Bitcoin Miners Push Back Against PARITY Act Over Unequal Tax Treatment

[bonk]

A newly proposed bipartisan tax bill, the PARITY Act, is facing criticism from Bitcoin advocates who argue it unfairly penalizes miners. The draft legislation classifies crypto earnings as taxable income upon receipt but allows proof-of-stake participants—such as those in Ethereum and Solana—to defer taxes until assets are sold.

Bitcoin miners, however, are excluded from this deferral despite facing high upfront and operational costs. Critics say this creates a “two-tier tax system,” where staking is favored while mining continues to face double taxation, potentially distorting competition within the crypto industry.

[kevin1]

the PARITY Act creates a structural distinction between mining and staking that could influence network participation

[JanEmil]

We don't like tax