The new U.S. bill proposes a voluntary disclosure program for digital assets, allowing for the reporting of past taxes

The "Digital Asset Taxation Certainty Act" (H.R. 10357) currently being advanced by the U.S. Congress stipulates in Section 502 that the Secretary of the Treasury must establish a voluntary disclosure program for digital assets within 12 months after the act takes effect. Eligible taxpayers can correct past digital asset tax violations by submitting amended returns and paying back taxes, interest, and penalties under the program. The act was passed by the House Ways and Means Committee on September 16 with a vote of 38 to 5, but it has not yet officially become law and still needs to be approved by the House, the Senate, and signed by the President.

Andrew Gordon, Executive Director of the Digital Asset Taxation Action Organization, stated that this is a significant change that will help many ordinary taxpayers, yet it has received little attention. He pointed out that U.S. investors are facing the first reporting season under the new 1099-DA broker reporting rules, which give the IRS greater visibility into crypto transactions but do not address the years prior to the rules taking effect. Sharon Yip, a CPA and founder of Crypto Tax Advisors, also noted that reporting errors among ordinary crypto investors are quite common, and the existing procedures lack standardized processes, making it impossible to provide predictable penalty treatment for unintentional violators.

According to Section 502, taxpayers generally must submit amended returns within 24 months after the program is established, and the act sets two penalty standards. Taxpayers who can prove that their violations were neither fraudulent nor intentional, and who report within the first 12 months after the program starts, can apply a 0% penalty to the portion of back taxes up to $25,000 per year, with a 5% penalty on amounts exceeding that; those who cannot provide such proof will face penalties of 25% and 40%, respectively, with tax rates increasing after missing the initial window. The act also provides specific civil penalty exemptions, allowing unproven taxpayers to avoid criminal referral within the scope of the disclosed information. A 2026 report from CoinTracker indicated that only 49% of crypto users correctly understand that selling crypto assets is a taxable event.