IRS2026-10-07 05:47:59IRS updates safe harbor rules to let eligible trusts stake PoS assets without changing tax statusThe U.S. Internal Revenue Service has updated its safe harbor rules to allow eligible investment trusts and grantor trusts to stake proof-of-stake digital assets without jeopardizing their federal income tax classification. The change was set out in Revenue Procedure 2026-20, released on Oct. 6. According to the notice cited by Techub News, the update is intended to give trusts involved in staking activity clearer guidance on tax treatment. Crypto.news was cited as the source of the report. The update focuses on qualifying trusts and addresses how staking of PoS assets can fit within existing federal income tax classification rules, rather than altering those classifications for eligible entities.20
IRS2026-10-07 03:21:48IRS updates guidance to let qualifying trusts stake PoS assets without losing tax statusThe U.S. Internal Revenue Service released Revenue Procedure 2026-20 on Oct. 6, replacing Revenue Procedure 2025-31 issued in November 2025. The new guidance says qualifying investment trusts and grantor trusts may take part in proof-of-stake staking while keeping their favorable tax treatment. IRS classifies compliant staking as a property preservation activity, allowing those trusts to remain on the passive side and preserve their status under Internal Revenue Code Sections 671 through 677. The safe harbor sets out 14 conditions, including exchange listing requirements, single-asset holdings, qualified custody, SEC-approved liquidity policies, and a ban on stockpiling staking rewards. The guidance applies to tax years ending on or after Nov. 10, 2025.20
