Illinois Governor J.B. Pritzker signed the state's fiscal 2027 budget on June 16, which includes a new 0.2 percent tax on digital asset business activities. The measure applies to companies that exchange, store or transfer crypto for Illinois residents.
The tax covers any single occurrence of exchanging, transferring or storing digital assets as part of a business. It applies to firms based in Illinois or serving state residents that have at least $100,000 in gross receipts. Officials expect the levy to generate about $60 million annually.
The provision was added to the $56 billion budget bill at the last minute. Pritzker approved the legislation after the legislature adjourned for the year. The tax takes effect on January 1, 2027.
Industry groups have criticized the measure as unusually punitive compared with taxes on other financial assets. Several organizations are discussing potential legal challenges, though none have been filed yet.
