S.Amdt. 2456

SA 2456. Mr. SCHIFF (for himself and Mr. Kelly) submitted an
amendment intended to be proposed by him to the bill H.R. 1, to provide
for reconciliation pursuant to title II of H. Con. Res. 14; which was
ordered to lie on the table; as follows:

At the appropriate place, insert the following:

SEC. _____. TAX ON DIGITAL ASSETS ISSUED BY PUBLIC OFFICIALS.

(a) In General.--Subchapter A of chapter 1 is amended by
adding at the end the following new part:

``PART VIII--CERTAIN INCOME FROM DIGITAL ASSETS

``Sec. 59B. Income from the issuance of digital assets by public
officials.

``SEC. 59B. INCOME FROM THE ISSUANCE OF DIGITAL ASSETS BY
PUBLIC OFFICIALS.

``(a) In General.--In the case of an individual, if such
individual has applicable digital asset income for the
taxable year--
``(1) gross income shall be reduced by the amount of such
applicable digital asset income, and
``(2) the tax imposed by section 1 for the taxable year
shall be increased by an amount equal to 100 percent of such
applicable digital asset income (determined by reducing the
amount of such income by any deductions properly allocable to
such income).
``(b) Applicable Digital Asset Income.--For purposes of
this section--
``(1) In general.--The term `applicable digital asset
income' means, with respect to any individual, any income
derived in connection with the issuance of a digital asset by
such individual or any person related to such individual if,
at the time such digital asset is issued, the individual is a
person who is such is described in section 13101(f) of title
5, United States Code.
``(2) Digital asset.--The term `digital asset' has the
meaning given such term under section 6045(g)(3)(D).
``(3) Related person.--For purposes of paragraph (1), a
person is related to another person if the relationship
between such persons would result in a disallowance of losses
under section 267 or 707(b).
``(c) Regulations.--The Secretary shall prescribe such
regulations or other guidance as is necessary or appropriate
to carry out the purposes of this section, including
regulations or other guidance to the determination of items
of income which are derived in connection with the issuance
of digital assets.''.
(b) Clerical Amendment.--The table of parts for subchapter
A of chapter 1 is amended by adding at the end the following
new item:

``PART VIII--Certain Income From Digital Assets''.

(c) Effective Date.--The amendments made by this section
shall apply to taxable years beginning after the date of the
enactment of this Act.
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