Illinois to Become First US State to Impose Tax on Digital Asset Transactions, Expected to Take Effect in 2027

Odaily Planet Daily News Illinois has become the first state in the US to tax digital asset transactions. Senate Bill 3019, signed by Governor J.B. Pritzker, includes the Digital Asset Tax Law, which imposes a 0.2% occupation tax on brokers who trade, transfer, or custody digital assets for clients in the state. The tax is expected to take effect on January 1, 2027, and is projected to generate approximately $60 million in annual revenue for the state government.

The tax applies to business activities, not profits, and traditional securities brokers in Illinois do not bear a similar tax burden. Former federal prosecutor Renato Mariotti criticized the tax for being included in the budget bill without undergoing sufficient public debate. The Digital Chamber of Commerce and the Illinois Blockchain Association jointly opposed the tax, calling it "unsound in substance, flawed in process, and economically destructive." (cryptobriefing)