In the latest amendment released yesterday, Senators Ron Wyden (D-Ore.), Cynthia Lummis (R-Wyo.), and Pat Toomey (R-Penn.) proposed excluding crypto miners, node operators, developers, and other non-custodial cryptocurrency industry participants from a new regulation that requires reporting crypto transactions over $10,000 to the <a href="https://www.cryptoknowmics.com/news/us-district-court-authorize-internal-revenue-service-to-obtain-user-information/">IRS</a>.
<h2><strong>Senate Amends Infrastructure Bill in Favor of Crypto Miners</strong></h2>
In an <a href="https://www.toomey.senate.gov/imo/media/doc/cypto_amendment.pdf" target="_blank" rel="nofollow noopener">amendment</a> to the bipartisan infrastructure bill, Democratic Sen. Ron Wyden of Oregon and Republican Sens. Cynthia Lummis of Wyoming and Pat Toomey of Pennsylvania ensured that cryptocurrency miners and other non-financial intermediaries are exempt from the crypto tax reporting provision in the new U.S.’ infrastructure bill.

The change of heart comes after Toomey criticized the draft regulations released last weekend warning that the language in the bill is too vague in terms of brokers including bitcoin miners and other non-financial intermediaries to report tax collectors on data they don’t have access to.

The amendment clarifies that ‘brokers’ only signifies trading platforms where consumers conduct transactions on exchanges where consumers buy, sell and trade digital assets.

The original proposal seeks to fund $1 trillion in infrastructure improvements through tax enforcement on crypto entities due to the possibility that it might have included the definition of a broker to include non-custodial entities.
<h2><strong>Amendment Needs to Go through Majority Support</strong></h2>
Despite garnering support from a handful of Republicans, the amendment still needs support from 60 senators to pass and has yet to receive support from <a href="https://www.cryptoknowmics.com/news/leader-of-the-house-democrats-gathering-working-group-focused-on-cryptocurrencies/">Democrats</a>.

The Senate is expected to discuss these issues through the rest of the week. However, the overall process of passing the bill is likely to take months. Besides, the bill also has gone to the House of Representatives which will also discuss the bill before voting on it.

Congress's Joint Committee on Taxation estimates the original proposal would generate about $28 billion in fiscal revenue over the next decade but it's unclear how the targeted amendment would affect that figure.

Senate Infrastructure Bill Exempts Crypto Miners from New Tax Rules

In an amendment to the infrastructure bill senators ensured that crypto miners and other non-financial intermediaries are exempt from tax reporting.

Jafrin is a cryptocurrency journalist/researcher fascinated by the world of decentralization. She is hopeful towards blockchain’s innovation and its potential to reshape the world for good. Currently, she is bringing out the best of cryptosphere via covering the latest ins and outs of the blockchain space.

Senate Infrastructure Bill Exempts Crypto Miners from New Tax Rules

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