Senator Sinema noted that the legislation would help avoid “surprise taxes on everyday digital payments, so as use of digital currencies increases, Arizonans can keep more of their own money in their pockets and continue to thrive.”
As crypto and other virtual currencies become more mainstream and more businesses are accepting these currencies for payment of everyday purchases, many in industry and government believe that tax reporting simplicity for small everyday purchases is increasingly more important. This legislation is intended to address these concerns. Given the workload challenges faced by Congress this year, passage of this bill in 2022 will be difficult. The best chance to make this happen would be to have it included in a larger year-end bill that may include items such as tax-extenders, retirement plan reform, and other tax law initiatives that require bi-partisan legislative support.