US lawmakers reintroduce crypto tax reform bill targeting IRS de minimis review

A bipartisan group of US lawmakers reintroduced a crypto tax reform bill on Wednesday that would direct the Internal Revenue Service to review de minimis exemptions for digital asset transactions.

The bill, known as the Digital Asset Protection, Accountability, Regulation, Innovation, Taxation and Yields Act, or Parity Act, was reintroduced by Representatives Steven Horsford (D-Nev.), Max Miller (R-Ohio), Suzan DelBene (D-Wash.) and Mike Carey (R-Ohio). The legislation aims to update the tax code to better address cryptocurrency use cases, including a provision that would require the IRS to analyze the impact of de minimis exemptions — small transaction thresholds that could simplify tax reporting for everyday crypto purchases.

For cryptocurrency traders and investors, the bill's focus on de minimis exemptions is significant because it could reduce the tax burden on small transactions, such as buying a coffee with Bitcoin or transferring small amounts between wallets. Currently, every taxable event must be reported, which creates friction for using crypto as a medium of exchange. If enacted, the reform could encourage broader adoption by making crypto more practical for daily use. Live crypto prices and charts on NowPrice show how regulatory clarity often correlates with market sentiment, and tax simplification is a key factor in institutional adoption.

The reintroduction comes after lawmakers reportedly met last week to discuss crypto tax reform, signaling ongoing bipartisan interest in updating the regulatory framework. The bill's next steps include committee hearings and potential amendments. Traders should monitor the legislative process, as any progress toward clearer tax rules could boost confidence in digital assets. The IRS study mandated by the bill would provide data on how de minimis exemptions might affect tax compliance and revenue, potentially shaping future policy.