The Blockchain Association, together with the Crypto Council for Innovation and the Digital Chamber, urged Congress on Sunday to approve the Tax Clarity for Mining and Staking Act without amendment, aiming to give crypto investors clear guidance on staking and mining rewards.
Lobbying Groups’ Appeal to Congress
The three blockchain advocacy groups sent a letter to House Ways and Means Committee Chair Jason Smith and top Democrat Richard Neal, urging them to pass the bill “as introduced.” They argued that the proposal offers a durable compromise after years of uncertainty about how crypto rewards are taxed, and they emphasized that clear rules would help secure the blockchain ecosystem in the United States.
Key Provisions of the Tax Clarity Act
The act challenges the current tax code, which treats mining and staking rewards as taxable income at the moment of receipt—a practice the lobbyists label “taxation of phantom income” that can strain liquidity for crypto operators. By allowing miners and stakers to choose between paying taxes when they receive rewards or when they later sell the assets, the legislation ensures income is recognized while avoiding immediate tax pressure before investors can monetize the crypto