Tax loophole may be closed as US lawmakers push to include crypto assets in wash sale rules

According to Odaily, some members of the US Congress are pushing to include crypto assets under the traditional wash sale rules in order to close a longstanding tax loophole. Under current regulations, investors in stocks and other securities who repurchase the same or substantially similar assets within 30 days before or after a loss sale cannot claim that capital loss for tax purposes. However, crypto assets such as Bitcoin and Ethereum are currently classified as property under tax law and are not subject to these restrictions, allowing for tax-loss harvesting without changing the actual position.