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U.S. Lawmakers Propose $200 Tax Exemption for Stablecoin Buys, Blooberberg Reports

Representatives Max Miller and Steven Horsford introduced draft legislation that exempts small #stablecoin transactions from capital gains taxes while offering crypto miners and stakers a five-year tax deferral option, Bloomberg reported. The Digital Asset PARITY Act targets routine consumer purchases made with regulated stablecoins pegged to the dollar.

The proposed framework eliminates tax reporting requirements for stablecoin payments worth $200 or less. Qualifying assets must maintain prices within 1% of $1.00 for at least 95% of trading days over 12 months and carry approval under the #GENIUSAct. Brokers and dealers cannot access this exemption, and Treasury retains power to block abuse through additional reporting rules.

Lawmakers designed the safe harbor to address the compliance burdens that everyday crypto users face. Miller and Horsford, both serving on the House Ways and Means Committee, framed the measure as necessary infrastructure for digital asset adoption. The bill would take effect for tax years starting after Dec. 31, 2025.

The #staking provision offers taxpayers a middle ground between current IRS rules and industry demands for complete deferral. Under Biden-era guidance confirmed in October 2024, mining and #mining rewards face immediate taxation upon receipt. The new bill allows users to elect a five-year deferral period before rewards are taxed as ordinary income at fair market value.

Senator Cynthia Lummis previously introduced legislation calling for full deferral until sale. The Miller-Horsford approach splits the difference, describing the compromise as one that balances immediate taxation against complete postponement. The Trump administration has voiced support for #crypto tax relief measures.