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Former US presidential candidate seeks to repeal digital currency tax law

Two days ago, US President Joe Biden signed a bill to impose a tax on digital currencies. But now Ted Cruz, a former senator and presidential candidate, plans to remove the digital currency business from the law altogether.

to the Report Texas Rep. Ted Cruz, Texas Representative to the Senate, has been angered by his Republican colleagues because of his habit of using the “vote-block” tactic and highlighting his name as the group’s leader. A ballot is a parliamentary process in which one or more deputies postpone or repeal a vote on a law.

So it is natural that Cruz would want to go his own way in trying to repeal the “digital currency brokerage” section of Biden’s $ 1.2 trillion US infrastructure investment bill. A similar bill was introduced by Sen. Ron Wyden, a staunch supporter of privacy in the United States, and Cynthia Lummis, a Bitcoin supporter.

The law proposed by Ted Cruz completely repeals the provisions on digital currencies in the Infrastructure and Jobs Investment Bill.

Cruz said:

The state of Tekstar (Texas) has quickly established itself as a major hub for the digital currency industry. Now because of too much regulation [سخت‌گیرانه‌ای] In this newly signed and costly package, this attractive industry is at risk of being stopped and driven abroad.

The Infrastructure Investment Bill includes multiple payment regulations to cover the costs of various developments. One was to improve tax reporting among digital currency users. Specifically, the bill changed the definition of “broker” for the purposes of the US Internal Revenue Service (IRS) to include people who manage digital assets, including bitcoin and other digital currencies. This basically requires individuals to report customer information to the Internal Revenue Office when conducting transactions in this area to ensure that any capital gains are properly reported and taxed.

Critics of the plan say requesting a digital currency exchange to pass such rules is a different matter for bitcoin miners, Altcoin shareholders, digital currency wallet providers and developers of blockchain-based software. In fact, the second group has to deliver data that is impossible for them to access. After all, a bitcoin miner processes transactions, it can not be said that traders are his “customer”. Some even believe that this could lead to a ban on digital currencies in practice, although the Treasury Department, which directly oversees the Internal Revenue Service, has said quietly that it does not intend to implement the bill on a permanent basis.

Ted Cruz’s bill contrasts with a bill introduced this week by Senators Weiden and Lumis. While the Weiden & Lumis scheme makes it clear that miners, shareholders, wallet providers, and developers are excluded from the definition of a digital currency broker, the Cruise scheme eliminates these provisions altogether so that digital currency holders are also responsible for sending data to the office. Do not be internal.

Cruz is not a high-ranking Republican on any of the Senate committees, which means he must have the support of a colleague or fellow party member to push through the bill. Senator Weiden, meanwhile, chairs the Senate Finance Committee and can present his plan directly to the Senate.

The Texas representative has only the freedom to act as a single star on the state flag, but he must get the opinion of a group of senators to advance his plan.


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