US Senators Urge Treasury to Exempt Unrealized Crypto Gains from Corporate Tax

Two U.S. senators have called on the Treasury Department to prevent the corporate alternative minimum tax (CAMT) from penalizing domestic firms for unrealized cryptocurrency gains. In a May 12 letter, Senators Cynthia Lummis and Bernie Moreno urged Treasury Secretary Scott Bessent to issue guidance excluding digital asset gains from Adjusted Financial Statement Income (AFSI) calculations under CAMT.

The lawmakers warned that without regulatory relief, U.S. corporations may be forced to liquidate crypto holdings to meet tax obligations—potentially putting them at a competitive disadvantage against foreign firms operating under different accounting standards. The dispute centers on the intersection of CAMT with mark-to-market accounting rules introduced by the Inflation Reduction Act.