A rare legal coalition spanning business and crypto is taking shape across the United States to jointly oppose discriminatory local taxes on on-chain assets.
Illinois previously introduced a bill proposing a 0.2% transaction tax on the full value of digital assets traded, transferred, or even stored by the state’s customers through brokers—even when a transaction involves no sale for profit or transfer of ownership.
Organizations including the U.S. Department of Justice, the U.S. Chamber of Commerce, and representatives of several major decentralized protocols have since filed legal briefs supporting the industry’s lawsuit and calling for the legislation to be permanently blocked.
The lawsuit centers on the bill’s failure to impose comparable tax rates on traditional financial assets, as well as its vague definition of intermediaries, which could force underlying protocols and non-custodial developers to shoulder unrealistic compliance obligations.
Illinois previously introduced a bill proposing a 0.2% transaction tax on the full value of digital assets traded, transferred, or even stored by the state’s customers through brokers—even when a transaction involves no sale for profit or transfer of ownership.
Organizations including the U.S. Department of Justice, the U.S. Chamber of Commerce, and representatives of several major decentralized protocols have since filed legal briefs supporting the industry’s lawsuit and calling for the legislation to be permanently blocked.
The lawsuit centers on the bill’s failure to impose comparable tax rates on traditional financial assets, as well as its vague definition of intermediaries, which could force underlying protocols and non-custodial developers to shoulder unrealistic compliance obligations.