Digital Chamber Challenges Illinois' New 0.2% Crypto Tax

The Digital Chamber has filed a lawsuit against Illinois over its new 0.2% tax on digital assets, which is set to take effect on January 1, 2027.

The tax, known as the Digital Asset Tax Act, would impose a levy of 0.2% on the value of digital assets linked to exchange, transfer, or storage services for Illinois customers.

The Chamber argues that this tax discriminates against blockchain activity and is in violation of federal and state law.

Brokers will be required to register with the state, collect the tax separately, file monthly returns, and retain transaction and customer-location records. The tax would not depend on whether a customer earns a profit, but rather on the value of the assets during the covered activity.