Saylor and Lummis call to end double taxation on Bitcoin mining rewards.
Proposal includes a $300 exemption to ease reporting burdens.
Reform could restore U.S. leadership in the global crypto sector.
Senator Cynthia Lummis and MicroStrategy Chairman Michael Saylor are leading a push to change how the IRS taxes Bitcoin miners and stakers. The current system treats mining and staking rewards as immediate income, then taxes them again later as capital gains when sold. This double taxation discourages innovation and pushes crypto businesses overseas.
Lummis argues that taxing digital assets twice is inconsistent with how traditional businesses are taxed. It creates liquidity problems for miners, especially during bear markets when asset values fall after rewards are issued.
A Fairer System for Miners and Stakers
The proposed legislation would change when and how rewards are taxed. Instead of taxing rewards at the time they are received, miners and stakers would only owe taxes when they sell or convert those assets. A key part of the plan is a $300 de minimis threshold—if the reward is worth less than this amount, it would not be taxed immediately.
This move is designed to simplify the tax process, reduce paperwork, and prevent small-scale miners and validators from facing unfair burdens. It would also align U.S. crypto tax rules with international standards, making the country more competitive.
UPDATE: Michael Saylor and Sen. Cynthia Lummis push to end double taxation on Bitcoin miners and stakers, calling it a barrier to U.S. leadership in crypto. pic.twitter.com/3JWsXFxEYl
— Cointelegraph (@Cointelegraph) July 1, 2025
Strengthening U.S. Crypto Leadership
Michael Saylor, a long-time Bitcoin advocate, says this tax reform is essential if the U.S. wants to stay at the forefront of blockchain innovation. With countries like El Salvador, the UAE, and Singapore offering favorable conditions for miners, the U.S. risks falling behind.
Senator Lummis adds that clarity in tax policy will attract investment and talent, securing the nation’s position in the future of digital finance. Removing double taxation would make the U.S. a more attractive hub for crypto operations, creating jobs and boosting economic growth.
Read Also :
Saylor and Lummis Push to End Bitcoin Miner Taxes
Fidelity Purchases 10,283 ETH in Strategic Crypto Move
Bitcoin Rally Slows as Volume Drops: Bitfinex
Best Long-Term Cryptos For 2025: BlockDAG’s Reward System Could Surpass ONDO, RNDR, & DOT
Robert Kiyosaki Buys More Bitcoin, Eyes $1M Target
The post Saylor and Lummis Push to End Bitcoin Miner Taxes appeared first on CoinoMedia.
