Illinois becomes first state to tax crypto transactions this way

Critics say the measure effectively singles out digital assets for taxation based on technology rather than activity.

Illinois has approved a new 0.2% tax on crypto transactions that state officials estimate could generate up to $60 million annually, prompting public criticism from Strategy co-founder Michael Saylor and several industry groups. In a June 17 X post, Saylor…

Critics say the Illinois transaction-level tax could deal severe consequences to the crypto industry and consumers in the state.

Illinois' new 0.2% digital asset tax takes effect January 2027, assessed on transaction value rather than gains, with self-custody treatment still unresolved.

Illinois has signed a budget package containing a new digital asset broker transaction tax, drawing sharp criticism from crypto industry groups.

Illinois Governor Pritzker signed a 0.2% digital asset tax targeting crypto exchanges, transfers, and custody, with no equivalent for stocks. Illinois Governor J.B. Pritzker has signed Article 3 of SB 3019, the Digital Asset Privilege Tax Act, into law.  The legislation imposes a 0.2% tax on digital asset exchange, transfer, and custody activities.  Illinois residents […] The post This Illinois Bitcoin Tax Law Could Cost Crypto Holders More appeared first on Live Bitcoin News.

“There is effectively no comparable state financial transaction tax on stocks, bonds or derivatives anywhere in the country,” said a16z general counsel Miles Jennings.

Illinois Governor JB Pritzker has signed SB 3019, the Digital Asset Privilege Tax Act, making the state the first in the country to impose a transaction-based tax on everyday digital-asset activity. The Crypto Council for Innovation is pushing for a line-item veto of Article 3.