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Congress·Passed Senate·12 months ago

Senate Votes to Block IRS Rule Requiring Crypto Brokers to Report Sales Data

Legislative Progress

✓ Filed
✓ Review
✓ Senate
House
President

Impact Analysis

Scores: 1 = low, 5 = highSentiment: -5 to +5 (net benefit)

Key Points

  • This resolution aims to stop a new IRS rule that would require cryptocurrency brokers to report the total amount of money made from digital asset sales. If this resolution becomes law, the IRS rule will be canceled and will have no legal power.
  • The IRS rule was designed to help the government track taxes on digital assets. It would have required platforms where people buy and sell crypto to send tax forms to both the users and the government, just like traditional stockbrokers do today.
  • People who want to block the rule argue that the requirements are too complicated and would be too expensive for crypto companies to follow. They worry these rules could drive innovation out of the country or make it hard for new businesses to start.
  • If this resolution is successful, crypto users will still have to pay taxes on their profits, but the IRS won't get the automatic reports from brokers. This makes it harder for the government to catch people who aren't paying what they owe on their digital investments.
TaxesTechnology Digital

Milestones

5 milestones14 actions
Mar 12, 2025Senate

Message received in Senate: Returned to the Senate pursuant to the provisions of H.Res. 212.

Mar 11, 2025House

Papers returned to Senate pursuant to H. Res. 212.

Mar 11, 2025House

Papers returned to Senate pursuant to H. Res. 212

Mar 10, 2025House

Held at the Desk

Mar 10, 2025House

Received in the House

What Happens Next

Projected impacts based on AI analysis

Spring 2025

House votes on the resolution to block the IRS crypto reporting rule

If the House passes it and the President signs it, the IRS rule requiring crypto brokers to report sales data is permanently killed. Under the Congressional Review Act, the IRS would also be barred from issuing a substantially similar rule in the future without new legislation.

Mid-2025

IRS crypto broker reporting rule officially nullified if signed into law

Crypto platforms will not be required to send 1099-type forms reporting gross proceeds to the IRS or to their users. Crypto investors will continue to self-report their gains and losses on tax returns without automatic broker verification.

Vote Results

2 votes
SenatePassedProceduralMar 4, 2025

On the Motion to Proceed

70
28
Democrat
17 – 27 · 1
Republican
52 – 0 · 1
Independent
1 – 1
View full roll call
SenatePassedMar 4, 2025

On the Joint Resolution

70
27
Democrat
18 – 26 · 1
Republican
51 – 0 · 2
Independent
1 – 1
View full roll call

Related News

5 articles
Axios·11 months ago

Senate sends IRS crypto rule repeal to Trump's desk to be signed

The Senate voted 70-28 on a House resolution to repeal an IRS rule that expanded the definition of a 'broker' for tax reporting. The move is part of a Republican strategy to support the blockchain industry's contribution to the U.S. economy.

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Reuters·11 months ago

Trump signs bill to nullify expanded IRS crypto broker rule

President Trump signed a joint congressional resolution nullifying an IRS rule that sought to impose stringent tax reporting requirements on decentralized finance (DeFi) platforms. The repeal was carried out under the Congressional Review Act.

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Thomson Reuters·12 months ago

Republicans Celebrate House Passage of DeFi Broker CRA

The House passed H.J. Res. 25 to overturn IRS rules relating to gross proceeds reporting by brokers. Republicans celebrated the vote as a victory against government overreach, while critics noted a $4.5 billion hit to the federal deficit.

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Source Information

Document Type

Congressional Bill

Official Title

A joint resolution providing for congressional disapproval under chapter 8 of title 5, United States Code, of the rule submitted by the Internal Revenue Service relating to "Gross Proceeds Reporting by Brokers That Regularly Provide Services Effectuating Digital Asset Sales".

Bill NumberSJRES 3
Congress119th Congress
ChamberSenate
Latest ActionMessage received in Senate: Returned to the Senate pursuant to the provisions of H.Res. 212.

Sponsor

Cosponsors

(14)
R: 14

Analysis generated by AI. While we strive for accuracy, this should not be considered legal or professional advice. Always verify information with official government sources.