A bipartisan group of regulators in America has reportedly put up a proposal for making adjustments to the tax reporting requirements, which is to take effect thanks to the freshly signed infrastructure bill.

Specifically, House Representatives Patrick McHenry and Tim Ryan collaboratively rolled out the Keep Innovation in America Act – aiming to make adjustments to the definition of a broker, as stated in HR 3684 – the bipartisan infrastructure bill received the official go-ahead to become law from President Joe Biden on November 15th. 

The bill reportedly proposes for the changes to the compulsory reporting requirements – which states that crypto asset transactions with value over $10,000 have to be declared to the Internal Revenue Service — from 2024 to 2026.

“I introduced this bipartisan bill w/ @RepTimRyan to fix the new poorly constructed #digitalasset reporting requirements. The Keep Innovation in America Act will provide clarity to innovators deploying the next generation of internet #technology.”

Furthermore, the bill reportedly aims to provide exemption for particular taxpayers, from reporting digital asset transactions in cases where there is no need to be acknowledged about the data from wallet holders, which would otherwise be mandatory. 

Per the bill, “miners and validators, hardware and software developers, and protocol developers” will not be considered as brokers.

“Consistent and accurate reporting on digital asset transactions is necessary. Congress must work to bring legal and regulatory certainty to the digital asset industry. Clear rules of the road fosters technology and innovation.” the Keep Innovation in America Act claimed. 

“[The law] includes digital asset reporting requirements that threaten to push innovators and entrepreneurs overseas. […] We can fix these poorly constructed standards and ensure they are compatible with how this new technology actually works.” McHenry further remarked. 

The proposed legislation has already secured the backing from Representatives Kevin Brady, Ro Khanna, Tom Emmer, Eric Swalwell, Warren Davidson, Darren Soto, Anthony Gonzalez and Ted Budd, along with crypto advocacy groups including Coin Center and the Blockchain Association.