House passes $1T infrastructure bill with crypto tax for Biden’s approval


The US House of Representatives has passed a two-part, $1.2 trillion infrastructure bill that, if signed by President Joe Biden, would enact new rules regarding crypto reporting for all residents.

The Infrastructure Act was first proposed by the Biden administration with the goal of fundamentally improving the national transportation network and internet coverage. However, the bill imposes strict reporting requirements for the crypto community, requiring all transactions of digital assets over $10,000 to be reported to the IRS.

According to Cointelegraph, the bill was first approved by the Senate on August 10 by a vote of 69 to 30, which was met with a compromise proposal from a group of six senators: Pat Tommy, Cynthia Loomis, Rob Portman, Mark Warner and Kirsten. Cinema and Ron are widows. According to Tommy:

“This law imposes a completely incomplete and in some cases useless tax reporting mandate for cryptocurrencies that threatens technological innovation in the future.”
Despite the lack of clarity in the wording of the bill, the infrastructure bill aims to treat software developers, transaction validators and crypto-community node operators in the same way as traditional institutional intermediaries.

The House of Representatives passed President Biden’s controversial infrastructure bill in a 228-206 victory. In addition, the crypto community has raised concerns about the vague description of the word “intermediary,” which as a result may impose unrealistic tax reporting requirements for sub-communities such as miners.

As a result, failure to disclose information about income related to cryptocurrencies would be considered a tax offense and a crime.

On the topic: Changing 8-word cipher in the infrastructure bill – ‘an insult to the rule of law’

Legal experts have recommended changes to the infrastructure bill that would make it a criminal offense not to report digital asset transactions.

Abraham Sutherland, a professor of law at the University of Virginia, expressed concern about the US government’s decision to use thermal crypto-communities as mediators:

“This is bad for all digital asset users, but especially bad for decentralized finance. The charter does not directly ban DeFi. Instead, it imposes reporting requirements that make compliance impossible, given the way DeFi works.”



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