House overturns digital asset information reporting regulations

The resolution will next be sent to the Senate, which is expected to pass it.

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March 12, 2025

The U.S. House of Representatives last night passed (by a vote of 292 – 132) H.J.Res.25—a joint resolution of disapproval to overturn final regulations (T.D. 10021) on digital asset reporting issued by the Treasury Department and IRS on December 30, 2024.  Those regulations require non-custodial brokers that regularly provide services effectuating certain digital asset sales and exchanges (i.e., brokers providing trading front-end services) to file information returns and furnish payee statements reporting gross proceeds in such transactions occurring on or after January 1, 2027. Read TaxNewsFlash

Read the House Ways and Means release, which includes a one-page fact sheet.

The resolution will next be sent to the Senate, which is expected to pass it.  The Senate last week also passed (by a vote of 70-27) S.J.Res.3—a resolution of disapproval to overturn the final regulations, but that legislation was returned to the Senate by the House for procedural reasons. 

KPMG observation

The joint resolution does not affect final regulations issued by the Treasury Department and IRS in July 2024 requiring information reporting for sales on or after January 1, 2025, by brokers who take possession of the digital assets being sold by their customers. Read TaxNewsFlash

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