The US House Ways and Means Committee approved H.R. 10357, known as the Digital Asset Tax Certainty Act, in a 38-5 markup vote on September 16, 2026. Committee Chairman Jason Smith called the event a historic milestone as Republicans and Democrats sat down together to draft the first federal digital asset tax framework.
The global digital asset market valuation surpassing $2 trillion served as a key argument. During the committee proceedings, Smith emphasized the need for tax clarity to prevent crypto companies and jobs from moving outside the United States. Alongside drafting the text, the committee also considered an amendment in the nature of a substitute that updated the initial draft with similar language.
Small Transactions Exempt, Wash-Sale Rules Applied
A key provision in the bill changes routine activity for crypto users. Taxpayers will no longer need to recognize capital gains or losses when using digital assets to pay for network fees and transactions, provided the amount does not exceed the $10 threshold. This reporting exemption eliminates administrative burdens for users simply sending small on-chain transfers.
That relief comes at a cost for market traders. Wash-sale rules, which previously did not apply to crypto transactions, will now take effect. Investors will lose the option to use an old tactic: selling coins when prices drop to lock in tax losses, then immediately repurchasing the same coins. The committee also set September 14, 2026, as the reference date for applying wash-sale rules, constructive sale rules, oversight of certain foreign entities, and reporting requirements for registered digital assets.
A Separate Path from the CLARITY Act
This tax enforcement effort follows a legislative path separate from the CLARITY Act. The previous bill focused on reforming the digital asset market structure but ultimately failed to gain Senate approval. This time, lawmakers strictly limited discussions to federal tax obligations.
H.R. 10357 still needs time before becoming binding law. The tax measure requires full approval from both the US House and Senate. Both legislative chambers must approve identical text before sending the bill to the President’s desk. Upcoming votes will prove whether this draft can escape the rejection that derailed previous crypto legislation.
Reported by crypto.news.
Read also: US Crypto Bill Fails in Senate 49-50 - Industry Fate Now in SEC Hands
Disclaimer: This article is for informational and educational purposes only, not financial advice. Cryptocurrency assets are highly volatile and carry significant risk. Always do your own research (DYOR) and never invest more than you can afford to lose.
