According to the letter, which was sent to the US Minister of Finance Scott Sesent (Scott Bessent) Cynthia Lammis and the Senator-Republican from Ogio Moreno, the Ministry of Finance must reconsider the use of corporate alternative minimum tax (CAMT) to companies owning cryptoactives. In August 2022, under the administration of ex-president Joe Biden, a law was adopted to reduce inflation, within the framework of which CAMT has 15% for corporations, the average income of which in adjusted financial statements (AFSI) for a three-year period is at least $ 1 billion.
After the introduction of a corporate alternative minimum tax, the Council for Standards of Financial Accounting (FASB) explained that companies that have cryptocurrencies on the balance sheet will have to report on their assets based on current, rather than initial market prices. If the crypto acts that are owned by companies have grown, this creates a tax burden for them for unrealized profit. It turns out that corporations are forced to pay taxes from potential profit, which they actually did not receive, the letter of senators said.
Legislators are afraid that American corporations will be forced to sell digital assets only to fulfill their tax obligations. This will interfere with the development of innovation in the United States – American companies will be in a disadvantage compared to foreign competitors whose tax standards do not require digital assets at the current market value.
“We do not ask for a special relationship to large owners of cryptocurrencies. We advocate justice and economic common sense. The Ministry of Finance should exclude from taxation all unrealized profits and losses from corporate digital assets. Otherwise, we risk giving way to the lead in the crypto industry, ”the letter to the US Treasury indicated.
Recently, Cynthia Lammis called on the Congress to establish standards for the use of memcoirs by officials and civil servants, including US President Donald Trump.
Source: Bits
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