House Bill Would Allow Bitcoin Payments for Federal Taxes
A bill introduced Thursday (Nov. 20) in the U.S. House would allow Americans to use Bitcoin to pay federal taxes and would direct those payments into the Strategic Bitcoin Reserve.
The Bitcoin for America Act (H.R. 6180) was introduced by Rep. Warren Davidson (R-Ohio) and referred to the Ways and Means Committee and the Financial Services Committee, according to Congress.gov.
Davidson said in a Thursday press release that allowing Americans to use Bitcoin to pay taxes would enable more Americans, including those who are unbanked, to pay taxes.
Directing those Bitcoin payments to the Strategic Bitcoin Reserve would diversify U.S. assets, create an independent store of value, ensure the U.S. doesn’t fall behind other nations in global financial competition, and guard against dollar erosion and long-term economic risk, Davidson said in the release.
“By allowing taxpayers to pay federal taxes in Bitcoin and having the proceeds placed into the Strategic Bitcoin Reserve, the nation will benefit by having a tangible asset that appreciates in value over time — unlike the U.S. dollar, which has steadily lost value under inflationary pressures,” Davidson said in the release.
“This bill will give the American people more choice in paying their taxes as well as give our government a stronger financial foundation,” Davidson said. “The Bitcoin for America Act will position our country to lead — not follow — as the world navigates the future of sound money and digital innovation.”
President Donald Trump signed an executive order to establish a Strategic Bitcoin Reserve in March, saying it would enable the nation to manage digital assets as it would any other resource.
The Bitcoin Policy Institute, a nonpartisan, nonprofit organization, said Thursday that it endorses Davidson’s bill. In a Thursday press release, the organization said the bill codifies the executive order creating a Strategic Bitcoin Reserve and enables Americans to pay federal taxes in Bitcoin without incurring capital gains liability.
“The Bitcoin for America Act proves that a strategic Bitcoin reserve doesn’t need to be a top-down mandate,” BPI Head of Strategy Conner Brown said in the release. “By letting Americans voluntarily contribute Bitcoin through their tax payments, it creates the first truly democratic, market-driven model for national Bitcoin accumulation.”
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