Trump’s Tax Bill: How Bitcoin Miners Could Eliminate 100% of Their Taxes

Trump’s tax bill could allow Bitcoin miners to deduct 100% of hardware costs upfront, reducing tax liabilities, but risks IRS scrutiny if misused.

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Donald Trump’s proposed tax law includes a bonus depreciation clause, which allows miners to write off 100% of hardware costs upfront — but there are risks.

The U.S. House of Representatives recently passed Trump’s domestic policy tax and spending bill, reviving a provision that could help Bitcoin miners reduce their tax liabilities. The legislation extends Trump’s 2017 tax cuts and reintroduces the '100% bonus depreciation' clause, enabling companies to deduct the full cost of capital expenditures like mining equipment immediately.

Tax expert Arniel Sia highlighted that this could allow miners to offset income from other sources, potentially reducing their tax bills significantly. However, analysts warn of potential IRS scrutiny if the provision is abused.

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