Ways and Means to Discuss PARITY Act at Closed Tax Hearing

The House Ways and Means Committee will meet behind closed doors May 14 in Washington for a bipartisan session on the Digital Asset PARITY Act. The meeting coincides with a scheduled Senate Banking Committee vote on the CLARITY Act.

The bill was introduced by Rep. Max Miller (R-Ohio) and Rep. Steven Horsford (D-Nev.), both members of Ways and Means. Committee leaders plan to review the measure in private as they consider changes to how digital assets are taxed.

One provision would apply the existing wash-sale restriction for securities to digital assets. Under current practice, investors who sell crypto at a loss and immediately repurchase it can still claim the loss. PARITY would bar those rapid repurchases from producing an allowable loss.

The bill would change tax treatment of staking and mining rewards. The Internal Revenue Service treats staking rewards as ordinary income when received, even if recipients keep the tokens. PARITY would let validators and miners defer taxes on those rewards for up to five years or until the assets are sold, making the taxable event the point of sale.

Another provision would exempt capital gains taxes on payments under $200 made with stablecoins issued by firms that meet standards in the GENIUS Act, the stablecoin regulatory framework moving through Congress. Supporters say the exemption would remove routine tax calculations tied to small purchases.

Rep. Max Miller expects the bill to advance before August 2026. That timeline would overlap with other crypto policy work in Congress.

The closed meeting will limit immediate public and press access to negotiations. Lawmakers and industry groups have sought clearer tax rules for digital assets. How the PARITY Act moves through Ways and Means and whether its provisions are reconciled with Senate measures will be determined in the coming months.