Illinois’ New Crypto Tax Is Headed to Court — and the Complaint Shows How Often It Could Hit

Illinois’ New Crypto Tax Is Headed to Court — and the Complaint Shows How Often It Could Hit


Illinois State Capitol for a story about the state's new digital asset privilege tax. image By Isaac • July 23, 2026 9:11 pm •

Illinois put a first-of-its-kind tax on crypto activity last month.

Now the fight has moved from the statehouse to a courtroom.

Trending: ENS Co-Founder Nick Johnson Uses Around 80% of the Vote to Block the DAO’s Security Council Renewal

The Digital Chamber filed a 32-page lawsuit in Sangamon County on July 21, asking a state judge to stop the Digital Asset Tax Act before it takes effect on January 1, 2027.

The complaint does more than challenge the 0.2% rate. It lays out how the same asset could be taxed repeatedly as a customer buys it, holds it with a broker and moves it between accounts.

That is the issue Illinois will now have to defend.

The Digital Chamber said the lawsuit was filed on behalf of members already spending money to prepare for

Continue reading

 

Join the conversation!

Please share your thoughts about this article below. We value your opinions, and would love to see you add to the discussion!