Skip to content
Subscriber Only
Politics
Crypto

Treasury Seeks to Quell Fears Crypto Tax Rules Are Overly Broad

  • Department to clarify it’s seeking tax data from brokers only
  • Industry worries infrastructure-bill provision is too broad
Infrastructure Talks Near Finish As Senators Face Time Pressure
Photographer: Stefani Reynolds/Bloomberg
From

The U.S. Treasury Department is set to clarify that only cryptocurrency companies it considers brokers will need to comply with proposed IRS reporting requirements, aiming to quell concerns over a provision in the bipartisan infrastructure bill passed by the Senate.

Other firms key to the nearly $2 trillion crypto market -- from developers and miners to hardware and software providers -- won’t have any new requirements, so long as they don’t also act as brokers, according to a Treasury official. The Treasury’s guidance won’t grant blanket exemptions based on how firms identify themselves and instead will focus on whether a firm’s activities qualify it as a broker under the tax code, the official said on condition of anonymity to discuss internal deliberations.