On 21 December 2025, Reps. Max Miller and Steven Horsford unveiled the Digital Asset PARITY Act, a draft tax framework that would exempt regulated, dollar‑pegged stablecoin transactions under $200 from capital gains taxes. They say the change would ease record‑keeping burdens.
The exemption would apply only to stablecoins issued by permitted entities under the GENIUS Act, backed by US dollars and trading within a tight band around $1. Brokers and dealers would not qualify, and other cryptocurrencies remain excluded, underscoring the bill’s focus on payments. Lawmakers may add a cap to deter abuse.
The draft also addresses staking and mining rewards. Current IRS rules tax these rewards when received, prompting complaints that holders pay taxes before realizing gains. A previous Senate proposal sought to defer taxation until sale, but the House bill proposes a compromise.
Participants could elect to defer income recognition for up to five years. After that period, rewards would be taxed as ordinary income at fair market value. The measure seeks to balance revenue collection with industry concerns about liquidity.
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In addition to payments and rewards, the bill would align crypto with existing securities rules. It would extend wash‑sale restrictions and apply securities‑lending principles to qualifying digital asset loans, ensuring that lending fungible tokens does not trigger a taxable event. Eligible traders could use mark‑to‑market accounting to recognize annual gains and losses, and some appraisal requirements for large digital-asset donations would be waived.
Key provisions would apply to tax years beginning after 31 December 2025. Miller hopes the package could reach a vote before August 2026. According to analysts, the draft could signal bipartisan support for clear digital asset tax rules, offering a more predictable framework for consumers and investors.
Both Miller and Horsford sit on the House Ways and Means Committee. They frame the PARITY Act as a pragmatic step toward integrating digital assets into the tax code. Several US states have already passed de minimis exemptions for crypto payments, signalling that momentum for national standards is building today. Furthermore, the PARITY Act is still a discussion draft; its provisions could evolve as lawmakers negotiate details and industry stakeholders weigh in.