U.S. Senator Lummis Proposes Adding Small Crypto Transaction Tax Exemption to "Build Back Better" Bill

BlockBeats News, July 1st, according to CoinDesk report, U.S. Senator Cynthia Lummis is attempting to quietly insert a key cryptocurrency tax provision into former President Donald Trump's massive budget reconciliation bill aimed at reducing the tax burden on basic cryptocurrency activities.

Lummis proposed on Monday to include relevant provisions in Congress's "Big Beautiful Bill," which include a provision to exempt small cryptocurrency transactions (under $300) from taxes, a move that industry insiders say would streamline the current practice of taxing both ends of core cryptocurrency activities—staking and digital asset mining.

The proposal also suggests setting the annual small transaction total limit at $5,000, significantly reducing the burden of calculating capital gains taxes for those who engage in only a small amount of digital asset trading. Industry insiders believe this will alleviate many potential users' concerns about trying cryptocurrency.

The amendment promoted by Lummis has not yet been voted on and also involves tax issues related to cryptocurrency lending, wash sales, and charitable donations.