đ„Hot News! The Blockchain Association, a blockchain advocacy organization, strongly opposes the broker rules proposed by the IRS, arguing that these regulations will impose heavy burdens on investors, cryptocurrency companies and the IRS itself. đ±
According to the Paperwork Reduction Act cited by the association, government regulators should not impose unnecessary paperwork requirements on individuals and entities in the financial system. If these rules are passed, 8 billion tax returns will be added, 4 billion hours of processing time will be wasted, and annual compliance costs will reach $254 billion. đđđž
In contrast, the IRS early estimates that the total compliance costs of the new rules will be $136 million. This figure is so far off that one can't help but question its rationality. đ€
Even more shocking is that the annual compliance cost of $245 billion is obviously unreasonable for a market that generates a tax gap of up to $10 billion. đ”
The Blockchain Association submitted a 39-page letter in 2023 detailing its comprehensive objections to these regulations, arguing that these rules are extremely difficult for decentralized financial protocols to comply with and reflect the government's misunderstanding of blockchain and cryptocurrency. đ
Overall, this is a major challenge for the Bitcoin and blockchain industries, and we will continue to pay attention to the development of this issue. đđ
