Two US Senators, Cynthia Lummis and Bernie Moreno, are urging Treasury Secretary Scott Bessent to modify a provision affecting taxes on corporate holdings of digital assets. In a letter dated May 12, the senators proposed changing the definition of “adjusted financial statement income” under existing US law to potentially lower taxes for digital asset companies. The adjustment aims to amend a provision of the Inflation Reduction Act, which was enacted in 2022. Lummis emphasized the importance of ensuring US companies are not taxed more than foreign competitors in the digital finance sector. The proposed modification seeks to provide relief to corporations investing in digital assets. Lummis, a prominent advocate for digital assets in Congress, and Moreno, who assumed office in January with support from crypto-backed political action committees, are pushing for swift action from the Treasury Department. The Inflation Reduction Act, effective from 2023, imposes a 15% minimum tax on companies reporting over $1 billion in profits for three consecutive years, potentially including unrealized crypto gains and losses. Meanwhile, the Senate is gearing up for a second vote on the GENIUS Act, which aims to regulate payment stablecoins in the US. A recent attempt to move the bill forward faced setbacks due to concerns over former President Donald Trump’s ties to the crypto industry. Lummis, a co-sponsor of the bill, expressed her continued support for digital asset regulation and hinted at the possibility of another vote in the Senate soon. This development comes amidst ongoing discussions around stablecoin regulation and taxation in the crypto industry.