Strong support from many Democrats helped win a victory for a U.S. Senate effort to erase a Biden administration crypto tax rule on Tuesday, clearing what may have been the most difficult hurdle toward eliminating the Internal Revenue Service’s new broker rule that was set to include decentralized finance (DeFi).
The Senate voted 70-27 to approve a resolution under the authority of the Congressional Review Act to cut out the expansion of the IRS’ broker rule as if it never existed. But the House of Representatives will still have to follow with a matching approval, after which President Donald Trump can sign it into law.
At that point, not only is the rule stricken from the books, but the IRS is blocked from pursuing similar policy in the future.
“DeFi is a microcosm of the crypto revolution,” Senator Ted Cruz, the resolution’s sponsor, said in remarks on the Senate floor before the vote on what he called an “incoherent” federal…
