The U.S. Bipartisan Effort to Advance Cryptocurrency Tax Legislation Aims to Complete the Final Piece of the Regulatory Framework

According to Forbes, the U.S. Congress is pushing a bipartisan-supported cryptocurrency tax bill that is expected to become another significant piece of crypto legislation following the CLARITY Act.

House Ways and Means Committee Chairman Jason Smith stated that legislation related to digital asset taxation cannot be achieved without bipartisan consensus, as bills lacking cross-party support will be difficult to pass and implement.

Against this backdrop, Representatives Steven Horsford, Max Miller, Suzan DelBene, and Mike Carey jointly introduced the Digital Asset Protection, Accountability, Regulation, Innovation, Taxation, and Revenue Act, abbreviated as the PARITY Act.

The bill aims to address gaps in current digital asset tax rules, build a clearer regulatory system, protect investors' rights, and curb various market manipulation behaviors.

Representative Steven Horsford said that the new bill will enable ordinary investors to participate more safely in digital asset trading and provide the public with opportunities to grow their wealth.

Max Miller pointed out that the current U.S. tax laws are no longer suitable for the rapid development of digital assets and modern financial technology, reflecting lawmakers' concerns about the lagging nature of the existing tax system.

Currently, the PARITY Act and the ongoing CLARITY Act are viewed as core components of establishing a comprehensive regulatory system for U.S. crypto assets. The coordinated advancement of both bills is of great significance for building a complete regulatory framework.

Congress released a tax draft in March this year and held a bipartisan roundtable at the end of the month, highlighting lawmakers' high regard for crypto taxation.

Meanwhile, industry practitioners are closely watching whether the CLARITY Act can be passed by 2026.

In summary, if both bills are ultimately enacted and complemented by subsequent rules under the GENIUS Act, the U.S. crypto industry will enjoy a clearer regulatory environment, further promoting Web3 and DeFi to enter the mainstream financial system.

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