Coin Center: US tax bill mischaracterizes block reward income
- —Section 401 classifies mining and staking income as ordinary income, not capital gains
- —Coin Center insists: token creation is not income but property, tax arises upon sale
- —The bill removed the deferral, but wording still implies income
- —Coin Center supports Jarrett's lawsuit against IRS leadership, ruling expected in coming months
Why it matters: If the provision becomes law, it could cement the IRS's flawed position and undermine the legal dispute over block reward taxation.
Source: Coin Center