Bill > HR2982

This bill modifies how digital asset income is taxed for residents of Puerto Rico by amending the Internal Revenue Code. Specifically, the bill changes the sourcing rules for digital asset income, ensuring that income derived from activities like cryptocurrency mining, staking, holding, or selling digital assets will not be considered as income from sources within Puerto Rico. The bill provides a broad definition of "digital asset" as any digital representation of value recorded on a cryptographically-secured distributed ledger, which would include cryptocurrencies and similar digital tokens. By making these changes, the bill aims to clarify the tax treatment of digital asset income for Puerto Rican residents and prevent such income from being treated as locally sourced income. The amendments would apply to taxable years beginning after the date of the bill's enactment, giving taxpayers and tax authorities a clear timeline for implementing these new rules. The legislation is designed to provide more transparent and consistent tax guidance for individuals in Puerto Rico who engage with digital assets.

Budget and Finance

https://www.congress.gov/bill/119th-congress/house-bill/2982/all-info