Illinois Agrees to Delay Digital Asset Tax Effective Date to July 2027

  • Illinois officials agreed to delay the Digital Asset Tax until July 1, 2027.
  • The 0.2% tax had been scheduled to take effect on January 1, 2027.
  • Digital Chamber's lawsuit and separate CCI and Blockchain Association challenges remain unresolved.

Illinois officials agreed to postpone the state's 0.2% Digital Asset Tax from January 1 to July 1, 2027, giving courts additional time to consider industry challenges to the measure. Digital Chamber disclosed the agreement in a Thursday filing in Sangamon County Circuit Court, where it is suing Illinois Attorney General Kwame Raoul and Department of Revenue official David Harris over the tax. The levy was included in Illinois' fiscal 2027 budget legislation, signed by Governor JB Pritzker in June, and would require crypto brokers to impose the tax or face potential fines and imprisonment. Digital Chamber said it will continue pursuing its effort to have the measure struck down. Separate constitutional challenges filed by the Crypto Council for Innovation and Blockchain Association remain pending, though the effect of the agreed delay on their request for a preliminary injunction was unclear. Draft Department of Revenue rules describe coverage of stablecoins, certain fee-based wallet transfers and DeFi protocol fees, while excluding NFTs and network fees paid to miners or validators.

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