The US Senate has approved a new bill that propels key aspects of President Donald Trump’s agenda, yet it omits tax exemptions and clear taxation guidelines for cryptocurrency.
Cryptocurrency Taxation
Senator Cynthia Lummis has been a prominent advocate for changing the tax approach to crypto transactions in the US. She proposed an exemption from capital gains tax for minor crypto activities, but this proposal was not accepted amid intense Senate debates. Lummis plans to revisit her goals through a separate legislative proposal.
Bill Process and Future Steps
The Senate passed the bill with a 50-50 vote, requiring Vice President J.D. Vance’s vote to break the tie. For the bill to take effect, the House of Representatives must vote on the Senate’s amendments. Intense debates are expected again due to the difficulties faced during the House’s previous approval.
Critiques and Industry Reactions
The Democratic Party voiced significant critiques of the proposal. Senator Elizabeth Warren sent a letter to senior executives of large tech firms, claiming their financial support for Republicans would be rewarded with extensive tax cuts. Treasury Secretary Scott Bessent noted that Republicans hope to act swiftly in the House to fulfill President Trump’s promises regarding the economy.
The approved bill by the US Senate does not feature cryptocurrency taxation regulations despite efforts to support other sectors. New legislative proposals concerning crypto assets are anticipated soon.
