Two U.S. senators have urged Treasury Secretary Janet Yellen to modify a tax provision impacting corporate ownership of digital assets. In a May 12 letter, Senators Cynthia Lummis and Bernie Moreno proposed altering the definition of ‘adjusted financial statement income’ under existing law to potentially reduce the tax burden on digital asset companies. This adjustment is intended to address a provision in the Inflation Reduction Act (IRA), enacted in 2022. Senator Lummis expressed concern that U.S. digital finance companies might face higher taxes compared to their international counterparts, highlighting the potential competitive disadvantage of domestic businesses.