The US Senate proposed to exclude crypto transactions up to $50 from taxation

The US Senate has introduced a bill designed to free transactions with digital assets onup to $50 in capital gains tax equivalent.

Senators Pat Toomey and Kirsten Sinema were the authors of the document.

If adopted, the document will exempt small purchases for cryptocurrency from taxes. The $50 limit can be further adjusted for inflation.

The bill does not apply to transactions betweendigital assets and fiat. It suggests that "all sales or exchanges that are part of the same transaction (or series of related transactions) should be treated as a single sale or exchange."

Current US Cryptocurrency Usersare required by law to report income generated from transactions with digital assets. In other words, regulators consider cryptocurrency primarily as an investment tool, and not as a means of payment.

The community, in particular the Coin Center, the Blockchain Association and the Association for Digital Asset Markets, supported the senators' initiative.

Recall that the threshold of $50 for the taxation of crypto transactions is also contained in the draft "Law on Responsible Financial Innovation", which the same senators presented in June.

Previously, one of its authors, Cynthia Lummis, predicted the adoption of the document in 2023.

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