The Digital Chamber files lawsuit to block Illinois’ 0.2% crypto transaction tax set to take effect in 2027, calling it discriminatory.
A leading cryptocurrency advocacy group has sued Illinois officials to halt a new 0.2% tax on digital asset transactions scheduled for 2027. The lawsuit argues the tax unfairly targets crypto users and was enacted without public debate or stakeholder input.
The tax, embedded in the state’s 2027 fiscal budget, applies universally to all crypto transactions, regardless of profit or ownership transfer. Brokers failing to impose the tax could face fines or imprisonment. Illinois Governor JB Pritzker signed the budget into law in June.
The Digital Chamber contends the tax violates equal protection principles by treating digital assets differently from other financial instruments. The case was filed in Sangamon County circuit court against state officials, including the attorney general and revenue department.