U.S. House of Representatives passes revised bill to adjust cryptocurrency tax policy again

According to CoinDesk, U.S. Congressmen Steven Horsford and MaxMiller have reintroduced the Digital Asset Protection, Regulation, Innovation, Taxation and Income Act (PARITY Act) to amend the way the IRS handles crypto taxes.<br /> The bill was first released in a discussion draft in December last year and was re-issued for further review on March 26 this year. The bill removes the previous $200 tax exemption threshold for small transactions and stipulates that when transactions are used with regulated payment stablecoins, no gains or losses will be recognized unless the taxpayer's cost base of holding the stablecoin is less than 99% of its redemption value., and sets a recognized cost base of $1 for exchange transactions.<br /> The bill also applies laundering rules to digital asset transactions and distinguishes between activities such as "passive pledge" and transactions. It is unclear what the bill will take next, but industry insiders are expected to push vigorously to include encryption provisions in tax legislation that could become law.