# Plain Language Summary: Digital Asset Reporting Requirements Repeal

This bill would undo a rule from the 2021 Infrastructure Investment and Jobs Act that required certain people and businesses to report information about cryptocurrency and other digital asset transactions to the IRS. Essentially, it's asking Congress to reverse a tax reporting requirement that was put in place just a few years ago.

Here's what that means in practical terms: The original rule was designed to help the IRS track digital asset sales so people would pay taxes on any profits they made from buying and selling cryptocurrency, NFTs, or similar assets. The rule would have required brokers, exchanges, and other intermediaries who handle these transactions to report details about who bought and sold what, similar to how stock brokers report stock sales. The idea was to close a gap in tax reporting, since digital assets weren't being tracked the same way traditional investments are.

If this bill passes, that reporting requirement would go away. This would make it easier for people to buy and sell digital assets without the IRS automatically knowing about those transactions. Supporters of repealing the rule argue it's too burdensome on cryptocurrency businesses and creates privacy concerns. Critics worry it would make it harder for the IRS to collect taxes owed on digital asset profits and would reduce government revenue. For most everyday people, this mainly affects whether the IRS will have automatic information about your cryptocurrency transactions—something that could matter if you're buying, selling, or trading digital assets and owe taxes on any gains.

A bill to repeal the provisions of the Infrastructure Investment and Jobs Act that impose new information reporting requirements with respect to digital asset transfers.

Cruz, Ted

 <p>This bill repeals provisions of the Infrastructure Investment and Jobs Act with respect to the definition of<em> broker </em>and reporting requirements for digital assets.</p>