Illinois has postponed the implementation of the Digital Asset Tax Act (DATA) by six months. The new potential effective date is July 1, 2027, shifting from the original January 1, 2027 deadline. The law, signed by Governor JB Pritzker on June 16, 2026, introduces a 0.2% tax on digital asset exchanges, transfers, and storage services for brokers serving state residents.
The state projected that the tax would generate approximately $60 million in annual revenue. The legislation applies regardless of whether a transaction results in a profit or a loss. Non-compliance by brokers could lead to Class 3 felony charges, including up to five years in prison and fines of $25,000.
The delay follows ongoing litigation in the Sangamon County Circuit Court, where organizations such as the Digital Chamber and the Blockchain Association have challenged the law on constitutional grounds. A central argument involves federal preemption. Additionally, the postponement follows negotiations between state officials and industry representatives.
In late September 2026, the Illinois Department of Revenue issued draft rules detailing how the tax applies to stablecoins, NFTs, and decentralized finance activities. While the delay provides a temporary reprieve for brokers, the tax remains in effect, and the final implementation date remains subject to the outcome of pending legal challenges.
