurrency transactions can create taxable capital gains events that require recordkeeping and reporting.
If approved, the measure would create a de minimis exemption for certain low-value transactions, reducing reporting requirements for daily cryptocurrency payments.
Additional bills would clarify the tax treatment of digital asset donations, apply anti-abuse provisions to cryptocurrencies, and create a voluntary disclosure program for taxpayers seeking to correct past filings related to cryptocurrencies.
Among the witnesses scheduled to appear at the June 9 hearing are representatives of Coinbase, Fidelity Investments, Coin Center, Crypto Council and The Digital Chamber, according to committee information.
Support extends beyond tax legislation
Whitt’s support for the tax package comes on the heels of his recent defense of the CLARITY Act, another major digital asset proposal currently moving through Congress.
During the Blockchain Association’s town hall I mentioned By crypto.news last week, Witt argued that the CLARITY Act would strengthen regulatory oversight while remaining consistent with law enforcement goals.
His comments came as critics questioned whether parts of the bill could complicate efforts to combat illicit finance, while supporters asserted that the legislation would place more cryptocurrency activity under federal oversight.
Elsewhere on Capitol Hill, Senator Cynthia Lummis urged lawmakers to move quickly on digital asset legislation. According to recent market updates, Loomis warned that Congress may not have another meaningful opportunity to pass comprehensive crypto rules until 2030 if current efforts fail.
The Senator has too Shown A Senate vote on the CLARITY Act is now more likely before the August recess than it was before July 4. The bill previously received approval from the Senate Banking Committee by a vote of 15 to 9, and has since been placed on the Senate legislative calendar while negotiators continue to discuss revisions.
With tax legislation advancing in the House and market structure legislation in the Senate, lawmakers are simultaneously considering two of the most important cryptocurrency policy initiatives currently under consideration in Washington.
