Crypto industry aghast at Illinois’ new tax on holding or transferring digital assets in state budget

Share This Post

The crypto industry is pushing back against a new tax law in the state of Illinois that enacts a 0.2% tax on businesses transacting or storing crypto for customers in the state, but it may be too late to change it in the short-term.

The law enacts a 0.2% tax on “receiving any digital asset business activity,” according to the text of the bill, which defined digital asset business activity as “any single occurrence of exchanging, transferring or storing a digital asset as part of a business or on behalf of a customer.”

The tax applies to firms that are based in Illinois or provide services to residents of the state with total gross receipts of at least $100,000. The tax is expected to raise around $60 million, said a person following the process.

The provision was added last-minute to Illinois’ broader budget bill, according to two people following the matter, and was approved by Governor J.B. Pritzker on June 16, according to the bill’s status page. The legislation creates a roughly $56 billion budget for the 2027 fiscal year and also includes new taxes on fantasy sports, social media and other areas, ABC 7 reported.

Related Posts

Coinbase Files for Brazil Crypto License Ahead of Deadline

Cointelegraph is committed to providing independent, high-quality journalism across...

HTX Settles FCA Case Over Unlawful UK Crypto Promotions

Update (Oct. 29, 2026 at 13:30 UTC): This article...

Brazil Crypto Rules Leave Questions as Deadline Nears

Cryptocurrency exchanges operating in Brazil face mounting compliance costs...

Bank of England opens consultation on tokenized collateral for clearing

Central counterparties would need to show tokenized collateral meets...

French Senate Adopts Bill for Automatic Sharing of Crypto Tax Data

The French Senate adopted a bill to allow tax...

ECB President Christine Lagarde to step down in February 2027

Lagarde announced plans to step down as European Central...