On Thursday, October 1, 2026, CoinDesk reported that Illinois agreed to postpone for six months a newly enacted tax on cryptocurrency activity that was scheduled to take effect on January 1, according to the industry groups that negotiated the delay.
The Digital Chamber and the Illinois Blockchain Association reached the agreement with state officials, the Chamber told CoinDesk. The postponement still requires approval from a judge.
Illinois approved the Digital Asset Tax in June. The 0.2% levy applies to crypto activity involving companies with more than $100,000 in receipts, covering all transaction activity as well as the acceptance of assets for storage.
A joint request for the delay was expected to be filed Thursday in the Sangamon County circuit court, the state court handling the case. If the court grants it, the parties would not need to argue over legal injunctions and could move to the next phase of the dispute: “disputed issues of law regarding the constitutionality and enforceability” of the Digital Asset Tax Act.
Crypto advocacy groups, which have joined forces to oppose the measure, had asked the state court on September 9 for a temporary halt. They said companies were already incurring high costs to prepare for the tax’s implementation.
“We’re pleased that the State of Illinois has agreed to delay implementation of its Digital Asset Tax, giving digital asset businesses and users relief from costly compliance obligations while we continue to seek to have this tax permanently repealed through the courts,” said Digital Chamber CEO Cody Carbone in a statement.
The industry has challenged the tax’s validity under state law and argued that it is unconstitutional. Crypto organizations also contend that federal law, specifically the Internet Tax Freedom Act, preempts it.
The filing, which CoinDesk reviewed, states that both parties are seeking the delay “in the interest of justice while the matter works towards resolution on the merits.”
Source: CoinDesk
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