On August 4, four representatives of the US Congress wrote to the Internal Revenue Service (IRS) urging the IRS not to override bonuses from chains of proof of ownership chains.
Explain the difference in energy consumption between PoS and Proof-of-Work blockchains such as Bitcoin, the actors Tom Emmer (R-MN), Darren Soto (D-FL), David Schweikert (R-AZ) and Bill Foster (D -IL)) Wrote that the IRS Might Overestimate Revenue:
“We believe that taxpayers’ actual profits from these symbols should already be taxed. However, it is possible to tax betting bonuses as income can overstate the actual profits for taxpayers from participating in this new technology.
Industry response and clarity of the sales arguments
Point of sale is a growing concern of American taxpayers. And the Proof of Stake Alliance (PoSA), a lobbying group, wrote in response that it praised the letter, which also contributed to the writing.
Most of the major US cryptocurrency exchanges have limited storage options, possibly because exchanges like Coinbase and Kraken are promoting their work to lower taxes for American users.
Blockchain Task Force and the cops in Congress
The four signatories to the bill are all members of the Blockchain Task Force of Congress and are known for their interest in cryptography. They conclude their letter by describing their “ongoing efforts to future-proof policies and tax regulations that enable safeguards, but also ensure that innovations are not pushed elsewhere”.
Several signatories to today’s letter made a similar appeal to the IRS in December calling for more guidance on taxing hard forks and air drops. Schwikert is the author of a bill he launched in January that addresses the over-taxation of digital currencies – especially those used for personal transactions.