cryptotax

U.S. Senator Cynthia Lummis is once again shaking up the crypto world. This time, she’s introducing a bold tax proposal that could radically change how cryptocurrencies are taxed in the United States – and finally bring much-needed relief to Bitcoin miners.

⚖️ Tax Only at the Point of Sale, Not with Every Use
In a June 30th post on X (formerly Twitter), Lummis announced she is preparing an amendment to the OBBB bill (“One Big Beautiful Bill”), aimed at allowing Americans to use crypto without fear of tax penalties.
“I’m working on an amendment to the OBBB that ensures Americans can use digital assets without worrying about violating tax laws. More information coming soon!”
Her proposal would mean that cryptocurrencies are taxed only when sold, not when received or used in transactions – a major shift for the crypto community.

🪙 Double Taxation? Lummis Says: “Enough!”
Under current rules, miners and stakers face double taxation – once when they receive crypto as a reward, and again when they sell it.
“For years, miners and stakers have been taxed twice. Once when they received block rewards, and again when they sold them,” Lummis said. “It’s time to end this unfair treatment.”
Her goal aligns with Donald Trump’s vision of turning the United States into a global superpower in Bitcoin and crypto innovation.

📜 IRS Rules Are Outdated, Say Critics
The U.S. Internal Revenue Service (IRS) currently treats mining, staking, airdrops, and crypto payments as ordinary taxable income. Even something as simple as buying a coffee with crypto can trigger a taxable event. And if the same crypto is sold later, it incurs capital gains tax – essentially taxing the user twice.

📢 Strong Support from the Crypto World
Lummis’s proposal is gaining traction among key figures and organizations. Michael Saylor, founder of Strategy (formerly MicroStrategy) and a prominent Bitcoin advocate, backed her effort:
“We must end unjust taxes on BTC miners if America is to become the global Bitcoin superpower.”
Organizations such as Stand With Crypto, linked to Coinbase, and the Blockchain Association, representing crypto companies and developers, have also shown support.
Summer Mersinger, executive director of the Blockchain Association, stated:
“By adding Senator Lummis’s tax amendment to the Big Beautiful Bill, the Senate can create a fairer and more sustainable environment for our industry.”

🏛 What Happens Next?
Lummis’s amendment is not law yet, but if passed, it would completely reshape crypto taxation in the U.S.:
🔹 Eliminate double taxation on mining and staking

🔹 Allow small everyday crypto payments to go untaxed

🔹 Only tax crypto at the point of sale
Key votes on the OBBB amendments are expected by July 4th. The crypto community is watching closely – and if this passes, it could signal the beginning of a new era for U.S. crypto holders.

💬 What do you think of Senator Lummis’s proposal? Should Europe consider a similar reform?

#cryptotax , #Bitcoinmining , #CynthiaLummis , #Cryptolaw , #BTC

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🚀 US Crypto Tax Amendment Still in Play - White House Engaged!
Breaking: Despite last-minute hurdles, the controversial cryptocurrency tax provision in the US Infrastructure Bill remains on the agenda today, reports PANews.
Key details:
*Negotiations continue:** Disagreements surfaced Sunday, but the amendment process isn't dead.
*White House involved:** The administration acknowledges the dispute and is actively working towards a solution.
*Lummis Amendment focus:** Efforts are centered on potentially including Senator Cynthia Lummis' more industry-friendly proposal in the final bill.
Why it matters: This amendment could significantly impact how crypto transactions are reported and taxed in the US. The White House's direct involvement signals the importance of finding a workable compromise.
Stay tuned! The outcome is still fluid as lawmakers work towards finalizing the massive infrastructure package. We're watching closely for updates. #CryptoNews #CryptoRegulation #InfrastructureBill #Taxation #USCrypto #BinanceSquare
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This version is simple, highlights the key developments (ongoing talks, White House role, Lummis focus), and emphasizes the significance for the crypto community, fitting perfectly within Binance Square's format.

A major global shift is coming for crypto holders — and it’s all about taxes.
The OECD (the global organization behind international tax standards) has introduced a new rule called CARF — Crypto-Asset Reporting Framework. This framework is designed to bring crypto under the same tax transparency systems used by traditional finance.
🔍 What is CARF?
CARF makes it mandatory for crypto exchanges and platforms to report user activity — including buying, selling, and transferring crypto — directly to each user’s home country’s tax authority.
Think of it like how banks report your savings and income to the tax office. Starting soon, your crypto data will be handled the same way.
📅 When Does It Begin?
Goes into effect: January 1, 2026
First reports sent out: 2027
These reports will cover all transactions starting from 2026.
If you’re actively trading in 2026, expect that data to be forwarded to your local tax department the following year.
What Should Crypto Users Do?
This global move toward transparency means it’s no longer easy to hide crypto profits from tax authorities. As a result, many traders are exploring relocation to tax-friendly countries — like the United Arab Emirates, which currently offers 0% personal income tax and a supportive environment for crypto entrepreneurs.
While the idea of moving might sound extreme, for high-volume traders and investors, it could offer major long-term benefits. However, any such move should be made with proper legal and tax advice.

The Bottom Line:
The age of anonymous crypto profits is ending. With CARF enforcement starting in 2026, now is the time to review your tax strategy, stay compliant, or consider legal alternatives in crypto-friendly jurisdictions.
#CryptoTax #CARF #OECD #CryptoRegulation #BinanceSquare