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S 4171In CommitteeCongress 119

A bill to amend the Internal Revenue of 1986 to exclude from gross income de minimis gains or losses from certain sales or exchanges of virtual currency, and for other purposes.

Introduced
Unknown
Latest Action
March 24, 2026
Sponsor
Unknown
Official Source
Congress.gov
Latest Action
Read twice and referred to the Committee on Finance.
AI Summary

This bill aims to exclude small gains or losses from virtual currency transactions from taxable income.

What This Bill Does

The legislation seeks to amend the tax code to exempt small, or 'de minimis', gains or losses from transactions involving virtual currency from being considered as part of an individual's gross income for tax purposes. This means that when someone buys or sells a small amount of cryptocurrency, the financial gain or loss from that transaction wouldn't need to be reported to the IRS, simplifying the tax filing process for individuals engaging in casual or minor cryptocurrency trading.

Key Points
  • Exempts de minimis gains or losses from virtual currency transactions from gross income.
  • Aims to simplify tax reporting requirements for small-scale cryptocurrency transactions.
  • Seeks to amend the Internal Revenue Code of 1986.
  • Targets individual taxpayers engaging in casual cryptocurrency trading.

Who Would Be Affected

  • Individuals trading in virtual currencies.
  • Taxpayers with minor cryptocurrency transactions.
  • Tax professionals and accountants.

Potential Effects

  • Reduces the complexity of tax filing for individuals with small cryptocurrency transactions.
  • Potentially increases participation in the cryptocurrency market by simplifying the tax implications.
  • May lead to a decrease in tax revenue from cryptocurrency transactions.
Political Context
Likely bipartisan support:Unlikely

Summary generated by AI (gpt-4-turbo-preview) on March 26, 2026

This is an automated analysis and may contain errors. Always refer to the official bill text.

AI-generated summary for informational purposes only.

View official bill on Congress.gov →