According to reports, a group of US lawmakers intends to submit legislation to modify the reporting requirements for specific taxpayers engaged in cryptocurrency transactions.
Punchbowl News reported on March 7 that Representatives Ritchie Torres and Patrick McHenry intend to reintroduce the Retain Innovation in America Act. President Joseph Biden signed the measure in November 2021, and McHenry was one of the main proponents of the earlier proposed bill to alter the definition of a broker as stated in the U.S. infrastructure statute.
According to a bill draft, the deadline for brokers to disclose to the Internal Revenue Service any transactions involving digital assets worth more than $10,000 would be postponed from 2024 to 2026. “Miners and validators,” “hardware and software developers,” and “protocol developers” would not be regarded as brokers.
As the infrastructure package was being discussed in Congress in 2021, some politicians saw potential conflicts and made an effort to alter the proposal. Several people continue to oppose the regulation for placing onerous obligations on businesses and people to disclose cryptocurrency activity.
US to redefine “digital assets” in crypto regulations
The amended bill allegedly has clauses added by McHenry and Torres that restrict how broadly the United States government might define the phrase “digital asset.” Punchbowl reports that a bipartisan group of seven additional House members, including pro-crypto Representative Darren Soto, have endorsed the bill as co-sponsors.
The proposed law declares:
“Consistent and accurate reporting on digital asset transactions is necessary. Congress must work to bring legal and regulatory certainty to the digital asset industry. Clear rules of the road fosters technology and innovation.”
At the beginning of the 118th Congress in January, McHenry succeeded Maxine Waters as chair of the House Financial Services Committee. He assisted in the formation of a subcommittee on digital assets, financial technology, and inclusion in his capacity as chairman, and the group will hold a hearing on March 9th.
