US Lawmakers Introduce Crypto Tax Bill, Weigh Exemption for Transactions Under $200

US lawmakers have introduced a bill to modernize cryptocurrency taxation, as debate continues over expanding the use of digital assets in everyday payments.

CoinDesk reported on May 20 that Republican and Democratic lawmakers jointly introduced a revised PARITY Act.

The bill would direct the Internal Revenue Service to study small cryptocurrency transactions worth less than $200 each and examine the impact of creating a tax exemption for those payments.

The crypto industry has long argued that tax reporting requirements on even small transactions have made it difficult to use digital assets for routine purchases.

Industry participants say exempting small transactions from tax could sharply expand crypto use in low-value payments such as buying coffee.

Lawmakers backing the bill said updating the tax framework would help lay the foundation for integrating digital assets into the financial system.

Congress has recently expanded its digital-asset legislative discussions to include stablecoin regulation, market-structure rules and tax reform.

Markets are watching how the bill could affect the adoption of crypto payments in the US and the broader push to bring the sector into the regulatory mainstream.