H.R. 8899
Digital Asset PARITY Act
Sponsor: Max L. Miller
3 cosponsors
Official summary
No official summary yet.
Text of the bill
(a) In general. Section 475 of the Internal Revenue Code of 1986 is amended by redesignating subsection (g) as subsection (h) and by inserting after subsection (f) the following new subsection:
(g) Election of mark To market for dealers and traders in actively-Traded digital assets
(1) Dealer in digital assets. In the case of a dealer in actively-traded digital assets who elects the application of this subsection, this section shall apply to digital assets held by such dealer in the same manner as this section applies to securities held by a dealer in securities.
(2) Trader in digital assets. In the case of a person who is engaged in a trade or business as a trader in actively traded digital assets, and who elects to have this paragraph apply to such trade or business as a trader in actively traded digital assets, subsection (f)(1) shall apply to digital assets held by the trader in connection with such trade or business in the same manner as such subsection applies to securities held by a trader in securities.
(3) Limitation. An election under this section shall only apply to digital assets treated as actively traded (as defined by the Secretary).
(4) Regulations and guidance. The Secretary shall issue such regulations and guidance as are necessary to carry out the provisions of this subsection.
(b) Effective date. The amendment made by this section shall apply to taxable years beginning after the date of enactment of this Act.